The federal Treasury Secretary said the growing impact of U.S. President Donald Trump's tariffs is creating “tension” among G7 members entering Canada's key summit next month.
Finance Minister François Philip Champagne and Bank of Canada Governor Tiff Macklem hosted a three-day meeting to meet with top financial officials from the world's largest economy this week. The negotiations are expected to focus on the war between Ukraine and artificial intelligence, and how G7 members work together to develop the global economy.
But Trump’s aggressive trade policy could dominate the proceedings and could even affect things that members can agree to.
“There is no doubt that on the table, you need to find solidarity, but at the same time, in reality, tariffs create tensions between different partners,” Champagne said in Global News on Tuesday, accepting Calgary.
“Everyone knows that the country's financial capacity is more limited. On the defense side, we have important things about infrastructure and housing.”
He continued: “So, my mission as Chairman is really to make sure we can work together to eliminate the uncertainty we see, the instability we see in the market and focus on growth measures that will be beneficial to us all.”
Other G7 finance officials also expressed their intention to resolve the trade dispute with the United States as soon as possible before the meeting this week.
“Tariffs and uncertainty are burdens to our economy and therefore also bear the burden of job security,” German Finance Minister Lars Klingbeil said in Berlin on Tuesday.
Champagne said U.S. Treasury Secretary Scott Bessent will represent the Trump administration at the Banff summit.
He won't say whether he and other G7 finance officials would urge Bessent to remove Trump's tariffs in negotiations – while they say the country can negotiate lower tariffs through new trade deals, Bessent and other administration officials are not what they are considering.
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A U.S. fiscal spokesman said Best will push other G7 countries to resolve imbalanced and non-market practices, including their own economies, and offset China's state-driven economic model.
The spokesperson added: “G7 must work together to protect our workers and companies from unfair practices in China.”
In a press conference late Tuesday, Champagne acknowledged that officials would discuss “the issues of front and center” but would seek a unified front to address the challenges facing the world.
“I'm very much looking forward to Secretary Bessent's contribution,” he said. “All of my colleagues are very eager to meet him and have a real opportunity to discuss openly how we can work together.”
This week's gathering will be a pioneer of the G7 Leaders' Summit in Kananaskis from June 15 to 17, which will lead Trump to high-level negotiations with Prime Minister Mark Carney and leaders from Japan and Europe.
Champagne says
Champagne told Global News that he met with Alberta Prime Minister Danielle Smith in Calgary earlier Tuesday, and the two discussed the federal government’s commitment to expanding Canadian energy production and projects.
The minister said the G7 talks in Alberta would demonstrate the potential of the province and Canada to provide oil and gas and other natural resources to the rest of the world. He added that this is the information he also shared with Smith.
“This morning, it’s all about opportunity, making sure we see how we can seize this moment, bringing us ambitious ambitions before us and building a future Canada together,” Champagne said.
“We need to bring oil to market, and we need a lot of projects. We've been looking at different things together, and she knows we're passionate about working together, and we're getting stronger together.”
Champagne said he also met with Ukrainian Finance Minister Sergii Marchenko and headed to Banff.
Champagne said ministers discussed ways to rebuild Ukraine and ways Canada could help Ukraine economically.
“There is a Ukrainian friend who morally has to help us fight for democracy,” he said. “But at the same time, Canada can provide a lot in terms of energy, oil and gas, infrastructure, housing, and everything.”
Last year, in Italy, leaders worked to freeze and redirect Russian assets to provide financial support to Ukraine.
However, since Trump returned to power in January last year, he has threatened to withhold Ukraine's funds and forced him to sign a key mineral agreement in exchange for continued support for the Russian aggression.
The EU and the UK announced new sanctions on Russia on Tuesday without waiting for Washington to join, the day after Trump called with Russian President Vladimir Putin, with neither a ceasefire in Ukraine nor fresh U.S. sanctions.
– Documents with Canadian media and Reuters
& Copy 2025 Global News, a division of Corus Entertainment Inc.
