VANCOUVER, British Columbia — In a recent interview, outgoing Prime Minister Justin Trudeau of Canada addressed comments made by President-elect Donald Trump regarding Canada potentially becoming the “51st state.” Trudeau expressed concern that such remarks have diverted focus from the serious consequences that significant tariffs could have on American consumers. Trump has indicated a possibility of imposing hefty 25% tariffs on all imports from Canada.
Trudeau emphasized the improbability of Canada merging with the United States during his discussion with MSNBC. “The idea of becoming the 51st state is not going to happen,” he remarked, adding that the attention is shifting away from the detrimental effects that these steep tariffs would have on the U.S. market. “No American wants to see a 25% increase in prices for electricity or oil and gas imported from Canada,” he stated. This was aimed at underscoring the economic implications that tariffs could create.
Trump has previously claimed that if Canada were to merge with the U.S., it would lead to lower taxes and eliminate tariffs. Trudeau commented on Trump’s negotiating style, suggesting that the approach of keeping people uncertain about policy outcomes is part of Trump’s strategy. Trudeau also pointed out that Trump has inaccurately represented the trade deficit with Canada as a form of subsidy, emphasizing Canada’s role as a resource-rich supplier to the American market.
In response to Trump’s potential tariffs, Canadian officials have hinted at imposing retaliatory tariffs on American goods, including orange juice, toilets, and certain steel products. This would not be Canada’s first move in response to U.S. tariffs; during Trump’s initial term, Canada retaliated against U.S. tariffs on its steel and aluminum with taxes on products like bourbon and Harley Davidson motorcycles.
Trudeau reflected on the contradiction of Trump’s policies, stating, “He was elected to facilitate better lives for American citizens and support American laborers. These tariffs are likely to be detrimental to them.” Adding to the discussion, Trump claimed last week that the U.S. is not reliant on Canadian resources. However, approximately 25% of U.S. oil consumption is sourced from Canada, with Alberta delivering 4.3 million barrels daily.
Moreover, the United States Energy Information Administration reports that the U.S. consumes around 20 million barrels of oil per day while producing approximately 13.2 million barrels. Canada, which is home to over 40 million residents and is a founding NATO member, stands as the largest export market for 36 U.S. states. Daily trade between the two nations amounts to nearly $2.7 billion.
Regarding national security concerns at the Canada-U.S. border, Trump indicated a willingness to reconsider his tariff threats if Canada enhances its border management strategies, identifying it as a potential entry point for undocumented immigration. Trudeau contested this by stating that less than 1% of illegal crossings and fentanyl smuggling occurs from Canada into the U.S.
In a bid to alleviate Trump’s concerns, Trudeau announced an increase in funding for border security following a meeting with Trump last November at the Mar-a-Lago resort in Florida. This move was part of Trudeau’s effort to mitigate any tariff actions and enhance bilateral relations. As Trudeau faces the challenges posed by the incoming Trump administration and his Liberal Party’s unfavorable standing in surveys, he recently announced his resignation. His party is set to elect a new leader on March 9, marking a transition for Canadian leadership.
