Business
Preston Manning offers advice for Canada’s response to Trump Tariffs

From Josh Andrus of Project Confederation
Former leader of the Official Opposition and founding leader of the Reform Party of Canada, Preston Manning, recently reached out to me and asked me to share the following piece with Project Confederation supporters.
And with yesterday’s reprieve from tariffs, giving us at least 30 days to conduct some diplomacy, his thoughts on how that diplomacy should be conducted couldn’t be better timed.
Project Confederation has been saying the same thing for years – Canada needs to strengthen its position in North America by playing to its strengths, not doubling down on bad policies.
We need to focus on what actually matters instead of political grandstanding.
With Trump back in the White House, Ottawa is already stumbling into the same mistakes – empty tough talk, knee-jerk counter-tariffs, and no real strategy.
Manning lays out a better approach: one based on common sense, not political posturing.
Read his full piece below:
Responding to Trump: Will Foolishness or Common Sense Prevail?
By Preston Manning
With the inauguration of Donald Trump as the 47th president of the United States, how to appropriately respond to his administration’s initiatives — not the rumoured initiatives but the actual ones — becomes a highly relevant question for Canadians and our governments.
Unfortunately, a goodly portion of Canada’s political and media establishment got off on the wrong foot by responding foolishly rather than sensibly to Trump’s initial musings about Canada becoming a 51st state with Wayne Gretzky as governor. Instead of simply dismissing this as just another off-the-cuff joke for which Trump is notorious, much of the Canadian establishment took it seriously, giving it much more attention than it deserved.
And then there is the even more foolish response to Trump’s 25 per cent tariff threat by the stumbling Trudeau government — a government which is afraid to meet Parliament, whose leadership is seriously divided and, according to the polls, has the support of merely 20 per cent of the Canadian population.
Trudeau hastily assembled the premiers and announced the next week that he had taken a “Team Canada approach” which already shows signs of falling apart. The collective response of Canada to the expected Trump tariffs was then, predictably, declared to be a negative one involving the imposition of counter-tariffs.
Premier Doug Ford stated that counter-tariffs would be Ontario’s primary response, even before it was known what specific tariffs Trump was proposing. Premier David Eby of B.C. hysterically proclaimed that his province was preparing for “economic war” with the U.S. And Liberal leadership candidate Chrystia Freeland — the former finance minister who left the country with a $60-billion deficit and whom Trump most likely regards as the Canadian equivalent of Kamala Harris — trumpeted that she was the best person to lead Team Canada in its future relationship with the U.S.
But is not all of the above largely foolishness? Does not a common-sense approach to the tariff threat suggest going back to square 1 and analyzing it in the context in which it first was made?
Trump initially made tariff threats for the stated purpose of forcing Canada and Mexico to get serious about stopping the uncontrolled and illegal movement of unwanted migrants into the U.S.
Common sense then suggests that Canada’s initial response to Trump’s tariff threat should have been positive rather than negative, and that the Canadian response to the new Trump administration should have prioritized measures to stop the violation of U.S. borders by illegal migrants.
What needed to be said was this: “Here is what Canada’s federal and provincial governments are doing to stop this illegal activity and what we (Canada and the U.S.) can do cooperatively to secure North America from this threat.” No need now to threaten tariffs and retaliatory counter-tariffs, so let’s get on to some real business.
Trump being a businessman (of sorts) and a dealmaker, common sense further suggests bringing a positive response to an item which clearly is on Trump’s agenda and which also happens to be very much in Canada’s interest: energy security. This is a subject dear to Trump’s heart, referenced in his inaugural address, and a front on which Canada can lead from its strengths, not its fears.
There are few economic fronts on which Canada surpasses the U.S., but the truth is that, as the second-largest nation on Earth by land mass, Canada possesses some of the largest stocks of natural resources on the planet.
Thus surely common sense suggests that the most important component of Canada’s response to the Trump administration should be making North America more self-sufficient, especially with respect to energy.
Even our present prime minister has been obliged to belatedly reference this strength, but unfortunately, it is a subject on which his tattered Liberal government has zero credibility. For nine years it has most often treated the resource sectors — energy, agriculture, mining, forestry and the fisheries — as relics from the past and even environmental liabilities. It has opposed or delayed every major infrastructure project designed to increase our energy export potential — vetoing Northern Gateway in 2016, stalling Energy East until it was cancelled in 2017, making little effort to overcome roadblocks to pipeline construction in B.C. and imposing unconstitutional barriers to petroleum production through legislation such as Bill C-69, also known as the “No More Pipelines Act.”
No doubt some of Trump’s advisors will also remind him that in Canada, natural resources are first and foremost a provincial responsibility with private-sector entities playing a major role in their development.
Finally, of the various players on the political stage over the last month, who has most consistently articulated this common-sense response to the issues raised by the Trump administration? Certainly not our prime minister or any of the candidates to replace him. Rather, that voice of common sense has been Alberta Premier Danielle Smith. For that reason, she should be strongly supported and joined by those like-minded.
(Originally published in the National Post on January 30, 2025)
Manning’s message is clear: Canada’s leaders need less political theatre and more common sense when responding to major challenges.
Knee-jerk reactions and failed policies won’t cut it—we need a strategy that protects our economy, strengthens our provinces, and prioritizes real solutions over rhetoric.
That’s exactly what Project Confederation is fighting for.
But we can’t do it alone.
If you want to see a stronger, more self-sufficient Canada, consider making a donation today.
Every dollar helps us push for real change and hold Ottawa accountable.
Business
Ontario suspends electricity surcharge after Trump doubles tariffs

