‘Rules-based order was a lie’: Canada’s Mark Carney says old order is not coming back, rebukes US at Davos 2026
WEF Davos 2026: Recent crises in finance, health, energy and geopolitics have exposed the dangers of deep global interdependence, said Mark Carney.
- Jan 21, 2026,
- Updated Jan 21, 2026 8:19 AM IST
In a stunning rebuke of American actions and policies under Donald Trump, Canadian Prime Minister Mark Carney said “great powers” have begun using tariffs as weapons, and that the old order is not coming back. Carney, speaking at the World Economic Forum in Davos said that the rules-based order was partially false.
“Let me be direct. We are in the midst of a rupture, not a transition. The old order is not coming back,” said Carney. “We knew the story of the international rules-based order was partially false,” Carney said. “That the strongest would exempt themselves when convenient. That trade rules were enforced asymmetrically. This fiction was useful — and American hegemony in particular helped provide public goods. But this bargain no longer works.”
Recent crises in finance, health, energy and geopolitics have exposed the dangers of deep global interdependence, he said. “Great powers have begun using economic integration as weapons. Tariffs as leverage. Financial infrastructure as coercion. Supply chains as vulnerabilities to be exploited,” he said, adding that the implications were great for a country like Canada.
Carney said that long-held beliefs that alliances and geography would guarantee prosperity and security are no longer valid. “You cannot live within the lie of mutual benefit through integration when integration becomes the source of your subordination,” he said.
He said Canada must focus on strengthening the country's domestic capacity and diversifying trade relationships, moving away from dependence on a single trading partner. Acknowledging weakened multilateral organisations such as the World Trade Organization and the United Nations, Carney stated that nations must increasingly operate with greater autonomy.
Carney remarked, “A country that cannot feed itself, fuel itself or defend itself has few options. When the rules no longer protect you, you must protect yourself.” He cautioned that a shift toward protectionism and insular policies would harm nations economically and socially, particularly affecting middle powers that rely on open and cooperative international systems.
Carney advocated for the formation of flexible alliances among like-minded countries, stating, “If you are not at the table, you are on the menu,” he said. Concluding his address, Carney rejected any longing for previous systems: “The old order is not coming back. We should not mourn it,” he said. “From the fracture, we can build something better, stronger and more just. This is the task of the middle powers, the countries that have the most to lose from a world of fortresses and most to gain from genuine cooperation,” Carney said.
In a stunning rebuke of American actions and policies under Donald Trump, Canadian Prime Minister Mark Carney said “great powers” have begun using tariffs as weapons, and that the old order is not coming back. Carney, speaking at the World Economic Forum in Davos said that the rules-based order was partially false.
“Let me be direct. We are in the midst of a rupture, not a transition. The old order is not coming back,” said Carney. “We knew the story of the international rules-based order was partially false,” Carney said. “That the strongest would exempt themselves when convenient. That trade rules were enforced asymmetrically. This fiction was useful — and American hegemony in particular helped provide public goods. But this bargain no longer works.”
Recent crises in finance, health, energy and geopolitics have exposed the dangers of deep global interdependence, he said. “Great powers have begun using economic integration as weapons. Tariffs as leverage. Financial infrastructure as coercion. Supply chains as vulnerabilities to be exploited,” he said, adding that the implications were great for a country like Canada.
Carney said that long-held beliefs that alliances and geography would guarantee prosperity and security are no longer valid. “You cannot live within the lie of mutual benefit through integration when integration becomes the source of your subordination,” he said.
He said Canada must focus on strengthening the country's domestic capacity and diversifying trade relationships, moving away from dependence on a single trading partner. Acknowledging weakened multilateral organisations such as the World Trade Organization and the United Nations, Carney stated that nations must increasingly operate with greater autonomy.
Carney remarked, “A country that cannot feed itself, fuel itself or defend itself has few options. When the rules no longer protect you, you must protect yourself.” He cautioned that a shift toward protectionism and insular policies would harm nations economically and socially, particularly affecting middle powers that rely on open and cooperative international systems.
Carney advocated for the formation of flexible alliances among like-minded countries, stating, “If you are not at the table, you are on the menu,” he said. Concluding his address, Carney rejected any longing for previous systems: “The old order is not coming back. We should not mourn it,” he said. “From the fracture, we can build something better, stronger and more just. This is the task of the middle powers, the countries that have the most to lose from a world of fortresses and most to gain from genuine cooperation,” Carney said.