Ottawa: Canadian Prime Minister Justin Trudeau faced the biggest test of his political career after Finance Minister Chrystia Freeland, long one of his most powerful and loyal ministers, resigned from the Cabinet on Monday. The stunning move raised questions about how much longer the prime minister of nearly 10 years, whose popularity has plummeted due to concerns about inflation and immigration, can stay on as his administration scrambles to deal with the incoming US President-elect Donald Trump.
"The Great State of Canada is stunned as the Finance Minister resigns, or was fired, from her position by Governor Justin Trudeau," Trump posted on Truth Social. “Her behaviour was totally toxic, and not at all conducive to making deals which are good for the very unhappy citizens of Canada. She will not be missed!!!” Trump previously trolled Trudeau by calling Canada a state. And during his first term in his office — when he renegotiated the free trade deal with Canada and Mexico — Trump said Freeland wasn't liked. When Trudeau hastily flew to Florida to meet with Trump last month over the president-elect’s threat to impose a 25% tax on all Canadian products entering the U.S., the Republican tossed out the idea that Canada becomes the 51st US state.
Dominic LeBlanc named new Canada's Finance Minister
Trudeau swiftly named longtime ally and close friend Dominic LeBlanc, the pubic safety minister who recently joined him at dinner with Trump at Mar-a-Lago, to replace Freeland. Freeland did not make that trip.
After being sworn in, LeBlanc told reporters he and Trudeau are focused on the cost of living facing Canadians and on finding common ground with Trump on border security and economic issues. "It's not been an easy day," Trudeau later told a room of party supporters. He called it one of his party's “toughest days" but he did not say what he planned to do.
Trudeau faces calls to resign
Jagmeet Singh, leader of the opposition New Democratic Party which Trudeau’s ruling Liberals have relied upon to stay in power, called for him to resign earlier on Monday. “He has to go,” NDP leader Singh said. The main opposition Conservatives have not called for Trudeau’s resignation but demand an election. But a no-confidence vote in the government is not imminent with Parliament about to break for the holidays.
Freeland, who was also deputy prime minister, said Trudeau had told her on Friday he no longer wanted her to serve as finance minister and offered her another role in the Cabinet. But she said in her resignation letter that the only “honest and viable path” was to leave the Cabinet. “For the past number of weeks, you and I have found ourselves at odds about the best path forward for Canada,” Freeland said.
Freeland and Trudeau disagreed about a two-month sales tax holiday and 250 Canadian dollar ($175) checks to Canadians that were recently announced. Freeland said Canada is dealing with Trump's threat to impose sweeping 25% tariffs and should eschew “costly political gimmicks" it can “ill afford.” “Our country is facing a grave challenge,” Freeland said in her letter. “That means keeping our fiscal powder dry today, so we have the reserves we may need for a coming tariff war.”
(With inputs from agency)
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