MxM News
Quick Hit:
Ontario Premier Doug Ford announced Tuesday that the province is suspending its 25% surcharge on electricity exports to the U.S. following President Trump’s decision to double tariffs on Canadian aluminum and steel.
Key Details:
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Ford confirmed Ontario’s suspension of the electricity surcharge after Trump’s tariff escalation put Canadian industries under pressure.
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The Ontario premier said he and Lutnick would meet with U.S. Trade Representative Jamieson Greer on Thursday in Washington to discuss a “renewed USMCA.”
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In a statement on X, Ford acknowledged the move, stating, “In response, Ontario agreed to suspend its 25 percent surcharge on exports of electricity to Michigan, New York and Minnesota.”
Diving Deeper:
Just hours after President Trump doubled tariffs on Canadian aluminum and steel, Ontario Premier Doug Ford announced Tuesday that the province will suspend its 25% electricity surcharge on power exports to three U.S. states. The policy reversal comes as Ontario seeks to avoid further economic retaliation from Washington.
Trump’s latest round of tariffs—upping duties on Canadian steel and aluminum to 50%—were issued in direct response to Ontario’s electricity tax on U.S. consumers in Michigan, New York, and Minnesota. The move threatened to escalate an already tense trade standoff, with Trump warning of additional penalties targeting Canada’s auto sector if broader trade disputes weren’t addressed.
Ford took to X to confirm Ontario’s decision to pull back on the surcharge, saying he had a “productive conversation” with Commerce Secretary Howard Lutnick. The two will meet in Washington on Thursday alongside U.S. Trade Representative Jamieson Greer to discuss a possible “renewed USMCA,” signaling a potential shift in trade relations between the two nations.
“In response, Ontario agreed to suspend its 25 percent surcharge on exports of electricity to Michigan, New York and Minnesota,” Ford and Lutnick stated in a joint announcement.
The suspension of Ontario’s surcharge marks a significant concession in the ongoing trade dispute, which has sent shockwaves through financial markets and rattled Canadian industries. Trump had labeled Ontario’s surcharge an “abusive threat” and pledged to take decisive action to ensure American energy security.
Beyond the immediate tariff battle, Ford’s willingness to engage in talks about a “renewed USMCA” could indicate Canada’s growing concern over Trump’s broader trade agenda. The U.S.-Mexico-Canada Agreement, originally signed during Trump’s first term, remains a key economic framework, but Trump has long criticized Canada’s tariffs on American dairy and its limited contributions to North American security.
While Ontario’s suspension of the electricity surcharge could ease tensions in the short term, the broader U.S.-Canada trade relationship remains in flux as Trump continues pushing for more favorable terms for American industries.
Business
Trump doubles tariffs on Canadian steel and aluminum imports

MxM News
Quick Hit:
President Trump announced Tuesday an additional 25% tariff on Canadian steel and aluminum imports, raising the total levy to 50%, in retaliation for Ontario’s decision to charge Americans in three border states 25% more for electricity.
Key Details:
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Trump declared Ontario’s electricity surcharge on New York, Michigan, and Minnesota as an “abusive threat,” vowing to declare a National Emergency to counteract its impact.
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The president threatened to impose a steep tariff on Canadian automobile imports by April 2nd if other longstanding trade disputes aren’t resolved, warning that it could “permanently shut down the automobile manufacturing business in Canada.”
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Trump also called out Canada’s minimal contributions to military security, arguing that the U.S. subsidizes the country’s defense by more than $200 billion a year, saying, “This cannot continue.”
Diving Deeper:
President Trump took direct aim at Canada on Tuesday, unveiling an aggressive tariff hike on steel and aluminum imports from America’s northern neighbor. The move raises the current duty by an additional 25%, bringing the total to 50%, and follows Ontario Premier Doug Ford’s controversial decision to slap a 25% surcharge on electricity exports to U.S. border states.
Trump, in a post on Truth Social, blasted Ontario’s move as an “abusive threat” to American energy consumers and promised swift action. “I will shortly be declaring a National Emergency on Electricity within the threatened area,” Trump wrote, saying this would enable the U.S. to “quickly do what has to be done” to counteract Canada’s pricing.
But the trade battle didn’t stop there. Trump also called on Canada to eliminate tariffs of up to 390% on American dairy exports, a policy the president previously fought against during his first term. If Canada fails to act, Trump warned he would ramp up the pressure by imposing new tariffs on Canadian car exports, a move he said would effectively cripple the country’s auto industry.
“If other egregious, long-time Tariffs are not likewise dropped by Canada, I will substantially increase, on April 2nd, the Tariffs on Cars coming into the U.S., which will, essentially, permanently shut down the automobile manufacturing business in Canada,” Trump warned.
In addition to the latest tariffs, Trump took a broader swipe at Canada’s role in global security, reiterating a long-held grievance that the U.S. shoulders an unfair burden for its northern ally’s defense. “Canada pays very little for National Security, relying on the United States for military protection,” Trump wrote. “We are subsidizing Canada to the tune of more than 200 Billion Dollars a year. WHY??? This cannot continue.”
Trump then again floated annexing Canada into the United States to eliminate trade barriers and lower Canadian taxes. “The only thing that makes sense is for Canada to become our cherished Fifty-First State,” he wrote, claiming this would bring economic relief and greater security. “And your brilliant anthem, ‘O Canada,’ will continue to play, but now representing a GREAT and POWERFUL STATE within the greatest Nation that the World has ever seen!”
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