Jessica Murphy
Reporting from Toronto

Theformer central banker and now prime minister-designate will have to quicklyorganise the transition of power from PM Justin Trudeau, as he selects his newteam and new Cabinet.

Trudeauis meeting his Cabinet today, which Carney will likely attend.

Trudeaustill needs to offer his resignation to Canada’s Governor General, and she willthen swear in Carney and his Cabinet.

Thatis expected some time this week.

Then,predictions about when the next election will be will begin in earnest.

Parliamentresumes 24 March, and opposition parties have suggested they will bring downthe minority Liberal government.

ButCarney has the option not to wait - he could call a snap electionearlier.

“Carney is right now riding a wave of liberal revival that started with Trudeau resigning, and then with the Trump attacks, coming on the decline in the Conservative fortune,” says AndrewMcDougall, an assistant professor of Canadian politics at the University ofToronto.

“So I think, from his perspective, it also makes a lot of sense.”

Faisal Islam
Economics editor

Earlier, I touched on Trump's tariffs threats and how they pose a problem for Carney as he comes into his new role.

It is the question about sovereignty that, in many ways, gives the new PM quite some freedom.

No Canadian PM could negotiate in good faith with a president threatening his country’s sovereignty. This is where Carney’s international connections, with the UK, Europe and Asia will come in helpful. He could seek to internationalise these tensions to strengthen his hand.

Carney knows like nobody else about the interaction between political crisis and markets. He foresaw the challenges of the Scottish independence and Brexit referenda.

As a private citizen he warned about Liz Truss’ mini budget. The US President, of course, does listen to the markets.

Faisal Islam
Economics editor

The new Canadian PM has two interlinked challenges with his "southern neighbour". The tariff war and Trump's threats to use economic power tomake Canada the 51st state of the US.

On the trade war, he needs to unify Canada, win theargument, and sow doubt in US businesses, stock markets, in the US Congress,and ultimately those in the court of President Trump who are sceptical aboutthe tariff plan.

Last night he set a high bar to remove the Canadiancounter-tariffs - that the US must "respect" Canada and show it has returned tofree and fair trade.

While the White House attempts to convince the US publicthat there will be little economic damage from a trade war, Carney can list anumber of areas where significant pain could be felt.

He has made the argumentthat logically the US is rejecting imports of subsidised Canadian oil that fuelthe refineries of the Midwest. This, he says, is the cause of the deficit, so perhapsthe US wants to return the subsidy.

Of course Canada may suffer more in this process. However,he will also develop an alternative, to use his country’s fiscal firepower todiversify the economy away from the US and towards Europe and Asia.

We just heard from Ontario's Premier Doug Ford and Minister of Energy and Electrification Stephen Lecce about how they will retaliate against US President Donald Trump's tariff policies on Canada.

Here's a quick recap:

• Ford said Ontario implement a 25% surcharge on electricity exports to the US, noting that Trump's tariff threats are hurting families on both sides of the border
• He said the measure would impact 1.5 million homes and businesses across Minnesota, Michigan and New York, costing up to $400,000 per day for these states - "If the US escalates, I will not hesitate to shut the electricity off completely," he said
• Minister Stephen Lecce highlighted that Canada is a "30 times net exporter" to the US, and that it sells 12,000 megawatts of power into the US market - "they need our power" he said
• Ford ended by appealing to Trump, saying it would be a "disaster" in the US if Canada were to shut down its major exports, such as lumber, potash, aluminium and steel

The press conference has finished. But before it did, Ontario Premier Doug Ford was asked if he had a message for US President Donald Trump.

He says one of Trump's measuring sticks is the markets, which have "dropped trillions of dollars".

"He understands the markets," Ford says. The premier says you can like or hate him - but Trump is a "smart guy".

Ford adds that if Canada shuts down exports such as lumber, aluminium, steel, potash, and uranium, "it would be a disaster" in the US.

He urges Americans to "put pressure on your president," adding that if Trump goes full steam ahead with his tariff policies, both countries will go downhill

Ford is asked whether the US states which will be affected may just find another supplier.

He responds that "anything is possible" but adds that they wouldn't be buying from Canada if they could buy from a US state.

Separately he tells the press they will keep increasing their energy production, "because we're going to need it" in Ontario and for neighbours.

Then we hear from Minister of Energy and Electrification Stephen Lecce, who says they sell 12,000 megawatts of power per hour into the US market, and that 374 megawatt hours are brought in.

"We are a 31-times net exporter," he continues. "We have the capacity including with natural gas and other levers to dial up. If we ever need to more power we have the ability."

He says they have enough energy to keep the lights on for Ontarians.

Speaking more broadly about the trade war caused by US tariffs, Ford says "we aren't the problem, China is the problem".

He argues that steel from China goes into Mexico, where they might make a minor tweak, throw a "made in Mexico" sticker on it and ship it to the US.

