Trudeau Says Canadian Resources Can Help Fuel Trump’s US ‘Golden Age’

Prime Minister Justin Trudeau is flanked by (L-R) Minister of Finance Dominic LeBlanc, Minister of Foreign Affairs Melanie Joly, and Minister of Public Safety David McGuinty, as he holds a press conference during a cabinet retreat at Chateau Montebello in Montebello, Que., on Jan. 21, 2025. Sean Kilpatrick/The Canadian Press

Prime Minister Justin Trudeau says Canada can help usher in the “golden age” promised by U.S. President Donald Trump by providing affordable resources, but tit-for-tat retaliation is also on the table if tariffs are imposed on Canadian goods.

Trudeau presented the approach on the margins of the Liberal cabinet retreat on Jan. 21. Ministers are meeting in Montebello, Que., to strategize on the new U.S. administration.

Trump was inaugurated on Jan. 20 and signed a memorandum for an “America First Trade Policy.” It directs his officials to investigate U.S. trade deficits and propose solutions such as imposing tariffs.

Speaking to reporters while signing a stack of executive orders in the White House, Trump said he could impose tariffs on Canada starting on Feb. 1.

“We’re thinking in terms of 25 percent on Mexico and Canada, because they’re allowing vast numbers of people—Canada is a very bad abuser also—vast numbers of people to come in and fentanyl to come in,” Trump said, in reference to border security.

Trump had first made the tariff threat in late November 2024, leading Ottawa and provinces to stress the economic integration and the strength of the Canada-U.S. trade relationship.

Trudeau noted outside the cabinet retreat that Trump said he wants to usher in a “golden age” for the United States, which the prime minister said will require more affordable energy, steel and aluminum, and critical minerals to fuel the American economy.

“Canada has all those resources, and we stand at the ready to work with the United States to create a booming and secure North American economy,” Trudeau said.

Trump opened and closed his inauguration address on the theme of an American revival. “The golden age of America begins right now,” he said in opening, while closing with “our golden age has just begun.”

While Ottawa and the provinces have tried to convince Trump of Canada’s value to the United States in order to avoid tariffs, they have also prepared retaliatory action.

Trudeau reiterated that “everything is on the table” in terms of retaliation and said he supports the “principle of dollar-for-dollar matching tariffs.”

“It’s something that we are absolutely going to be looking at if that is how they move forward,” he said.

Trump has argued that other countries are taking advantage of the United States by running trade surpluses and said tariffs are a way to increase federal revenues and shore up domestic manufacturing.

While signing the executive orders, he said other countries are “coming in and they’re stealing our wealth, they’re stealing our jobs, they’re stealing our companies, they’re hurting our companies.”

“So, you put a tariff on to keep them from doing that,” he said.

Meanwhile, Trudeau has argued that imposing tariffs will raise costs for American and Canadian consumers.

During his first term, Trump had imposed tariffs on Canadian steel and aluminum. Canada responded by slapping surcharges on U.S. steel and aluminum, and on a long list of goods covering products from dishwashers to whisky.

The trade dispute lasted almost a year before the two countries came to an agreement and lifted their respective tariffs in May 2019.