Canada’s deputy prime minister and minister of finance has resigned amid growing tensions with the prime minister, Justin Trudeau, over the looming threat posed by Donald Trump’s “America First” economic nationalism,
The Guardian reports.
Chrystia Freeland stood down on Monday, just hours before she was due to release the country’s first economic plan ahead of the change of administration in Washington.
The move stunned the country, left Trudeau without a key cabinet ally – and raised fresh doubts over his political survival. Political observers were closely reading the resignation letter by Freeland, who has previously served as foreign affairs minister and was once a journalist – and is seen as a ready replacement for Trudeau, who is facing growing pressure to resign.
Relations between Canada and the US have been upended by Trump’s pledge last month to slap a 25% levy on all Canadian goods and services.
“For the past number of weeks, you and I have found ourselves at odds about the best path forward for Canada,” said Freeland in a letter she submitted to the prime minister that was published on social media platforms.
“Our country today faces a grave challenge. The incoming administration in the United States is pursuing a policy of aggressive economic nationalism, including a threat of 25% tariffs,” she states.
“We need to take that threat extremely seriously,” she continues.
Freeland further outlines that Canada needs to keep its “fiscal powder dry today” so that they have the reserves for a “coming tariff war”.
