Premiers urge unity in face of ‘chaos’ in Ottawa after Freeland steps down

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Canada’s premiers said there is no greater risk to the economy than Donald Trump’s tariff threat as they tried to project unity and stability Monday in the face of the political “chaos” in Ottawa following the resignation of finance minister Chrystia Freeland.

The news of Ms. Freeland’s surprise departure came as the premiers met at a Toronto airport hotel to hash out a plan to combat the U.S. president-elect’s tariff threat.

Ontario Premier Doug Ford, who chaired Monday’s meeting, said the imposition of 25-per-cent tariffs on Canadian goods would be a “significant failure” on the part of Ottawa.

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“The federal government needs to do better engaging premiers as it deals with the threat of tariffs, with regular meetings with the Prime Minister and whoever is on his team that takes up the role in U.S. relations,” Mr. Ford said in his opening remarks.

He said the premiers need to project strength and unity amid the political uncertainty at the federal level.

“It’s chaos right now up in Ottawa,” he said. “We’ll make sure that we tell the world that there is stability here, there is certainty here in Canada – and by all means, it’s a great place to invest in any of our provinces or territories.”

Mr. Trump recently announced that he plans to impose the 25-per-cent tariffs on Canadian and Mexican goods unless the two countries stop illegal migration and the smuggling of fentanyl into the United States.

The federal government used the fall economic update Monday to announce an additional $1.3-billion over six years to shore up the border. The money will go to the RCMP, border agents, Canada’s security agencies and the federal Public Safety Department.

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The premiers had been pressing Ottawa in recent weeks to announce significant measures for border security in a bid to pacify Mr. Trump.

Mr. Ford said the premiers had been briefed about the border plan but needed more information.

“We need more details about how and when it will be implemented,” he said. “It’s critical that the federal government’s border plan demonstrates strong and visible action that shows Canada is serious.”

Mr. Ford said the Canada Border Services Agency alone needs 2,000 more people on the ground.

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He said Ontario will lead a premiers’ mission to Washington in February to continue to engage with key U.S. lawmakers and cabinet officials once the new administration is sworn in.

Not all the premiers agree on how to counter Mr. Trump’s tariff threat. Mr. Ford has said Canada needs to retaliate if Mr. Trump follows through, vowing to block energy exports to the U.S., and B.C. Premier David Eby has said his province would reluctantly support retaliatory measures if necessary. But the leaders of three major energy-exporting provinces – Alberta, Quebec and Newfoundland and Labrador – said they would be unwilling to follow Ontario in blocking shipments of oil, gas or electricity.

Ottawa is also considering an export tax on high-demand commodities to the U.S. such as oil, uranium and potash as a means of dissuading the U.S. from imposing tariffs, an idea that has raised the ire of both Alberta and Saskatchewan.

Alberta Premier Danielle Smith recently announced a $29-million plan to create the province’s own international border patrol team, which will see dozens of Alberta sheriffs monitor the area along the province’s border with Montana.

Ms. Smith told reporters Monday that the ultimate goal of the premiers is to prevent the implementation of tariffs altogether.

“I would say that tariffs are their own punishment. So when Americans start seeing a 25-per-cent increase in the cost of all their goods, and the stock market starts reacting, and people are paying $1 a gallon more at the pumps, I suspect that’s going to be persuasive in its own right,” she said.

Ms. Smith said she hopes Mr. Ford was speaking “rhetorically” and trying to educate Americans about the consequences of trade disputes when he threatened to cut off energy exports from Ontario to the U.S.

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“I don’t think it’s realistic to talk about shutting off energy. I think it’s kind of dangerous talk. I think that creates a lot of unnecessary tension and would damage the relationship permanently,” she said.

Mr. Ford, who has spoken fondly of his relationship with Ms. Freeland, said he spoke with her Monday. Many of the premiers thanked Ms. Freeland for her years of service in Prime Minister Justin Trudeau’s government.

“She gave me a call. I did put her on speaker with the rest of the premiers. We have a good relationship with Chrystia over the years. I just want to wish her all the best. But as a country we have to project strength, unity,” Mr. Ford said at a news conference Monday.

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Manitoba Premier Wab Kinew praised Ms. Freeland for being “positive and collaborative.” Saskatchewan Premier Scott Moe described the situation as “some troubled times” in Ottawa but said the premiers had come together to represent all Canadians.