Kinew Backs PM Carney’s Trade Withdrawal as Tariffs Hit Canada

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Premier Wab Kinew of Manitoba has expressed complete backing for the Canadian government’s choice to withdraw from trade discussions with the U.S. late Friday evening.

“Everyone is supporting Prime Minister [Mark] Carney today,” stated Kinew following a meeting of Canadian premiers with Carney, which took place after the U.S. negotiations collapsed.

“I’m pleased that the prime minister has stepped away from what would have been an unfavorable agreement.”

Starting early Saturday, 50 percent tariffs on nearly $30 billion worth of Canadian products were implemented. These duties will impact a variety of items, such as honey, sports gear, furniture, appliances, wine, and more.

“The tariffs being imposed on us, stemming from some need to appear tough or something, are entirely misguided, and as Canadians, we should never accept it — we must always resist,” Kinew remarked, referencing U.S. President Donald Trump.

Premier Wab Kinew speaking to reporters.

Kinew indicates that the country should brace itself for a fight with the current U.S. administration for the duration of President Donald Trump’s presidency. (Randall McKenzie/CBC)

During a press briefing on Saturday morning, Prime Minister Carney announced that Canada would implement retaliatory tariffs matching U.S. tariffs, expected to take effect shortly after Labour Day.

“This is a targeted response,” declared the prime minister.

“It is a targeted approach to safeguard our industries and enable them to compete with U.S. products in the Canadian marketplace.”

In a statement released Friday night, he indicated he had instructed his negotiation team to return to Canada after the U.S. suggested last-minute alterations to the agreement terms that were deemed “unfair, uneconomic, and raised doubts about the viability of any deal.”

Earlier in the week, Kinew had shown willingness to reinstate U.S. alcohol on Manitoban shelves — though reluctantly — as part of a possible agreement between the U.S. and Canada.

However, Kinew stated that American alcohol will not be available on Manitoba shelves “anytime soon.”

The premier also mentioned that he will convene with the provincial U.S. trade council on Monday to strategize how they will collaborate with the federal government in response to the tariffs.

Kinew anticipates announcing support for Manitoban businesses in the coming week.

When questioned about the possibility of returning to the negotiation table, Kinew voiced concerns regarding the reliability of striking any agreement with the current U.S. administration.

“We must acknowledge that the Trump administration and the president are fundamentally flawed,” he stated.

“He has two more years in office. We should be ready to battle for that duration — and then hopefully, rationality will return to America.”

Obby Khan, leader of the Progressive Conservatives, called on the provincial government via social media to “act swiftly, efficiently, and professionally with the federal government to ensure that supports are made available quickly for affected workers, families, and businesses.”

The Opposition leader emphasized that the province should work towards ensuring access to new markets for Manitoban businesses and aim for a more favorable deal with the U.S. in the future.

Winnipeg Mayor Scott Gillingham remarked that the current crisis in the U.S.-Canada trade relationship stems from the U.S. president and his advisers “continuing to follow through on [Trump’s] arrogant threat to attempt to control our nation using ‘economic force.’

Gillingham added that the City of Winnipeg “will increase efforts to support federal and provincial initiatives to combat this bullying.”

Internal trade could help

Chuck Davidson, president of the Manitoba Chambers of Commerce, described the collapse of trade negotiations between the U.S. and Canada as “extremely disappointing.”

“There was considerable optimism this past week based on the messages we were receiving from both sides of the border indicating that a deal was on the horizon, and that we could finally move past these tariff issues,” Davidson said.

“But it seems things are only going to deteriorate in the short run.”

Davidson indicated that Manitoba businesses are likely to face difficulties as they may struggle to find buyers in the U.S. due to the additional costs; however, a potential solution lies in continuing to reduce provincial trade barriers.

“Internal trade barriers remain one of the obstacles we face in conducting trade even within our own nation,” Davidson noted.

“Some progress has been made in that area, but maintaining a focus on this will only benefit businesses during these tough times.”

Regarding the dismantling of interprovincial trade barriers, Kinew stated that Manitoba is “leading the charge.”

“I believe other provinces will likely follow suit, which is encouraging,” Kinew remarked.

“Manitoba will be prepared to collaborate with them to enhance the amount of trade we conduct with one another.”

Kinew was not alone in supporting the prime minister’s choice to halt trade negotiations with the U.S. on Saturday.

Premiers from Newfoundland and Labrador, British Columbia, New Brunswick, Nova Scotia, Prince Edward Island, Saskatchewan, and Ontario all voiced their support for the prime minister’s decision to withdraw from discussions.

In a post on X, Alberta Premier Danielle Smith expressed her “deep disappointment” that a trade agreement was not achieved and reiterated her commitment to advocate for a “tariff-free relationship” between Canada and the U.S. Smith also noted she would be urging the Canadian government to resume negotiations “as soon as feasible.”

Quebec Premier Christine Fréchette conveyed that the repercussions of these tariffs on Quebec’s economy would be “colossal,” and she intends to discuss assistance measures with the federal government.

The federal government is anticipated to unveil additional support measures for Canadians and Canadian businesses in the upcoming week.

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