Prime Minister Justin Trudeau’s resignation as Liberal leader comes just two weeks before Donald Trump takes office as US President while threatening to impose 25 per cent tariffs on all imports from Canada on day one.
Trudeau has said he will remain as prime minister until his successor is chosen, creating the possibility that Canada will have a lame-duck prime minister just as its largest trading partner hits its exports with heavy tariffs.
The resignation means Trudeau can do little now to ward off Trump’s tariff threat, says David MacNaughton, whom Trudeau appointed Canada’s ambassador to the United States in 2016.
“The reality is that today you are announcing your resignation, and your authority and influence are dissipated almost immediately,” MacNaughton told CBC News on Monday.
He says Trudeau should have taken this step months ago to ensure the government was prepared for Trump’s potential return to the White House.
“We’re going to have a few months of uncertainty right now… Meanwhile, Trump is feeling very arrogant these days,” he added.
Trudeau’s resignation leaves Canada and its economy vulnerable to whatever Trump intends to impose, says Xavier Delgado, associate senior program at the Wilson Center’s Canada Institute in Washington.
“It is a great time for the prime minister to announce his resignation,” Delgado said. “In the context of Canada-U.S. relations, this doesn’t really make a lot of sense,” he added.
“People in Canada love being the 51st state.”
Trump responded to Trudeau’s resignation with a post on his page Truth social platform.
“Many people in Canada would love to be the 51st state,” Trump said in the post. “The United States can no longer have the massive trade deficits and subsidies Canada needs to stay afloat. Justin Trudeau knew that, and he resigned.”
Trump continued: “If Canada merged with the United States, there would be no tariffs, taxes would be dramatically reduced, and they would be completely safe from the threat of Russian and Chinese ships that constantly surround them. Together, what a great solution.” It will be a great nation!!!”
Trudeau’s decision to step down raises questions about how the government will handle any negotiations with the Trump administration.
Prime Minister Justin Trudeau said the Liberal government will remain “singularly focused” on protecting Canadian interests and continuing to “fight for the economy” even as the party undergoes a leadership race in the wake of his resignation announcement.
“By announcing his resignation, Trudeau has effectively become a weak prime minister,” Delgado said. He added: “He has no real mandate, given the fact that people here in Washington know he won’t stay much longer.”
Trudeau cites need to “defend Canadians”
During his news conference outside Rideau Cottage, Trudeau was asked how the government could protect Canada from the threat of tariffs if key cabinet ministers are absorbed into a leadership race.
“The government and Cabinet will remain laser-focused on doing the job Canadians elected us to do in 2021, which is to fight for their interests, advocate for their well-being and make sure Canadians…are protected and strong.” Trudeau said.
“I can assure you that the tools and the need to stand up for Canadians, protect Canadians for their interests and continue to fight for the economy, is something that everyone in this government will be individually focused on.”
Trudeau did not directly answer a question about whether Liberal leadership contenders would be asked to leave their positions during the race.
Several senior government ministers working on the Canada-U.S. file – including Foreign Minister Mélanie Jolie and Finance Minister Dominique LeBlanc – are considered contenders for the leadership.
husband Travel to the Trump Mar-a-Lago Resort In late December to meet with two members of the president-elect’s cabinet and brief them on Ottawa’s plan to improve border security, for which Trump had asked whether Canada hoped to avoid crushing tariffs.
Speaking to reporters Monday afternoon, Ontario Premier Doug Ford said Justin Trudeau’s first focus before his resignation should be on developing a plan to avoid the threat of tariffs from Donald Trump.
Trudeau’s resignation “could not have come at a worse time for U.S.-Canadian relations,” said Laura Dawson, executive director of the Future Frontiers Alliance, an organization made up of business leaders in both countries.
“The government is in this caretaker mode,” Dawson said in an interview with CBC News. “The relationship (with the United States) cannot afford to be suspended in this way.”
Dawson says she’s not sure whether Trudeau’s resignation will put Trump in a stronger negotiating position on tariffs, but she says it means Canada now lacks the ability to respond quickly and intelligently to any new issues Trump raises.
“Who drives this bus?” I asked. “There is no leadership.”
President Joe Biden’s press secretary described Trudeau as a “strong friend of the United States” in remarks to reporters on Monday.
“We have worked closely together on the full range of issues facing our two countries and the world as close allies, neighbors and as members of the G7,” said Karine Jean-Pierre. “The President is grateful for the Prime Minister’s partnership in all of this and for his commitment to defending North America from geopolitical threats in the 21st century.”
In addition to announcing his resignation as Liberal Leader and Prime Minister once a new leader is chosen, Justin Trudeau says he has asked the Governor General to adjourn Parliament until March 24. Here’s everything you need to know about what that means — and what happens next.
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