Trump stripped Canada of its seat on the prestigious Peace Council
Prime Minister Carney received a public resignation following criticism of US rhetoric, while applications to serve in the Canadian Armed Forces have surged dramatically.
Canadian-American relations continue to remain in the spotlight after U.S. President Donald Trump withdrew Canada's invitation to his newly created Peace Council. Prime Minister Carney was in Quebec at the time for a cabinet meeting, following his public criticism of American rhetoric.
Trump Excludes Canada from Peace Council
The American president canceled Carney's invitation to join the group of leaders he established to oversee the future of Gaza. Trump appointed himself as chairman of this body. The Canadian prime minister had initially agreed in principle to participate in the council's work, however, in a Truth Social post, Trump withdrew the offer.
The decision came after Carney delivered a sharp speech warning of a "fracture" in the rules-based international order. He called on middle powers to unite and create a "third way with influence" in the face of economic pressure from world superpowers.
In his message, Trump stated that Canada is no longer invited to join "the most prestigious Council of leaders ever assembled." So far, 22 countries have accepted invitations, including Egypt, the UAE, and Qatar. The United Kingdom, France, and several other nations have declined to participate. Ukraine and Russia received invitations but have not yet committed.
Surge in Interest in Canadian Military Service
The Canadian Armed Forces have recorded a significant increase in applications to join the military after years of missing recruitment targets. This marks a turning point for the military department, which had struggled to attract new members amid personnel shortages and a lengthy hiring process.
According to Canadian Armed Forces data, applications to the regular forces increased by nearly 13 percent in the current fiscal year compared to the previous period. This follows a 55-percent jump in recruits last year, when 6,700 new members joined the regular forces as of December 2025—the highest enrollment figure in the past decade.
These changes are happening against the backdrop of increased attention to Trump's recent rhetoric about seizing Greenland and his interest in the Arctic for national security purposes. However, the military is avoiding directly pointing to tensions with its southern neighbor as the reason for the surge in interest from potential recruits.
Debate Over the State of World Order
Financial leaders at the World Economic Forum in Davos stated that the world order is changing but not experiencing a fracture, disagreeing with Carney's position about a new order forming, driven by coercion from major powers.
I don't entirely agree with Mark. I'm not sure we should talk about fracture. I think we should talk about alternatives. We need to identify, much more than we probably did in the past, weaknesses, pain points, dependencies, autonomy
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— said European Central Bank President Christine Lagarde.
Global Economic Resilience
Leading global economic policymakers urged countries and businesses to filter out the turmoil and focus on driving growth and fighting inequality. European Central Bank chief Christine Lagarde, International Monetary Fund head Kristalina Georgieva, and World Trade Organization chief Ngozi Okonjo-Iweala said during a panel discussion that the global economy is showing unexpected resilience despite the noise.
According to the policymakers, efforts are now needed to stimulate growth to offset high debt levels worldwide. It's important to ensure that disruptive technologies like artificial intelligence don't worsen inequality or devastate labor markets. Europe also needs to boost productivity and improve its business climate for investment.
