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G7 Leaders Gather in Canada for Summit Overshadowed by Israel-Iran Crisis and Trade Wars

Associated Press
June 16, 2025 | 10:21 am
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A man walks past a G7 sign outside the media center for the G7 Summit on Sunday, June 15, 2025, in Banff, Alberta. (Adrian Wyld/The Canadian Press via AP)
A man walks past a G7 sign outside the media center for the G7 Summit on Sunday, June 15, 2025, in Banff, Alberta. (Adrian Wyld/The Canadian Press via AP)

Kananaskis, Alberta. Leaders of some of the world’s biggest economic powers arrived in the Canadian Rockies on Sunday for a Group of Seven summit, overshadowed by an escalating conflict between Israel and Iran and US President Donald Trump’s unresolved trade war.

Israel’s strikes on Iran and Tehran’s retaliation, which appeared to catch many world leaders unawares, are the latest sign of a more volatile world.

British Prime Minister Keir Starmer said he had discussed efforts to de-escalate the crisis with Trump and Israeli Prime Minister Benjamin Netanyahu, as well as other world leaders and said he expected “intense discussions” would continue at the summit.

Trump is Summit's Wild Card
As summit host, Canadian Prime Minister Mark Carney has decided to abandon the annual practice of issuing a joint statement, or communique, at the end of the meeting.

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With other leaders wanting to talk to Trump in an effort to talk him out of imposing tariffs, the summit risks being a series of bilateral conversations rather than a show of unity.

G7 Leaders Gather in Canada for Summit Overshadowed by Israel-Iran Crisis and Trade Wars
Prime Minister of Canada Mark Carney, centre, and Prime Minister of the United Kingdom Keir Starmer, left, meet with Aidan Gomez, CEO of AI startup Cohere, in Ottawa on Sunday, June 15, 2025. (Justin Tang/The Canadian Press via AP)

Trump is the summit wild card. Looming over the meeting are his inflammatory threats to make Canada the 51st state and take over Greenland. French President Emmanuel Macron visited Greenland on Sunday for a highly symbolic stop on his way to Canada. Macron warned that Greenland is “not to be sold” nor “to be taken."

“Everybody in France, the European Union thinks that Greenland is not to be sold, not to be taken,” he said during a news conference, applauded by the local crowd.

“The situation in Greenland is clearly a wake-up call for all Europeans. Let me tell you very directly that you’re not alone,” Macron added.

Trump's plane landed in Alberta late Sunday. He will have a bilateral meeting with Carney on Monday morning before the summit program begins.

‘He Tends To Be a Bully’
Leaders who are not part of the G7 but have been invited to the summit by Carney include the heads of state of India, Ukraine, Brazil, South Africa, South Korea, Australia, Mexico, and the UAE. Avoiding tariffs will continue to be top of mind.

Asked if he planned to announce any trade agreements at the G7 as he left the White House on Sunday, Trump said: “We have our trade deals. All we have to do is send a letter: ‘This is what you’re going to have to pay.’ But I think we’ll have a few, few new trade deals.”

Bilateral meetings with the American president can be fraught as Trump has used them to try to intimidate the leaders of Ukraine and South Africa.

Former Canadian Prime Minister Jean Chrétien told a panel this week that if Trump does act out, leaders should ignore him and remain calm like Carney did in his recent Oval Office meeting.

“He tends to be a bully,” Chrétien said. “If Trump has decided to make a show to be in the news, he will do something crazy. Let him do it and keep talking normally.”

G7 Leaders Gather in Canada for Summit Overshadowed by Israel-Iran Crisis and Trade Wars
German Chancellor Friedrich Merz, right, is greeted by Steven Crowchild, second left, of the Tsuut\'ina First Nation, as he arrives in Calgary, Alberta, Sunday, June 15, 2025, to attend the G7 Leaders meeting taking place in Kananaskis. (Jeff McIntosh/The Canadian Press via AP)

Last month, Britain and the United States announced they had struck a trade deal that will slash American tariffs on UK autos, steel, and aluminum. It has yet to take effect, however, though British officials say they are not concerned that the Trump administration might go back on its word.

Starmer’s attempts to woo Trump have left him in an awkward position with Canada, the UK’s former colony, close ally, and fellow Commonwealth member. Starmer has also drawn criticism -- especially from Canadians -- for failing to address Trump’s stated desire to make Canada the 51st state.

Asked if he has told Trump to stop the 51st state threats, Starmer told The Associated Press: “I’m not going to get into the precise conversations I’ve had, but let me be absolutely clear: Canada is an independent, sovereign country and a much-valued member of the Commonwealth.”

Zelensky Expected to Meet Trump
The war in Ukraine will be on the agenda. President Volodymyr Zelensky is due to attend the summit and is expected to meet with Trump, a reunion coming just months after their bruising Oval Office encounter, which laid bare the risks of having a meeting with the US president.

Starmer met with Carney in Ottawa before the summit for talks focused on security and trade, in the first visit to Canada by a British prime minister for eight years.

German officials were keen to counter the suggestion that the summit would be a “six against one” event, noting that the G7 countries have plenty of differences of emphasis among themselves on various issues.

“The only problem you cannot forecast is what the president of the United States will do depending on the mood, the need to be in the news," said Chrétien.

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