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"Canadian defence strategy was altered as planners dismissed the possibility of cross-border conflict. Economic and cultural linkages strengthened as suspicions of American influence receded"
(http://www.thecanadianencyclopedia.ca/en/article/canadian-american-relations/) -
Canada tried to counteract with specifically Canadian broadcasting (CBC), which seemed to work for a while, but Canadians were still being impacted by American culture all the while
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"Prime Minister Arthur Meighen dissuaded Britain from renewing the Anglo-Japanese Alliance because it might bring the British Empire into conflict with the United States."
(http://www.thecanadianencyclopedia.ca/en/article/canadian-american-relations/) -
No longer dealt through British offices
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The New York stock market crashed, which quickly caused the economy in Canada and other countries to crash
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(And he followed through)
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The Permanent Joint Board on Defence (PJBD) is a Canadian-American advisory body that studies joint defence problems and offers recommendations to the respective government.
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The North American Air Defense Agreement was a 1957 pact that placed under joint command the air forces of Canada and the United States. It was signed during the cold war.
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During the Cuban Missile Crisis, Kennedy asked Diefenbaker to join him in raising the military to an alert level known as "DEFCON-3," which he was reluctant to do. Instead, he urged Kennedy to send United Nations to see investigate the missiles in Cuba more thoroughly.
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President Johnson then explodes at him, even grabbing him by the collar at one point. This was a low point in Canadian-American relations.
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It created a huge free trade zone of about 370 million people.