As U.S. President Donald Trump hints at imposing massive tariffs on Canadian goods, Liberal leadership front-runners Mark Carney and Chrystia Freeland are vowing historic retaliatory measures if elected. Both candidates have pledged dollar-for-dollar tariffs in response, emphasizing their readiness to defend Canada’s economy.
Former Bank of Canada Governor Mark Carney, who launched his leadership bid last week, described the potential U.S. tariffs as a wake-up call for Canada.
“If President Trump proceeds, it will demand the most serious trade response in our history,” Carney said in a statement Monday night. “Dollar-for-dollar retaliatory tariffs should target areas in the U.S. where the impact will be most felt, and every dollar raised must support Canadian workers.”
Carney, also a former Bank of England governor, pitched himself as the economic leader Canada needs during uncertain times. He emphasized the urgency of diversifying trade partnerships and fostering domestic innovation to reduce reliance on the U.S.
Chrystia Freeland, a former finance minister, echoed Carney’s hardline stance during her campaign launch on Sunday.
“We will deliver the biggest trade blow the United States has ever endured,” she said. Freeland highlighted her experience leading Canada’s trade negotiations during Trump’s first term and framed herself as a leader Trump fears.
“Donald Trump prefers pushovers. Canadians need a prime minister who will stand up to him,” Freeland said.
Her campaign has also distanced itself from Prime Minister Justin Trudeau, with Freeland citing long-standing disagreements over economic policy and her unexpected dismissal as finance minister.
Prime Minister Trudeau confirmed Tuesday that Canada is prepared to retaliate if Trump enacts tariffs on February 1.
“Everything is on the table,” Trudeau said, endorsing the principle of dollar-for-dollar measures. A pre-drafted plan proposes immediate tariffs on $37 billion worth of U.S. goods, potentially rising to $110 billion if the situation escalates.
The Liberal leadership race is moving quickly, with candidates scrambling to secure endorsements and sign up new members before the March 9 vote.
- Mark Carney has received backing from prominent figures, including Crown-Indigenous Relations Minister Gary Anandasangaree and Foreign Affairs Minister Mélanie Joly.
- Chrystia Freeland is supported by Justice Minister Arif Virani and Health Minister Mark Holland, among others.
The race will determine who will lead the Liberals as they face Trump’s renewed trade challenges and position Canada for a post-Trudeau future.