Cracks Appearing in ‘Team Canada’ Approach to US Tariff Threat

Prime Minister Justin Trudeau responds to questions from the opposition during question period, on Dec. 10, 2024 in Ottawa. The Canadian Press/Adrian Wyld

The “Team Canada” approach promoted by Ottawa to deal with the tariff threat by the incoming U.S. administration has been strained this week, with premiers divided over how best to respond, and one of them calling for an early federal election.

Some premiers have criticized Ontario Premier Doug Ford’s remark that he may cut off energy exports to the United States if President-elect Donald Trump proceeds with his 25 percent tariff on all Canadian imports, while several conservative premiers are criticizing the federal government’s handling of the issue.

Reacting to a report that Ottawa is considering a tax on high-demand exports to the United States, Saskatchewan Premier Scott Moe said he opposed the plan, expressing concerns on social media that export taxes have “never even been mentioned by the Prime Minister on either of the calls with premiers to discuss the U.S. tariff threat.” Bloomberg and the Globe and Mail, citing unnamed officials, reported on Dec. 12 that Ottawa is considering a tax on high-demand exports to the United States, such as oil, uranium, and potash, in response to the tariff threat.

Moe said export taxes would be a “complete betrayal” of the team approach the federal government has been advocating and would harm his province, which produces all the uranium and most of the potash that Canada exports.

Moe went further during a Dec. 12 interview with Global News, saying if Prime Minister Justin Trudeau’s government was considering such a tax then it might be time for a federal election so Canadians can choose who should have “a four-year mandate to negotiate with the incoming Trump administration.”

Alberta Premier Danielle Smith also criticized Trudeau’s comments made at a Dec. 11 event hosted by an organization advocating for more women to enter politics. Trudeau said during the event that the U.S. had voted for a second time not to elect its first woman president, and likened Kamala Harris’s election loss to an “attack” on women’s rights.

Smith told reporters at a Dec. 12 news conference that Trudeau’s comments were “not helpful.”

“I think the American people voted pretty decisively for the Republicans, and for President-elect Donald Trump in particular,” she said. “And as a trading partner and ally of the United States, I respect their vote.”

Ontario Premier Doug Ford also commented that the prime minister’s words weren’t “helpful,” adding that the issue had been brought up during the latest meeting with the premiers. He told reporters at a Dec. 11 press conference he was “sure the prime minister got that message loud and clear.”

Trudeau has held two meetings with the premiers since Trump threatened to put 25 percent tariffs on all Canadian and Mexican exports unless the two countries take sufficient action to address illegal immigration and drug smuggling at their borders.

Press releases from the Prime Minister’s Office about the Nov. 27 and Dec. 11 meetings mentioned the need to take a “Team Canada approach” to strengthen Canada’s partnership with the United States.

Diverging on Measures

Ford also announced during the Dec. 11 press conference that his province is considering cutting off energy exports to the U.S. states of Michigan, Minnesota, and New York in response to the 25 percent tariffs. He called it a “last resort measure” in response to the tariffs.

While Ford said he was putting a list together and was “sure the other provinces will as well,” several premiers have said they would not do the same. Smith told reporters on Dec. 12 that “under no circumstances” would Alberta agree to cut off oil and gas exports to the United States.

Newfoundland and Labrador Premier Andrew Furey said at a press conference held the same day that tariffs would have a “significant impact” on Canadians and Americans, and that the provinces had “no interest in stopping the flow of oil and gas ... to the United States.”

Quebec Premier François Legault and Manitoba Premier Wab Kinew also addressed the issue in separate press conferences.

Legault said he had recently spoken with Trump, and the incoming president assured him that Canada could avoid tariffs if it does “what needs to be done with the borders.”

“I think the best choice right now for Mr. Trudeau is to table a plan with money, with a number of people, to better secure the border,” he said. “I prefer that than starting a war and stopping sending energy to the United States.”

Kinew did not say whether his province would threaten to stop hydroelectric exports to the U.S.

“I’m not going to make specific news today about items that we’re looking at,” he said, adding that during the last call with the prime minister, some premiers said they felt retaliatory measures wouldn’t work.