"That's unacceptable," he says, adding, that they need to make sure all steel that's used is Canadian steel.

For context, a 25% tax is set to be imposed on all imports of steel and aluminium into the US, ending exemptions from the rules for goods from major trade partners including Canada, Mexico, Brazil, as well as the European Union.

The expanded tariff measures announced by President Donald Trump, expected to go into effect this month, will mean many US businesses wanting to bring the metals into the country will have to pay more.

Ford is asked about how the surcharge, which he says could cost the US up to $400,000 per day, could make any difference at all.

The premier says it "makes a big difference".

"It's the same as taking alcohol off the shelves, you know with the bourbon. It really caught the attention of the governor and the US senator Mitch McConnell," he continues.

He thanks McConnell for speaking out "very harshly" against Donald Trump's tariffs.

Ford is next asked when Canadians might be able to expect an election, following Mark Carney's victory yesterday.

Stressing that he is "guessing", he says "I hear anywhere from 10 to 15 days they'll be going to the polls".

He adds that he's "staying out" of that election.

Ford is asked about a marketing and advertising campaign in the US, to which he responds saying "we need to inform the American people".

"We want to make sure we send a clear message," he says.

He goes on to say that American people are Canada's "greatest allies in the fight against these tariffs".

Taking questions now, Minister of Energy and Electrification Stephen Lecce says Canada is a "30 times net exporter" to the US, adding "they need our power".

"This is about maximising pressure on America and minimising the impacts on Ontario," he says.

The impact of this is going to "reverberate" across America, he says, adding that states who resell and upsell Canada's power will be impacted by these higher costs.

Ford continues to say that these measures will affect 1.5 million homes and businesses across Minnesota, Michigan and New York.

He says the surcharge will cost up to $400,000 per day for these states - which he says would add about $100 per month in bills for "hard working Americans".

While saying he does not want to do this - Ford outlines he "will not hesitate" to increase the charge or to shut off electricity all together.

Nonetheless, he underlines he feels "terrible" for the American people who did not start this trade war.

Ford says that each day brings new tariff threats, adding that US President Donald Trump is now threatening steel and aluminium.

He says these threats are hurting families on both sides of the border, and adds that Ontario will not back down until tariffs are pushed back or paused.

Ford goes on to say "we will apply maximum pressure to maximise leverage", and that Ontario will move forward on the 25% surcharge on electricity exports.

Ontario Premier Doug Ford is now speaking. He begins by congratulating Mark Carney on winning the leadership race.

He says he looks forward to a renewed federal leadership, adding it's never been more important to "build big things".

He goes on to thank Justin Trudeau for his years of service.

You can also watch along at the top of this page by clicking watch live.

Minister of Energy and Electrification Stephen Lecce starts by addressing the media first. He says they are here today for "another step" in tackling the uncertainty caused by the Trump administration.

He says for "years" Ontario has exported power to the US - "kept lights on" in American homes, factories and farms.

However, he adds, when under attack they will "use every tool in the tool box".

We're still waiting for Ontario's Premier Doug Ford begin addressing the media.

We're poised to bring you the key lines, and you can also follow along yourself by clickingWatch Live at the top of this page.

We're just a few minutes away from hearing from Ontario Premier Doug Ford, who is due to hold a news conference on his province's plans to impose retaliatory tariffs on the US.

Writing on X yesterday, Ford congratulated Mark Carney, adding: "Together, let’s unleash the Canadian economy and make our country more secure by building big, bold projects — starting with the Ring of Fire."

He's expected to speak both about the recent Liberal leadership election as well as a US electricity surcharge - for the latter, he'll be joined by Minister of Energy andElectrification Stephen Lecce.

It follows on from Ford's comments last week, when he said he would be willing to cut off Canadian power supply to the US if President Donald Trump continued with his tariff agenda.

About 1.5 million Americans, across the states of Michigan, New York and Minnesota, get their electricity from Canada.

Natalie Sherman
New York business reporter

The US stock market has opened for trading, and the sell-off that was under way last week is continuing.

Investors are starting to recognise that Trump is serious about his call for a major economic re-set, one in which tariff and trade negotiations are set to play a major role.

Investors are worried about how this will hit businesses, which are now facing higher costs, uncertainty and disruption, while the White House seems to be preparing the public for a downturn, with Trump himself declining to rule out a recession.

At the same time, bets that artificial intelligence will drive a new growth wave – which fuelled much of the market rally over the last two years -- appear to be being dialled back.

The S&P 500, which tracks 500 of the biggest companies in the US, is down about 1.7%, while the Dow Jones Industrial Average has dropped 0.7% and the Nasdaq has dropped 2.8%.

Jessica Murphy
BBC News, reporting from Ottawa

Image source,NurPhoto via Getty Images