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Manitoba industry leaders want tariffs to remain 'top of mind' in talks following PM's resignation

Manitoba industry leaders want tariffs to remain 'top of mind' in talks following PM's resignation

CBC
Tuesday, January 7, 2025 1:07 PM GMT

The unexpected but long-awaited resignation of Canada's prime minister has ushered in a series of economic questions and uncertainties, including in Manitoba.

Justin Trudeau stepped down as leader of the federal Liberals on Monday, ending a nearly decade-long run as Canada's political leader, and his departure — he will stay on as party leader and prime minister until his successor is chosen — adds a new wrinkle to Canada's response to Donald Trump's tariff threat.

Regardless of who becomes the prime minister and what colour their political stripes are, industry leaders in the province want the country's next leader to hear their voices.

Andrea Ladouceur, president of the Bioscience Association of Manitoba, believes the hefty 25 per cent tariffs that the U.S. president-elect threatened Canada with in November would be detrimental to business in the province.

"If a leadership race is happening ... for our companies, it's very important that they're top of mind in any conversation related to tariffs and to trade," Ladouceur said.

Manitoba exported $2.3 billion worth of medicine to the U.S. in 2023, according to the Manitoba Bureau of Statistics. Medications — both prescription and over the counter — are the province's biggest exporter to the U.S. in terms of dollars.

Ladouceur said her sector, which holds "economic advantage," is always looking for cost-competitive ways to do business, so if Canada becomes uncompetitive the door could open for relocation to the U.S. or other parts of the world.

"Whether it's innovative medicines or a new way of producing our food, we want to make sure the leadership of our country and of our province understands the economic, and also the innovation importance that comes from the sector," she said.

"We want them to be profitable enough to reinvest those dollars to keep innovating our economy and making sure that we have the things that we need to heal, feed and fuel our world."

WATCH | Justin Trudeau prorogues parliament, steps down as leader of the federal Liberals:

Trump claimed the tariffs were in response to concerns about border security, migrants and illegal drugs — especially fentanyl.

Canada has since announced more than $1 billion to bolster border security, but it's unknown whether those promises will sway Trump to drop the tariffs. He returns to the Oval Office on Jan. 20.

Barry Prentice, director of the University of Manitoba's Transport Institute, isn't expecting Trump to actually go through with the threat of tariffs.

"I don't believe for a minute there's going to be an across-the-board tariff increase in Canada … it's just too disruptive to them and to us," Prentice said.

Read full story on CBC
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