Kevin O’Leary warns Canada on China deal as Trump threatens 100% tariffs — “China is not your friend”
Investor Kevin O’Leary warned Canada against deepening trade ties with China, saying Beijing exploits partners and is “not your friend,” remarks that come as President Trump threatens 100% tariffs on Canadian imports, heightening economic tensions.
- Kevin O’Leary publicly warned Canada that “China is not your friend,” and cautioned it would not be treated differently by Beijing — Fox Business.
- President Trump said Canada would be mistaken to serve as a gateway for Chinese goods and threatened a 100% tariff on Canadian imports — reported by Fox Business.
- Economic and security stakes were emphasized: U.S.-Canada trade interdependence, Arctic missile-defense considerations, and calls for targeted policy options instead of blanket tariffs.
- Coverage and voices include commentary from Fox Business video, and related coverage on AOL News and a Fox News video.
O’Leary’s warning on Fox Business
Kevin O’Leary, the investor and TV personality known from Shark Tank, delivered a blunt security-and-economics warning on Fox Business‘s “The Claman Countdown.” He described China as an “economic and military and AI enemy to both Canada and the United States” and warned Canadian leaders against deepening ties without caution.
O’Leary argued that Beijing often uses business relationships to gain strategic leverage and later exerts political or economic pressure on partners. His remarks mixed economic analysis with national-security concerns and included the memorable line:
“China is not your friend.”
President Trump’s social media posts and tariff threat
President Trump escalated the debate via social media, warning that any country using Canada as a pathway for Chinese goods into the United States would be “making a grave mistake.” He suggested China could “eat Canada alive” and floated a 100% tariff on Canadian imports if a Canada-China deal were seen as threatening — coverage documented by Fox Business.
Such a tariff would be a severe shock to North American trade. Fox Business noted that Canada is the top export market for 36 U.S. states and that roughly 70% of Canada’s output is directed to 26 U.S. states — underscoring the potential ripple effects of broad tariffs.
What officials in Canada said
Media coverage cited comments attributed to Mark Carney, who was reported as saying Canada had no plans for a free-trade deal with China and that a recent agreement only cut tariffs for some sectors affected by earlier tariffs — as reported by Fox Business.
The Fox Business piece did not provide a full text of the referenced Canada–China agreement nor extensive counterarguments from Canadian trade negotiators beyond the statements cited.
Economic ties and mutual dependence
Analysts emphasize the deep integration of U.S. and Canadian economies: supply chains, manufacturing, energy, and agriculture. O’Leary highlighted this interdependence, noting “We’re in love that way financially,” and predicted that economic pain on both sides would drive leaders to de-escalate.
A blanket 100% tariff would raise costs for U.S. businesses, dismantle cross-border supply chains, and push up consumer prices — outcomes flagged in the reporting by Fox Business.
Security angle: missile defense and Arctic positioning
O’Leary connected trade policy to continental defense, mentioning U.S. missile-defense plans that would place systems between Greenland and Alaska — deployments that require effective Canadian cooperation for Arctic coverage. He warned that Canada’s choices on China could complicate broader security planning.
Related commentary and voices
Fox Business video featured economist Steve Moore criticizing moves by allies perceived as moving closer to China. Coverage of O’Leary’s forecast that the U.S. and Canada would ultimately return to close cooperation also appeared on AOL News and a Fox News video excerpt of O’Leary’s interview.
What’s missing from current coverage
Public reporting referenced here centers on O’Leary’s interview and President Trump’s social posts. The Fox Business story does not include a full text of the Canada–China agreement it refers to, nor detailed source documents or extended responses from Canadian trade negotiators. Independent verification of the agreement’s full scope was not presented in the cited coverage.
Implications for the United States
Economic impact
A 100% tariff on Canadian goods would disrupt supply chains, raise input costs for U.S. manufacturers and farmers, and likely push up consumer prices. States with strong trade ties to Canada—especially in the Midwest and Northeast—would face elevated job and output risks.
National security and alliances
If Canada expands ties with China in sensitive technology, AI, or critical infrastructure, U.S. officials may view that as a strategic risk. O’Leary’s Arctic and missile-defense points illustrate how trade decisions can affect defense cooperation.
Political consequences
The tariff threat and public warnings create domestic pressure on U.S. leaders. Lawmakers may push for measures that protect strategic industries while avoiding unnecessary harm to allied trade relationships that support American workers.
Policy options for Washington
Policymakers can consider targeted measures—tightening export controls, strengthening foreign-investment screening, and negotiating limits on strategic sectors—rather than broad tariffs that would damage most trade flows. Diplomatic engagement with Ottawa could seek joint safeguards without triggering widespread economic harm.
