President Trump on Thursday rescinded Canada's invitation to his "Board of Peace" for Gaza, deepening a feud with Prime Minister Mark Carney that reignited at the World Economic Forum in Davos this week.
Why it matters: It's the latest sign of a splintering partnership between the U.S. and one of its longest-standing allies.
Driving the news: "Canada and the United States have built a remarkable partnership in the economy, in security and in rich cultural exchange," Carney said on Thursday night.
- "But Canada doesn't live because of the United States. Canada thrives because we are Canadian."
- Trump responded on Truth Social by revoking Canada's invitation to join the Board of Peace.
Catch up quick: The recent tit-for-tat began in Davos, when Carney gave a defining address of the summit, warning of what he called a "rupture" in the U.S.-led world order.
- Trump took notice of the dig and fired back the following day, saying in his remarks that Canada should be "grateful" to the U.S. for "freebies" it receives as a result of the countries' relationship.
- "Canada lives because of the United States," Trump said. "Remember that, Mark, the next time you make your statements."
- Canada was among several U.S. allies that Trump dissed in his speech.
Friction point: It wasn't just Trump adding fuel to the fire. Separately, Treasury Secretary Scott Bessent floated the idea of Alberta seceding from Canada to join the U.S.
- "Albertans are very independent people — rumor that they may have a referendum on whether they want to stay in Canada or not," Bessent said to MAGA podcaster Jack Posobiec in a Thursday episode.
- Bessent touted the province's natural resources.
- The Canadian embassy and Carney's office did not immediately respond to Axios' request for comment about Bessent's comment.
Zoom out: As for the Board of Peace, Canada will join other U.S. allies on the outside looking in.
- French President Emmanuel Macron has reportedly rejected Trump's offer to join the board, and several NATO allies have either declined to participate publicly or have not yet accepted invites.
- Other invitees include Russian President Vladimir Putin and Belarusian President Aleksandr Lukashenko.
The big picture: Carney was elected with a mandate to oppose Trump, who had taken an aggressive posture toward the U.S.'s northern neighbors that he mockingly refers to as the "51st state."
- Carney has repeatedly pushed back on Trump's threats to annex Canada.
- In October, Trump abruptly ended trade talks with Canada following a TV ad in Ontario featuring former President Reagan criticizing tariffs.
- Canada, meanwhile, has diversified its trade with countries outside the U.S. in response to Trump's tariff threats.
Go deeper:
- Trump's Davos digs: The U.S. allies he dissed in his speech
- Trump responds to Carney: "Canada lives because of the United States"
Editor's note: This story has been updated with Bessent's comments about Alberta.
