Trudeau Says US Turning Away from Climate Change Fight Presents an ‘Opportunity’ For Canada

Trudeau holds a closing press conference following the APEC summit in Lima, Peru, on Nov. 16, 2024. The Canadian Press/Sean Kilpatrick

Prime Minister Justin Trudeau said he is “worried” the U.S. may step back from its commitment to combat climate change under incoming president Donald Trump, but said such a move would create economic “opportunities” for Canada.

“If people look at the United States as not a place where it’s interesting to innovate and fight climate change, people will automatically turn to Canada,” he said on the sidelines of the G20 summit in Brazil on Nov. 19. “And if Mr. Trump doesn’t want to take on the opportunities associated with climate change, Canada will continue to.”

Citing the economic costs of climate change, Trudeau said countries need to be doing “everything we can” to reduce emissions, particularly the largest emitters. He said the Canadian government has been focusing on fighting climate change through measures like the Canada carbon rebate and funding for electric vehicle manufacturing.

“These are things that we have done because we’re harnessing the economic opportunities of climate change,” he said, adding that the U.S. reducing action on climate change would result in higher foreign investment on climate initiatives in Canada.

When Trump was president from 2016 to 2020, he pulled America out of the Paris Agreement—a legally binding international treaty on climate change—which was reversed when Joe Biden took office. Trump’s administration also introduced policies to encourage the use of fossil fuels.

Trump has pledged that when he retakes office on Jan. 20, 2025, he will increase drilling for fossil fuels and repeal major climate policies passed during Biden’s presidency such as the Inflation Reduction Act that promotes clean energy and electric vehicles.

By contrast, Canada has implemented several policies that prioritize fighting climate change, such as introducing a federal carbon tax, ending thermal coal exports, strengthening regulations regarding plastic manufacturing and importation, introducing regulations requiring oil and gas companies to reduce emissions, and spending billions on subsidies for electric vehicle battery factories in Canada.

Meanwhile, policies aimed at combating climate change appear to be losing favour with Canadians amid a cost-of-living crisis.

A Leger poll conducted ahead of the carbon tax hike on April 1 found 69 percent of Canadians were opposed to further increases to the tax, while 31 per cent of Canadians supported the hike.

The Liberal government has said eight out of 10 households will receive more money back in rebates than they pay in carbon taxes. The Parliamentary Budget Officer has said Canadians are worse off economically under the carbon tax overall when its impacts on gross domestic product and investment income are considered.

Conservative Leader Pierre Poilievre has repeatedly vowed to “axe the tax,” arguing that it increases the cost of food, fuel, and housing. The message appears to be gaining traction with Canadians as the Tories have secured a large lead over the Liberals in the polls for more than a year.

Trudeau said many families are focused on paying rent and affording groceries, and have chosen to make climate change a “slightly lower priority” as a result.

“When the storm comes, you want to hunker down and just sort of huddle up and wait for it to blow over,“ Trudeau said Nov. 18 during a G20 panel discussion. ”We can’t do that around climate change.”