Canada’s new finance minister Dominic LeBlanc and Foreign Affairs Minister Mélanie Joly will meet U.S. president-elect Donald Trump’s aides in Florida on Friday to discuss the risks of imposing new trade tariffs, the Canadian government said.
Trump has threatened to impose tariffs on imports from Canada when he takes office in January, unless the country reduces the flow of migrants and fentanyl into the U.S.
LeBlanc’s office said in a statement on Thursday the two ministers would highlight “the negative impacts that the imposition of 25 per cent tariffs on Canadian goods would have on both Canada and the United States.”
The office added Friday’s meeting will also focus on Canada’s efforts to combat drug trafficking and illegal migration — even though far fewer of each cross into the U.S. from Canada than from Mexico, which Trump has also threatened.
The meeting will take place as Trump continues to belittle embattled Canadian Prime Minister Justin Trudeau on social media. On Christmas Day, he referred to the leader of the close U.S. ally as “Governor Justin Trudeau of Canada” and again alluded to the country becoming the 51st U.S. state.
U.S. president-elect Donald Trump claimed on social media that he urged hockey icon Wayne Gretzky to run for prime minister during a Christmas visit. It’s Trump’s latest comment on Canadian politics, following quips about Canada becoming the U.S.’s 51st state and meeting ‘Governor’ Justin Trudeau.
Trouble at home
Trudeau is under increasing pressure from lawmakers in his own party to step down.
He flew to Florida in late November to meet with Trump after the Republican first vowed to slap new tariffs on Canada.
A spokesperson for LeBlanc’s office says the ministers “look forward to building on the discussions that took place when the prime minister met with Trump at Mar-a-Lago last month, as well as the positive call the ministers held with Mr. Tom Homan earlier this month.”
LeBlanc said last week he would meet with Homan, Trump’s incoming “border czar,” after Christmas to discuss Canada’s plan to secure the border.
Canada has a billion-dollar plan to increase security at the border. LeBlanc noted last week that he discussed parts of the plan with American officials and is optimistic, but said they have a lot of work ahead.
How trade deficits factor in
Trump has also made an issue of the U.S. trade deficit with Canada, erroneously calling it a subsidy.
Canada’s ambassador to Washington, Kirsten Hillman, has said the U.S. had a $75-billion trade deficit with Canada last year.
But she noted a third of what Canada sells to the U.S. are energy exports and said there is a deficit when oil prices are high. About 60 per cent of U.S. crude oil imports and 85 per cent of U.S. electricity imports are from Canada.
Nearly $3.6 billion Cdn worth of goods and services cross the border each day. Canada is also the top export destination for 36 U.S. states.
U.S. president-elect Donald Trump has insisted Canada needs to crack down on fentanyl flowing through the shared border. But experts say it’s not a significant problem and Trump is really looking for Canada to tighten money laundering laws.
Flows of migrants and seizures of drugs are vastly different at the U.S.’s two land borders.
U.S. customs agents seized 43 pounds of fentanyl at the Canadian border during the last fiscal year, compared with 21,100 pounds seized at the Mexican border.
On immigration, the U.S. Border Patrol reported 1.53 million encounters with migrants at the southwest border with Mexico between October 2023 and September 2024. That compares to 23,721 encounters at the Canadian border during that time.