Mark Carney’s Bold First Months: Policy Shifts, Global Diplomacy and Divided Opinions

Mark Carney Axes the Carbon Tax: A Watershed Moment for Canadian Policy

On March 31, 2025, Canada’s carbon price—once hailed as a cornerstone of climate policy—was officially consigned to history. Mark Carney, mere hours after being sworn in as Prime Minister, signed its death certificate in a move broadcast live to the nation. The moment was striking for its symbolism: ministers who had spent years defending the tax stood silent, as if witnessing the end of an era. The policy, dubbed both a “carbon price” by its architects and a “carbon tax” by its opponents, was followed into the grave by the electric vehicle mandate, with the oil and gas emissions cap expected to be next.

Carney explained his decision simply: the carbon tax had become too divisive. But the roots of its demise run deeper—through cycles of political capital, economic turbulence, and the shifting winds of public opinion. Born in a moment of global optimism, after the Paris Agreement’s promise to limit climate change, the carbon price was meant to be a symbol of Canadian seriousness on climate. Yet, as The Globe and Mail details, its practical life was fraught. Rural communities felt squeezed, urbanites largely indifferent, and inflation became the accelerant that ultimately burned the policy down.

There is a lesson here, writ large across Canadian politics: timing is everything, and moments change. The pandemic left behind not just a public health crisis but inflation and a simmering distrust of government. Every annual increase in the carbon price became a rallying point for its opponents. Conservative leader Pierre Poilievre capitalized, reframing the carbon tax as the culprit for rising costs and economic pain, even as evidence suggested its direct impact was modest. The Parliamentary Budget Officer found most Canadians were compensated through rebates, but the narrative was set: the tax was out of touch, and Carney made the call to let it go.

Foreign Interference: The RCMP’s Struggle and Carney’s Challenge

While Carney moved quickly on climate policy, another urgent file landed on his desk: foreign interference in Canada’s democracy. The RCMP, in briefing materials reported by The Canadian Press, warned of critical resource shortages hampering their ability to counter foreign threats. The January inquiry into foreign interference found no evidence of traitors in Parliament but made dozens of recommendations to bolster Canada’s defenses—calls for better funding, training, and transparency.

The Carney government responded by pledging 1,000 new RCMP personnel, a move welcomed by the force as essential for tackling not only foreign meddling but also organized crime and cyber threats. Yet, the challenge remains immense. Hostile states target Canadian institutions, media, and diaspora communities, seeking to undermine trust in democracy itself. Legislation passed under Justin Trudeau gave law enforcement new tools and created a registry for foreign influence, but gaps persist—most notably, the appointment of a registry commissioner and improved information sharing across agencies.

The RCMP’s warnings underline the complexity of modern security threats. As the world grows more interconnected and more contentious, Carney must navigate not just diplomatic relationships but the invisible battles waged on Canadian soil.

Carney’s Globe-Trotting Diplomacy: Criticism and Defense

If there’s one thing that defines Carney’s first six months, it’s his relentless travel schedule. Thirteen foreign trips since March have taken him from London and Paris to Mexico City, Kyiv, Berlin, and Washington. Conservative leader Pierre Poilievre has not missed a beat, lambasting Carney for “prancing around abroad while Canadians pay the price at home.” His social media posts paint a picture of a country in crisis—crime, inflation, tariffs, and housing “spiralling out of control”—while the Prime Minister is, in his words, absent from the day-to-day business of Parliament.

Yet, Carney’s defenders see strategy in the whirlwind. Fen Hampson, an international affairs professor at Carleton University, argues that Carney is doing exactly what the times demand: rebuilding Canada’s trade relationships as the United States becomes an increasingly unpredictable partner. Carney’s itinerary is not “political tourism,” but a deliberate effort to diversify Canada’s exports and imports, attract investment, and reinforce alliances. His presence at global summits—from the G7 in Alberta to upcoming ASEAN, APEC, and G20 meetings—sends a message that Canada is open for business.

Domestically, however, questions linger about balance. Carney’s participation in parliamentary question periods has been sporadic—three times since the House resumed, nine times in the spring. Opposition parties argue that Canadians deserve a leader who is present and accountable, especially as the country faces economic and security challenges.

The Broader Picture: Divided Public, Shifting Priorities

What ties these threads together is a sense of transition. The carbon tax saga exposed deep divides—between rural and urban, between economic urgency and environmental ambition. The RCMP’s call for resources signals a new era of security threats demanding government attention. And Carney’s global outreach reflects both opportunity and risk: the promise of new trade, but also the challenge of convincing Canadians that international engagement translates into tangible benefits at home.

Policy, as Andrew Leach observes, is never static. Climate action asks people to give up something today for a better tomorrow—a tough sell when immediate economic pressures loom large. The lessons of the carbon tax, and the rise of culture-war politics around climate, suggest that future policy must not only be effective but also sensitive to the lived realities of Canadians.

As for Carney himself, his first months have been a study in contrasts. Pragmatic and flexible, he has moved quickly to reshape policy, but faces fierce debate over whether his priorities align with those of ordinary Canadians. The opposition is vocal, the challenges are many, and the outcome remains uncertain.

Mark Carney’s opening act as Prime Minister demonstrates the high-wire nature of modern leadership: balancing sweeping reforms, diplomatic outreach, and the demands of a divided public. Whether he can convert bold gestures into lasting change will depend not just on policy design, but on the ability to build consensus in a country wrestling with both economic anxiety and the complexities of global engagement.