Monday, January 26, 2026

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Carney to Cut Cabinet Size in Half, Prepares for Trump Trade Challenges

Incoming Prime Minister Mark Carney is finalizing preparations for a significantly streamlined cabinet as he prepares to take office this Friday, according to sources familiar with the transition. The incoming Liberal government is expected to reduce ministerial positions from 37 under Justin Trudeau to between 15 and 20 members.

Former leadership rival Chrystia Freeland has reportedly been tapped for the transport minister position, while Environment Minister Steven Guilbeault will transition to Quebec lieutenant, sources told CBC News. The Montreal MP, who has served as environment minister since 2021, will retain his focus on biodiversity and Canadian heritage but will no longer be the government’s primary spokesperson on climate change.

Carney’s cabinet selections appear strategically focused on confronting economic challenges, particularly those stemming from the Trump administration’s trade policies. Labour Minister Steven MacKinnon emphasized this priority, stating that cabinet members must be “ready to face the threats from the United States on the trade front.”

Several key ministers from the Trudeau government are expected to continue in their roles, including Foreign Affairs Minister Mélanie Joly, who will also oversee international development. Finance Minister Dominic LeBlanc and Innovation Minister François-Philippe Champagne are also likely to retain their portfolios.

Crown-Indigenous Relations Minister Gary Anandasangaree is set to expand his responsibilities, taking on the justice minister and attorney general roles while maintaining his current portfolio.

Sources indicate that Public Services and Procurement Minister Jean-Yves Duclos and former leadership candidate Karina Gould will not be included in the new cabinet.

The incoming prime minister, who won the Liberal leadership in a decisive victory on Sunday, is planning an official trip to Europe next week, with expected visits to London and Paris as trade tensions with the United States intensify. 

Before his departure, Carney will complete the formal transition of power when Justin Trudeau meets with Governor General Mary Simon on Friday to resign and recommend Carney form the next government.

Related: Snap Election Likely, Carney Avoids NDP Talks on Government Extension 


Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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