Leaders speaking on the first day of the World Economic Forum (WEF) in Davos have declared the end of the “global order as we know it,” driven by the actions of the US administration under Donald Trump.

In his address to the forum, Canadian Prime Minister Mark Carney stated that the rules-based international order is experiencing “not a transition, but a rupture,” calling on the world’s “middle powers” to unite in response.

Carney did not mention Trump by name, yet his speech received a standing ovation from attendees. The Canadian leader pointed out that the global order centered on “American hegemony” is now a “fiction,” stating that the era of multilateralism has ended with groups like the World Trade Organization and the UN having been “largely weakened.”

Carney spoke as follows:

“Canadians know that our old, comfortable assumption that our geography and alliance memberships automatically provide prosperity and security is no longer valid. Let me be clear. We are not in a period of transition; we are in the midst of a rupture.”

“You cannot live in the lie of mutual benefit through integration when that integration has become the source of your subservience,” Carney said.

Accusation of “economic coercion” against the US

Argued that major powers have recently begun weaponizing economic integration—using tariffs as tools of pressure, financial infrastructure as instruments of coercion, and supply chains as vulnerabilities to be exploited—Carney called on countries to begin openly condemning economic coercion even when applied by allies, a remark that served as another clear reference to the US.

The Prime Minister stated, “The old order is not coming back.”

Urging “middle powers,” including Canada, to cooperate with one another, the Canadian Prime Minister said, “If you are not at the table, you are on the menu. Nostalgia is not a strategy. But we believe we can build something bigger, better, stronger, and fairer from this rupture.”

Carney, whose Liberal Party won the election last year on a pledge to protect Canada from US tariffs, attempted to appease Trump while conducting trade agreement negotiations with him.

High-level European political figures praised Carney’s comments at the WEF. Alastair Campbell, adviser to former UK Prime Minister Tony Blair, wrote on X, “The speech today was true leadership.” Carl Bildt, co-chair of the European Council on Foreign Relations and former Prime Minister of Sweden, called it “very significant.”

As Ottawa seeks to diversify its relationships away from US trade, Carney traveled to Beijing last week for a historic meeting with Chinese President Xi Jinping, the first such encounter in nearly a decade.

Speaking to reporters during the visit, he said that China is a more “predictable” partner than the US and that the Canada-China partnership is part of the emerging “new world order.”

Call from Canadian leader for “middle powers” to act together

Quoting the famous ancient Greek historian Thucydides and Václav Havel at Davos, the Canadian leader said that countries like Canada must change course to avoid further “coercion” by powerful actors:

“When the rules no longer protect you, you must protect yourself. But let us see clearly where this leads. A world surrounded by fortresses will be poorer, more fragile, and less sustainable.”

Carney stated, “Canada strongly opposes the tariffs regarding Greenland and demands focused discussions to achieve our shared goals of security and prosperity in the Arctic.”

As an example of cooperation among middle powers, Carney said that Canada is strictly committed to the collective defense of Greenland within the scope of NATO. The Prime Minister said, “On the matter of Arctic sovereignty, we stand with Greenland and Denmark, and we fully support Greenland’s unique rights to determine its future.”

Carney’s fundamental argument was that middle powers should join forces rather than competing to curry favor with major powers:

“When we engage in only bilateral negotiations with a hegemonic power, we negotiate from a weak position. We accept what is offered. This is not sovereignty. This is obeying while accepting sovereignty.”

The Prime Minister said that middle powers must establish new institutions among themselves, strengthen their domestic economies, diversify international trade, and work together in coalitions—not bilaterally—in their relations with major powers:

“Instead of waiting for a great power to rebuild the order it destroyed with its own hands, create institutions and agreements that work as advertised. This is not naive multilateralism. Nor is it relying on weakened institutions. It is building coalitions that work, issue by issue, with partners who share enough common ground to act together.”

Promise of a joint response from von der Leyen

Earlier in the day, European Commission President Ursula von der Leyen told the World Economic Forum that the economic pressures threatened by Trump to seize Greenland were a mistake and warned that the EU’s response would be “decisive, united, and proportional.”

