Commodities January 29, 2026

Carney says US should respect Canadian sovereignty after reports of meetings with Alberta separatists

Prime Minister reiterates expectation of U.S. deference as allegations surface of State Department talks with Alberta group pushing independence and funding requests

By Hana Yamamoto
Carney says US should respect Canadian sovereignty after reports of meetings with Alberta separatists

Canadian Prime Minister Mark Carney told reporters he expects the U.S. administration to respect Canada's sovereignty after reports that U.S. State Department officials met with the Alberta Prosperity Project, a group advocating a referendum on Alberta independence. The APP reportedly held three meetings and seeks another session to request a $500 billion credit facility. Provincial leaders and U.S. officials have offered sharply contrasting remarks, while tensions between Ottawa and Washington remain visible amid broader trade discussions.

Key Points

  • Reports indicate U.S. State Department officials held three meetings with the Alberta Prosperity Project, which is advocating a referendum on Alberta independence.
  • The APP reportedly plans to seek another meeting with U.S. State and Treasury officials to request a $500 billion credit facility; this development touches energy and finance sectors.
  • Alberta's premier says she wants to remain in Canada but cites polls showing about 30% of the population frustrated with federal interference; pipeline access to the Pacific and interprovincial opposition from British Columbia raise infrastructure and energy market concerns.

Canadian Prime Minister Mark Carney addressed questions about reported contacts between U.S. officials and advocates of Alberta separatism, saying he expects the U.S. administration to respect Canadian sovereignty. The comments came after media reports that State Department representatives had met three times with the Alberta Prosperity Project (APP), a group campaigning for a referendum on whether the province should separate from Canada.

At a press conference, Carney said: "We expect the U.S. administration to respect Canadian sovereignty. I’m always clear in my conversations with President Trump to that effect," and added that the U.S. president had never raised the question of Alberta separatism with him.

The APP, which argues that federal policies are constraining the province, has reportedly asked for another meeting next month with both State and Treasury Department officials to press for a $500 billion credit facility, according to the reports. The group is said to be pushing a referendum on whether the energy-producing Western province should break away from Canada.

Alberta's premier, Danielle Smith, reiterated that she wishes for the province to remain part of Canada, while noting that polls indicate roughly 30% of the population are frustrated with what they perceive as excessive federal interference.

Geography and infrastructure constraints underline some of the tensions. Alberta is landlocked and Ms. Smith has been advocating for construction of another oil pipeline to the Pacific Coast to boost market access. That proposal would require the pipeline to cross neighboring British Columbia, whose premier, David Eby, has declined the idea.

Eby, whose relationship with Ms. Smith is generally described as chilly, was quoted saying that "to go to a foreign country and to ask for assistance in breaking up Canada ... is treason" when asked about the reported outreach to U.S. officials.

Separately, U.S. Treasury Secretary Scott Bessent was quoted last week on a radio program as saying: "I think we should let them come down into the U.S." When asked about a potential Alberta referendum, he reportedly added: "People want sovereignty. They want what the U.S. has got."

The exchanges come amid a period of heightened public disagreements between Carney and President Trump. Carney has described the U.S. president as a skilled negotiator, and has suggested that some of Mr. Trump's recent remarks may be connected to an upcoming review of the U.S.-Mexico-Canada trade pact, which is due to begin later this year.


Context and implications

While provincial politics and energy infrastructure sit at the center of the reported outreach, the matter has spilled into diplomatic remarks and responses from senior officials on both sides of the border. The combination of separatist advocacy, a substantial requested credit facility, and divergent provincial positions adds complexity to federal-provincial relations, cross-border diplomacy, and sectors tied to energy transport and trade.

Risks

  • Diplomatic strain - Reports of foreign officials meeting separatist advocates could increase tensions between Ottawa and Washington, affecting government-to-government relations and policy coordination.
  • Energy infrastructure uncertainty - Opposition from British Columbia to a proposed oil pipeline to the Pacific complicates Alberta's efforts to expand export routes, creating uncertainty for the oil and transportation sectors.
  • Political volatility in Alberta - Polling showing roughly 30% public discontent and reported calls for a referendum introduce electoral and policy uncertainty that could influence regional investment and market sentiment.

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