With Parliament set to return on Monday, the Carney government enters the fall sitting balancing high-stakes trade tensions, affordability challenges, and the political reality of a resurgent Conservative opposition.
Carney’s Liberals are gathering in Edmonton today, aiming to regroup after a summer dominated by U.S. President Donald Trump’s tariffs. Prime Minister Mark Carney used the lead-up to Parliament’s return to announce billions in funding and a new Buy Canadian procurement policy, part of a sweeping package designed to help workers and industries weather the trade war while boosting Canada’s long-term resilience.
The package included a $5-billion Strategic Response Fund for businesses, extended employment insurance benefits, new biofuels incentives for farmers, and expanded lending from the Business Development Bank of Canada. The government also paused its electric vehicle mandate for the 2026 model year, a major concession to the auto sector, while promising to fast-track major infrastructure and housing projects. Carney framed these measures as the first stage of a broader transformation to reduce reliance on the United States and build up Canadian industries.
Cabinet planning sessions last week previewed the government’s priorities: accelerating affordable housing construction, preparing for next year’s CUSMA renegotiation, strengthening Canada’s defence and industrial base, and responding to crime concerns. A new Major Projects Office will oversee nation-building projects, while forthcoming strategies on trade diversification and defence procurement are expected to take centre stage this fall.
Yet public polling shows the Liberals face a perception gap. According to Abacus Data, six in 10 Canadians believe Ottawa is spending too much energy on Trump and not enough on urgent domestic issues. Rising costs, housing affordability, and healthcare are viewed as far bigger threats to families than tariffs or trade disputes. Nearly eight in 10 Canadians say affordability issues will shape their lives more over the next two years than anything Trump does on trade. The fatigue is also real: 85 per cent say they are tired of hearing about Trump.
For the Conservatives, the timing is favourable. Fresh off a by-election win in Alberta that returned him to the House of Commons, Pierre Poilievre will rally his caucus in Ottawa on Sunday. He has been quick to dismiss Carney’s new measures as “all show business and no real business,” arguing the Liberals are distracted by global stagecraft while Canadians struggle with inflation and housing costs. With their playbook focused on bread-and-butter issues, Conservatives see an opening to paint the Liberals as out of touch and preoccupied with Trump at a time when voters want solutions at home.
This sets the stage for a fall sitting defined by competing narratives: Liberals trying to connect their trade resilience and nation-building agenda to the kitchen-table concerns of voters, and Conservatives pushing a sharper domestic message centred on affordability.
For Carney, the challenge is not just managing a hostile White House or negotiating a path through a fragile economy. It’s proving to Canadians that every dollar spent on industrial strategy, every negotiation with Trump, and every promise of nation-building will translate into tangible improvements in daily life.
With caucus meetings on both sides and a restless electorate, the fall session is shaping up as the first real test of whether the Carney government can deliver or whether the Conservatives can turn momentum into a broader narrative that puts them on the path to power.
Daniel Perry is the Director of Federal Affairs at the Council of Canadian Innovators, leading national advocacy and engagement efforts. With experience in consulting and roles at the Senate of Canada, Queen’s Park, and the Canadian Criminal Justice Association, Daniel has helped political leaders and clients across various sectors achieve their public policy goals. A frequent media contributor and seasoned campaigner, Daniel holds a Master of Political Management from Carleton University.
