Canadian Prime Minister Justin Trudeau considers resigning over tariff threat: report

Canadian Prime Minister Justin Trudeau is reportedly considering submitting his resignation after a public battle over the economy amid U.S. President-elect Donald Trump's tariff threats.

Sources told CTV News that Trudeau told his cabinet that he was considering prorogation or resignation and potentially planning to address Parliament this afternoon.

Canada's Deputy Prime Minister Chrystia Freeland quit Monday morning in a surprise move after disagreeing with Trudeau over the threats. In a post on X, she said that she was offered a different position, but upon reflection just assumed she'd leave.

"Our country today faces a grave challenge. The incoming administration in the United States is pursuing a policy of aggressive economic nationalism, including a threat of 25 percent tariffs. We need to take that threat extremely seriously," Freeland wrote in her resignation letter.

"That means keeping our fiscal powder dry today, so we have the reserves we may need for a coming tariff war," she continued. "That means eschewing costly political gimmicks, which we can ill afford and which make Canadians doubt that we recognize the gravity of the moment. That means pushing back against 'America First' economic nationalism."

CTV's official pollster Nik Nanos called the ordeal a disaster for Trudeau.

"Justin Trudeau just learned what it's like to be thrown under the political bus," said Nanos in an interview. "I can't envision what Justin Trudeau can do right now to fix this."

By Monday afternoon, Trudeau's party was in disarray, with leaders debating whether or not they had confidence in his leadership. Meanwhile, conservative leaders called the country "out of control."

Last week, Trump mocked Trudeau on TruthSocial in a late-night post where he continued his mockery at Canada. Trump told Trudeau that Canada should simply decide to become the 51st state of the United States.

"It was a pleasure to have dinner the other night with Governor Justin Trudeau of the Great State of Canada," Trump posted at 12:06 a.m., degrading the prime minister's office and his nation's autonomy.

The prime minister warned that a 25 percent across-the-board tariff would devastate the Canadian economy and create "real hardship for Americans."

"Americans import 65% of their crude oil from Canada, significant amounts of electricity," Trudeau said. "Just about all the natural gas exported from Canada goes to the United States. They rely on us for steel and aluminum. They rely on us for a range of agricultural imports. All of those things would get more expensive.”