Tariffs threatened by Trump could undermine food and energy security, Sask. premier warns

Saskatchewan Premier Scott Moe is sounding the alarm on the potential impact of a 25 per cent tariff that U.S. president-elect Donald Trump has threatened to impose. Moe warns that such a tariff would have devastating effects on Canada’s food and energy sectors, as well as on economic stability and security on both sides of the border.

In an interview with CBC’s Power and Politics, Moe emphasized the need to work with the incoming Trump administration to address their concerns while ensuring that any tariffs imposed are short-lived. He dismissed the idea of retaliatory export tariffs, stating that such measures would harm Canadian producers and cause broader economic disruptions.

Last month, Trump announced his intention to impose a 25 per cent tariff on all products entering the U.S. from Canada and Mexico unless they take action to address issues related to drugs and migrants crossing their borders.

Canada’s premiers recently held a virtual meeting with Prime Minister Justin Trudeau to discuss the Canadian response to the U.S. tariff threat. Ontario Premier Doug Ford suggested that his province could cut off energy supplies to the U.S. if the tariffs are implemented.

Moe expressed concern about the potential impact of retaliatory tariffs on Saskatchewan’s economy, highlighting the province’s reliance on exports of agricultural products, energy, and minerals. He stressed the importance of reducing tariffs rather than escalating trade tensions.

Economist Joel Bruneau from the University of Saskatchewan echoed Moe’s concerns, warning that tariffs on Canadian exports would hurt producers and lead to higher costs for consumers in both Canada and the U.S. He emphasized the risk of job losses and decreased provincial revenues if trade relationships are disrupted.

Moe emphasized the broader consequences of tariffs, pointing out that they could threaten global food and energy security. He urged a cooperative approach to border security to address U.S. concerns and strengthen Canada’s negotiating position.

Both Moe and Bruneau highlighted the potential ripple effects of trade disruptions on international markets, including increased food prices and higher energy costs for key allies.

Moe called for unity among Canadian provinces in addressing the tariff threat and suggested that a federal election could provide the government with a new mandate to negotiate with the U.S. He emphasized the need for stable and open trade relations with the U.S. for the benefit of both nations and their allies worldwide.