Danielle Smith says federal election must happen before CUSMA review

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OTTAWA — Alberta Premier Danielle Smith said Tuesday there’s no point in Canada reviewing its free-trade agreement with the United States and Mexico until after an election, which she hopes will happen soon.

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“We need an election before any discussion of reopening,” Smith said in an interview.

Smith said the current instability with a changing Liberal leader and a minority government facing defeat, make the country a less-than-credible negotiating partner.

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“We can’t have one prime minister start negotiations, a second prime minister advance them, and a third prime minister try to finish the job, all within the next few months,” Smith said. “That’s silly.”

Her Quebec counterpart, Premier François Legault, called Monday for an early review of the Canada-U.S.-Mexico Agreement (CUSMA) given the uncertainty created by U.S. President Donald Trump’s threat to levy punitive tariffs on both Canada and Mexico.

“We are scheduled to review the free trade agreement next year in 2026. We would like to bring this review sooner,” Legault said at a press conference.

“(We must) remove the uncertainty, so that we know what to expect… so that businesses can invest, improve their productivity, develop new markets and are much less dependent on the United States,” said Legault.

Trump had announced on Saturday his plan to levy 25-per-cent tariffs on all Canadian imports except energy, which would be tariffed at 10 per cent this week, claiming it was because Canada allowed too many drugs and migrants over the border. On Monday he decided on a 30-day reprieve after Ottawa committed to various border-strengthening initiatives.

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Canada had announced it would levy more than $100 billion in retaliatory tariffs on American imports in response.

Major North American stock exchanges such as the Dow Jones and TSX tumbled yesterday as investors braced for the trade war.

Smith said the uncertainty will continue until Canadians elect a credible prime minister to sit across the table from Trump and Mexican President Claudia Sheinbaum, who both have fresh mandates after winning elections in 2024.

“We need somebody at the table who can say, ‘I got a four-year mandate, whatever you want to deal with, you’re dealing with me’,” said Smith.

“We don’t have that right now, and it puts us at a disadvantage.”

Prime Minister Justin Trudeau announced in January his intention to resign after the conclusion of an expedited Liberal leadership vote to determine his successor, set for March 9.

Trudeau will still be serving out his final days in office when the tariff pause comes to an end on March 4.

The next Liberal leader and prime minister will be chosen just five days later.

Meanwhile, Conservative Leader Pierre Poilievre is favoured to become prime minister after the next federal election, which is scheduled for October but could come earlier as all opposition parties have committed to bring down the Liberal government in a non-confidence vote at the earliest opportunity. Trudeau has prorogued Parliament in the meantime, but a new session begins on March 24.

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Smith has been calling for an immediate federal election since late last year, arguing that Canadians need a prime minister with a clear mandate to negotiate with Trump.

National Post
rmohamed@postmedia.com