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After contradiction, Carney says he could have ‘explained better’ the terms of U.S. bridge deal
OTTAWA — Prime Minister Mark Carney said he could have “explained better” the terms of a new deal with the U.S. to share toll revenues for the Gordie Howe International Bridge, after the terms of the deal became public and contradicted his initial description.
The agreement, which was made public earlier this week, does not include a provision that allows Canada to account for its debt-servicing costs before splitting the revenue with the U.S.
This contradicts what the prime minister told CTV News on July 12 at the Calgary Stampede, when he was discussing the merits of the deal, while the terms were still undisclosed.
“Could I have explained it better on a Sunday morning at Stampede? Yeah, with a cowboy hat on,” said Carney on Thursday, during the closing press conference of a meeting with the premiers in Charlottetown. “Yes, I could have explained it better.” The deal was first announced by the federal government on July 10.
The agreement, eventually released by the Windsor-Detroit Bridge Authority, said Canada will give the U.S. 50 per cent of net revenues for the first 15 years, after recovering operating costs.
Carney confirmed Thursday that the operating expenses will not include debt repayment.
“I should have been clearer,” the prime minister added.
The bridge began construction in 2018 to address the congestion on the privately owned Ambassador Bridge, which handles just over a quarter of all Canada-U.S. trade.
An agreement that was struck with Michigan in 2012 originally stipulated that Canada was to pay for construction and receive all the toll revenue until it could recover its financing costs, including interest, after which revenues would be shared. Michigan and Canada are joint owners of the bridge.
In June, U.S. President Donald Trump blocked the opening of the bridge, claiming the original deal was unfair to the U.S. The Windsor mayor, among many others, had said the obstruction came as a result of lobbying efforts by the Maroun family, owners of the Ambassador Bridge, which stands to lose toll revenue to a competing trade route.
“The underlying agreement between Canada and Michigan remains in place,” said Carney on Thursday. “Under that agreement, there is no splitting of tolls under that agreement, which is what I was referring to — perhaps imperfectly. But there is no splitting of tolls under that agreement until all of the debt is repaid.”
Sitting alongside the prime minister, Ontario Premier Doug Ford commended the prime minister’s efforts to get the crossing open.
“The prime minister did an excellent job getting this deal done, getting $300 billion of goods across the border to create more opportunities, more jobs,” he said. “Michigan is Ontario’s No. 1 trading partner, with over $70 billion of two-way trade.”
Ford added that the bridge opening is critical for Canadian manufacturers.
The Conservatives have criticized the prime minister for his description of the deal’s terms that contradicted the text. Conservative MP Kelly McCauley, who chairs the House of Commons government operations committee, said he will convene a meeting July 29 to get to “the bottom of the matter.”
A Canadian opening ceremony is scheduled to take place on Friday, with cross-border celebrations recently cancelled by the federal government after Washington announced plans for new tariffs on Canadian goods.
The bridge is scheduled to open to traffic on Monday, July 27.
National Post
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