Alberta’s Smith Calls for Diplomatic Approach as Ottawa, Premiers Signal Readiness to Retaliate

Alberta Premier Danielle Smith addresses a news conference in Ottawa on Feb. 5, 2024. The Canadian Press/Sean Kilpatrick

As Ottawa and some premiers say they are ready to retaliate should the United Sates put tariffs on Canadian goods, Alberta Premier Danielle Smith says the path forward should be through diplomacy, arguing the current U.S. administration is unlikely to respond favourably to threats.

U.S. President Donald Trump didn’t impose tariffs on Canada and Mexico on the first day of his presidency on Jan. 20, but said they may come on Feb. 1 in response to the flow of illegal immigration and drugs into the United States from the two countries.

Smith, who is in Washington to talk to U.S. officials, said on Jan. 21 that rather than threatening retaliation, identifying concerns “through face-to-face engagement” is a wiser and “much more Canadian” approach.

“When you have a dispute with your best friend and ally, it is entirely counterproductive to escalate matters by talking about retaliation, how tough we are, and how we plan on hitting our friend back if they hit us,” she said on X.

“The U.S. President is clearly concerned about border security, achieving energy dominance and strengthening the shared defence of our continent,” she added. “We need to lead with diplomacy rather than bravado, bluster and escalation.”

As he signed executive orders at the White House on the evening of his inauguration on Jan. 20, Trump said Canada is allowing “vast numbers” of illegal immigrants and fentanyl into the United States.

Ottawa and different provinces have announced different measures to boost border security in response to Trump’s concerns. The federal government has introduced a $1.3 billion plan that includes adding new equipment and law enforcement resources to increase surveillance and security at the border.

While calling for continued dialogue with the United States, Ottawa and some premiers have said Canada must be ready to respond in kind to U.S. tariffs.

Prime Minister Justin Trudeau affirmed his stance of possible retaliation during a Jan. 21 press conference in Montebello, Que., where the cabinet is meeting in preparation for tariffs.

“As I’ve said, everything is on the table, and I support the principle of dollar-for-dollar matching tariffs,” he said. “It’s something that we absolutely are going to be looking at if that is how they move forward.”

B.C. Premier David Eby also signalled his readiness to support retaliatory measures if Trump makes good on his threat.

“We are going to stand up, and we are going to support federal efforts to respond with targeted tariffs to make sure that the Americans understand that we will not surrender,” Eby said in a social media video posted on Jan. 21.

Likewise, Ontario Premier Doug Ford has shared plans to target U.S. alcohol as a tariff countermeasure, directing the Liquor Control Board of Ontario to “clear off every bit of U.S. alcohol” from shelves if tariffs are enacted. He made the remarks at the Rural Ontario Municipal Association general meeting and conference on Jan. 20–the same day as Trump’s inauguration. In December, he also suggested his province may cut electricity exports to the United States.

At the same time, Ford has also made attempts to tell Americans that Canada is their closest partner, appearing on American TV networks and launching an ad campaign to drive home that message.

Ford called for mutual cooperation in a social media post on Jan. 20, saying that Trump seems “intent on starting a trade war that will create the kind of economic uncertainty that only benefits China,” and that an alliance between the United States and Canada would make it possible to “beat” Beijing.

During her Jan. 21 media availability, Smith said there is no question Trump is “enthusiastic about tariffs,” but that Canada should look at the tariff reprieve as an opportunity to make the case for tariff-free trade. “I’m an optimist. I think there’s a deal to be made here, and so I think that that’s the positive case that I'll be trying to explore.”

Smith said Canada needs to get “to the root” of what it takes to keep its special status as a reliable trading partner with the United States, pointing to border security and defence spending as key factors.

While in Washington, Smith has stressed the importance of Canada’s energy sector to the United States. She also travelled to Mar-a-Lago ahead of Trump’s inauguration to share the same message with the incoming president, but after returning said Canadians should prepare for tariffs.

During his inauguration speech on Jan. 20, Trump said his administration is going to “overhaul” the trade system to “protect American workers and families” and will create a new External Revenue Service to collect tariffs from other countries.

“It will be massive amounts of money pouring into our treasury coming from foreign sources,” he said.