Canada's new finance minister Dominic LeBlanc and Foreign Minister Melanie Joly met aides to US President-elect Donald Trump in Florida on Friday to discuss the risks of imposing new trade tariffs, the Canadian government said.
Trump has threatened to impose tariffs on imports from Canada when he takes office in January, insisting the country must reduce the flow of migrants and fentanyl across the border. LeBlanc's office described the meeting with Trump’s choice for Commerce Secretary, Howard Lutnick, and Interior Secretary nominee Doug Burgum, as "positive and productive." The Canadian ministers emphasized the potential negative impacts of 25% tariffs on Canadian goods during their discussions.
At the heart of the talks were Canada's measures to tackle fentanyl trafficking and illegal migration. The two ministers laid out the steps Canada has taken to address these issues and agreed to continue discussions over the coming weeks. Earlier this month, the Canadian government had already pledged C$1.3 billion ($902 million) over the next six years to bolster border security, focusing on enhanced surveillance, intelligence capabilities, and technology.
The meeting came as Trump continued his pattern of targeting Canadian Prime Minister Justin Trudeau on social media. On Christmas Day, he referred to the Canadian leader derisively as "Governor Justin Trudeau" and alluded to the prospect of Canada becoming the 51st state of the US.
Despite describing the talks as fruitful, Canada's officials did not secure any commitments from the Trump team to retract the proposed tariffs. "Minister LeBlanc and Minister Joly had a productive meeting at Mar-a-Lago with Howard Lutnick and Doug Burgum, as a follow-up to the dinner between the Prime Minister and President Trump last month," noted Jean-Sébastien Comeau, LeBlanc's spokesman.
The meeting concentrated heavily on US complaints about the trade deficit with Canada. LeBlanc and Joly reiterated the measures included within Canada’s billion-dollar plan to bolster border security. They stressed the shared commitment to fight the harm caused by fentanyl and illegal migration, highlighting efforts to save lives on both sides of the border.
During his campaign, Trump vigorously indicated he would impose significant tariffs, particularly if Canada failed to stem the so-called flow of migrants and fentanyl entering the U.S. From statistics released by U.S Customs and Border Protection, it appears only minor amounts of fentanyl are seized at the northern border compared to the quantities captured from Mexico.
Canadian ambassador to Washington, Kirsten Hillman, pointed out the US trade deficit of USD 75 billion with Canada last year, mentioning the significant role of energy exports, which comprise about one-third of Canada's sales to the US. Alberta, for example, alone sends approximately 4.3 million barrels of oil each day to the US, which consumes about 20 million barrels daily.
Canadians continue to express concern about Trump's rhetoric and proposed policy changes. Industry stakeholders have raised alarms about how tariffs could disrupt the intertwined economies of the two nations. The potential for turmoil over trade issues has raised questions among lawmakers and representatives on both sides.
Friday's meeting offered insight not only on the contentious atmosphere surrounding upcoming tariff discussions but also highlighted Canada's active attempts to mitigate perceived threats from the new US administration. According to reports, Lutnick and Burgum promised to relay the Canadian ministers' points to Trump, with hopes of ensuring the facts are adequately communicated to the incoming president.
While both nations have been closely intertwined economically and geographically, these negotiations mark the beginning of what could be a tumultuous period for trade relations, as Canada grapples with the proposed tariffs and the underlying tensions they reflect.
Trump has yet to face the consequences of his proposed tariff policies fully, with much still hanging on the results of these discussions and subsequent actions by Canadian officials. The results of the meetings indicate early attempts to engage and influence potentially hostile tariff measures before they take effect.
Both nations now brace for future developments as the transition period moves forward, reflecting on the significance of these tariff discussions and their ramifications for cross-border relations.
