Mark Carney has been elected as the new leader of Canada’s Liberal Party, succeeding Justin Trudeau in a high-stakes leadership race. Carney is now set to lead the party into the next federal elections, which must take place before October 2025 but could be called earlier.

While Carney takes charge of the party immediately, Trudeau will remain Prime Minister for a transitional period until his successor fully assumes leadership. One of Carney’s biggest challenges will be managing tensions with the United States, as President Donald Trump has threatened tariffs on Canadian imports and blamed Canada for illegal immigration and fentanyl trafficking.

In his first speech as Liberal Party leader, Carney emphasized the need for new trade partnerships and vowed to maintain retaliatory tariffs on the U.S. until “America shows respect.” He criticized Trump’s policies, stating, “He’s attacking Canadian families, workers, and businesses, and we won’t let him succeed.”

Carney will now prepare to compete against Conservative leader Pierre Poilievre in the upcoming elections. Poilievre, who has been compared to Trump in the past, has recently distanced himself from the U.S. leader, stating that he is “not MAGA.”