Kevin O'Leary says Canada's natural resources give it leverage over the U.S. as trade talks collapse

Kevin O'Leary says Canada's natural resources give it leverage over the U.S. as trade talks collapse

Things are heating up in the Canada/U.S. trade war. Kevin O'Leary says that Canada holds a key resource — and that the country's new prime minister is prepared to use it.

"The richest country on Earth per capita is Canada but it's all in the ground," said O'Leary in a recent X post. "[Prime Minister Mark] Carney is gonna change all that and he's got the population behind him."

Jeff Bezos backs a platform that lets anyone invest in rental homes for as little as $100 — 6 ways to build wealth like a landlord without actually being one

Dave Ramsey warns nearly 50% of Americans are making 1 big Social Security mistake. Here's what it is and 3 simple steps to fix it ASAP

The tax breaks in Trump's 'big beautiful bill' expire after 2028. Here are 4 moves to make before the window closes

His post comes after negotiations between the countries fell apart, in large part thanks to unrealistic demands from U.S. negotiators. U.S. stipulations included everything from limiting Canada's ability to make trades with other countries to weakening Canada's language protections for its French-speaking citizens. However, President Trump has denied making the latter demand.

"For Americans, French language, Francophone culture, Canadian culture, these are irritants," said Carney in a news conference held in Quebec, a majority French-speaking province of Canada. "Here in Quebec, here in Canada, these are rights."

Here's what O'Leary thinks will happen next in the North American trade war — and how likely his predictions are to turn out right.

Canada is awash with energy resources that U.S. needs

One of Canada's biggest exports is its natural resources. In 2025, Canada exported roughly $198 billion of energy resources to other countries, making up a little over a quarter of its total goods exports.

The vast majority of Canada's exports go to the U.S. According to the Government of Canada's Spring 2026 Energy Fact Book, 90% of its crude oil exports were destined for the U.S.; 63% of U.S. crude oil imports were from Canada.

Canada also exports significant amounts of natural gas and electricity to the U.S. It is also the world's largest producer and exporter of potash, which is used to make fertilizer.

Both Canada's energy and its fertilizer are especially important imports for the U.S. right now. The Strait of Hormuz's status remains unclear, which means vital oil and fertilizer supplies are still struggling to make it to U.S. soil.

Right now, Canada hasn't made any changes to its energy trades to the U.S. despite the breakdown in trade negotiations. But that could change if President Donald J. Trump doesn't back down from some of his harsher demands.