Smith Warns Against Federal Energy Tariffs, Withholds Support Amid U.S. Trade Dispute

Alberta Premier Rejects Federal Energy Tariff Proposal at First Ministers’ Meeting

Canada’s ten Premiers along with Prime Minister Trudeau met on Wednesday to craft a coordinated response to U.S. President Donald Trump’s looming tariff threats. Trump has proposed tariffs of up to 25 per cent on Canadian goods, claiming they are necessary to address border issues and trade imbalances.

While many premiers, including Alberta Premier Danielle Smith, described the meeting as productive, she has expressed strong reservations about the strategy as it relates to Alberta’s energy exports. Smith declined to endorse a joint statement issued by Prime Minister Justin Trudeau and Canada’s premiers, signalling a rift in the country’s united front against the threat of U.S. tariffs.

Smith continued to raise concerns over federal discussions of imposing export levies or restrictions on Canadian energy products as part of a retaliatory strategy, which she argued would disproportionately harm Alberta’s economy. “Until these threats cease, Alberta will not be able to fully support the federal government’s plan,” Smith said following the First Ministers’ meeting on Wednesday.

“Alberta will simply not agree to export tariffs on our energy or other products, nor do we support a ban on exports of these same products.”

Instead, Smith called for a shift in Canada’s energy policy, urging investment in infrastructure to diversify export markets for Alberta’s oil and gas. “We need to stop landlocking our resources and relying on a single primary customer,” she said.

Trudeau defended the need to keep all retaliatory measures on the table, emphasizing that Trump’s tariffs could affect industries across Canada. “The incoming American president has explicitly targeted the Ontario auto sector,” Trudeau said, adding that Ontario Premier Doug Ford has not sought exemptions despite the sector’s vulnerability.

Smith’s approach is focused more on changing the minds of American leaders when and seeking tariff exemptions for Canadian energy products. She has scheduled a visit to Washington D.C. to attend Trump’s inauguration. During the trip, she will meet with U.S. lawmakers to advocate against the tariffs and highlight the importance of cross-border trade.

The joint statement, signed by the other premiers, commits to a collaborative approach to U.S. engagement and outlines measures to mitigate economic impacts, including revenue sharing from potential retaliatory tariffs. Alberta’s refusal to sign may weaken the appearance of an otherwise united stance.

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