Canada is looking at taking drastic measures to counter President-elect Donald Trump’s policies if he makes good on his vow to place significant tariffs on its northern neighbor.
That includes cutting off its energy supply to the U.S. Following a meeting with provincial and territorial premiers on Wednesday, outgoing Canadian Prime Minister Justin Trudeau said that “everything is on the table,” Politico noted.
However, the leader of the province of Alberta, Danielle Smith, chose not to include her name on a joint statement that sought to show a united front against Trump’s incoming economic attacks.
“Federal government officials continue to publicly and privately float the idea of cutting off energy supply to the U.S. and imposing export tariffs on Alberta energy and other products to the United States,” the leader of the oil-heavy province said on X.
“Until these threats cease, Alberta will not be able to fully support the federal government’s plan in dealing with the threatened tariffs,” she added.
Canada supplies the U.S. with about 60 percent of its crude oil imports, making the country the largest supplier of energy to the U.S. A cut-off of supply could cause gas prices to spike in the midwest and through the U.S.
Government figures reveal that as of 2020, Canada supplied the U.S. with 98 percent of its natural gas imports and 93 percent of its electricity imports. Canada also supplies the U.S. with 28 percent of its uranium purchases.
The president-elect has issued a litany of threats against the Canadians, including attempting to incorporate it into the U.S. and make it the “51st state.”
He has also suggested placing 25 percent tariffs on Canada if it doesn’t reduce the flow of fentanyl and illegal immigration coming across the U.S. northern border. However, Trudeau has noted that fewer than 1 percent of illegal crossings and seizures of fentanyl have taken place at the border with Canada.
Even so, the Liberal government has put forward a C$1.3 billion package to beef up its border security amid talks between Canada and the Trump administration - which takes the reins on Monday.
However, leaders of the provinces that produce the most oil in Western Canada have issued a warning that there may be a crisis of unity if the government uses the oil to strike back at the tariffs, worsening a regional divide between the West and the capital of Ottawa.
Smith, along with the premier of Saskatchewan, Scott Moe, is pushing Trudeau to call for a general election to hand the next prime minister a mandate to negotiate with Trump. Trudeau announced his resignation earlier this month, but he’s staying on until a new leader has been selected.
The Liberal Party is in the middle of a leadership race to replace Trudeau, which has allowed some premiers to step into the limelight during the tariff talks. Smith visited Mar-a-Lago last week, saying that she spoke to Trump twice. The Trudeau government accused her of selling out Canada’s interests, while Smith warned that Canadian tariffs were on the way.
Other premiers are calling for unity, such as Ontario’s Doug Ford, who appeared at the meeting on Wednesday in a cap in the style of MAGA hats, with the message “Canada is not for sale.”
“He’s going to try to devastate our country,” Ford said, according to Politico. “He’s gonna try to divide our country, and we cannot have division in our country.”
“I see energy as Canada’s queen in this game of chess,” Newfoundland and Labrador Premier Andrew Furey added.
Quebec Premier François Legault wrote in an op-ed for The Hill that “if President-elect Donald Trump carries out his threat and imposes a 25 percent tariff on all Canadian exports, it would hurt the Canadian economy. But it would also hurt the American economy, many of its businesses and especially ordinary Americans by causing a new inflationary surge.”
The Trudeau government told Canadians on Wednesday that they must get ready for what the negotiations may bring. The shared statement noted that if Ottawa pushes back, it’s set to use any new revenue to aid Canadian workers and businesses. They also came to an agreement to boost spending on defense, push ahead with energy projects, and increase border security.