Von der Leyen pushed back against Trump’s threat to impose a 10% tariff on European allies and the UK until allowed to annex Greenland, as well as the warning that tariffs would rise to 25% in June.

Von der Leyen stated that the EU shares US concerns regarding the protection of Greenland and is ready to increase spending and protective measures there.

Stating that the “sovereignty and integrity” of Danish territory is “not open for debate,” von der Leyen said Brussels is working on a “major wave of European investment” in Greenland.

The Commission President said, “Hand in hand with Greenland and Denmark, we will explore how we can further support the local economy and infrastructure. We will work for broader Arctic security with the US and all partners.”

Arguing that “geopolitical shocks” could be an opportunity for Europe, von der Leyen said, “To me, the profound change we are experiencing today is an opportunity, even a necessity, to forge a new form of European independence”:

“Trying to buy time and hoping the situation will improve soon will not eliminate our structural dependencies. My point is this: If this change is permanent, Europe must also change permanently. It is time to seize this opportunity and build a new, independent Europe.”

Arguing that this new Europe is already emerging, von der Leyen cited the recent EU-Mercosur trade agreement as a sign of this. She said she would travel to India after Davos to negotiate an agreement with that country as well. Stating that a market of 2 billion people would be created through agreements made or to be made with countries such as Indonesia, the Philippines, Mexico, Australia, Thailand, and the UAE, alongside Latin America and India, von der Leyen noted that these would account for one-quarter of the world’s total GDP.

Macron: A world where rules are upended

Taking the podium wearing dark glasses due to illness, French President Emmanuel Macron stated it was clear that an era of “instability and imbalance” had begun in terms of both security and defense, as well as the economy.

Noting a “shift from democracy toward autocracy,” Macron argued that there is more war, that conflicts have normalized and become more complex, spreading to new demands, space, digital information, the cyber realm, and trade.

Emphasizing that there is also a shift toward a world without rules, the French leader continued:

“A world where international law is trampled underfoot and the only valid rule is the rule of the strongest. And imperial ambitions are resurfacing. Clearly, Russia’s war against Ukraine, which will enter its fourth year next month, and the conflicts continuing in the Middle East and Africa.”

According to Macron, this also signifies a slide toward a world where there is no “effective collective governance,” where “multilateralism” is weakened by powers that obstruct it or distance themselves from it, and where “rules are upended.”

Making a direct reference to the US, Macron noted that competition conducted by Trump through trade agreements that harm export interests, demand maximum concessions, and openly aim to weaken and subjugate Europe is combined with the endless accumulation of “new tariffs that are fundamentally unacceptable and become even more unacceptable when used as a tool of pressure against territorial sovereignty.”

Search for “rebalancing” with China on the table

Touching on China as well, Macron argued that competition from there poses a threat of upending entire industrial and trade sectors due to “massive overcapacity and disruptive practices.”

Suggesting that the solution to the problem is “more cooperation,” the French leader said that establishing greater “economic sovereignty and a strategic economy,” particularly for Europeans, is the fundamental answer.

Arguing that there are two approaches today, Macron called the first the vassal and colonial approach that accepts “the law of the strong,” noting that this is unacceptable.

Stating that the second is to adopt a “purely moral stance” and “limit ourselves to commenting,” Macron said, “This too would condemn us to marginalization and powerlessness.”

Macron stated that France and Europe, facing the “brutalization of the world,” must defend “effective multilateralism,” noting that this serves the interests of both Europe and everyone who refuses to bow to the use of force.

Arguing that “rebalancing” with China is crucial, Macron noted the following:

“Our door is open to China, but what we need is for more Chinese foreign direct investment to be made in certain key European sectors to contribute to growth and transfer certain technologies. Not to export to Europe certain devices or products that sometimes do not share the same standards as those produced in Europe or are much more heavily subsidized. This is not protectionism, it is simply restoring a level playing field and protecting our industry.”

Believing that Europe needs “simplification,” Macron called for the elimination of certain new regulations that prevent the EU from being “synchronized.” Stating that the deepening of the single market must also be accelerated in this context, Macron said, “In all sectors, the population and consumer market of 450 million must be the domestic market for all EU companies.”