President Donald Trump has abruptly withdrawn an invitation for Canadian Prime Minister Mark Carney to join his proposed "Board of Peace," intensifying a fresh diplomatic row between the U.S. and its northern neighbor. The decision follows Carney's pointed rejection of Trump's claim that "Canada lives because of the United States," a remark made amid escalating rhetoric at the Davos World Economic Forum.

Tensions boiled over during the annual gathering in Switzerland, where Carney emphasized Canada's independent economic strength and warned against coercive global power plays. Trump, responding on Truth Social, not only pulled the invite but referenced a controversial map he'd shared earlier, depicting Canada, Greenland, and Venezuela under U.S. influence—fueling annexation speculation. This exchange marks a sharp departure from typical U.S.-Canada harmony, with Carney standing firm on national sovereignty.

Touted by Trump as an elite panel for Gaza's post-conflict rebuilding, the board promises prestige but demands hefty contributions, reportedly including a $1 billion entry fee that Canada declined. Initial invitees like Canada are now out, leaving room for speculation about attendees such as Putin or Orban. Observers see it less as a diplomatic breakthrough and more as a bold, Trump-style gambit in Middle East peacemaking.

With the USMCA trade pact facing renewal, this snub could invite tariffs reminiscent of Trump's first-term steel duties, which disrupted billions in cross-border goods like vehicles and lumber. Carney's response signals Canada's growing trade ties with Europe and Asia, a buffer against U.S. volatility. For global markets, including India's export hubs in Gurugram, watchful eyes are on potential supply chain shocks.

Online buzz ranges from support for Carney's defiance to ridicule of the board as a "pay-to-play" club. As Trump pushes his America First agenda post-2025 inauguration, G7 dynamics may shift. Official statements from Ottawa are pending, but history suggests negotiation over escalation—though tariffs remain a wildcard.