QUESTION PERIOD — International Trade
Trade Tariffs
May 28, 2025
I want to welcome our new colleagues. I look forward to working with all of you. My question is for Senator Gold, Leader of the Government in the Senate.
Senator, on April 3, the Prime Minister announced a 25% tariff on U.S. vehicle imports and other goods. On April 15, Finance Minister Champagne said:
From day one, the government has reacted with strength and determination to the unjust tariffs imposed by the United States on Canadian goods. . . .
That same day, the Prime Minister dropped these tariffs — the ones that were a response of “. . . strength and determination . . . .” — foregoing $20 billion in revenue he said would be used to support Canadian companies negatively impacted by the U.S. tariffs. Given the $20 billion cited and the government’s lack of a fiscal plan, how does this government plan to address this shortfall?
Thank you for your question, senator.
The issues surrounding the tariffs and how Canada has and will continue to respond are matters of great importance for Canadians and the sector to which you referred. But they’re also a matter of priority for the government with regard to our larger relationship with the United States and other trading partners. The Government of Canada, the Prime Minister and his ministers — some of his ministers are regularly engaged not only with their counterparts in the United States, but with executives in the auto industry, leaders of unions and so on to ensure that Canada’s very important auto and auto parts industry continues to thrive for the benefit of the workers who depend upon it and their families.
I have a supplementary on that one, leader. In the absence of a federal budget — there has not been one since spring of 2024, and there likely will not be one until October of this year — as well as a free ride on the tariffs on U.S. goods and the $20-billion shortfall, how can Canadians have confidence in the government’s fiscal approach?
Canadians can have confidence that this government is laser-focused on the economy. It’s not simply the Prime Minister who brings a wealth of experience and knowledge to the task, but the team that this government has assembled — both within cabinet and the resources and relationships upon which this government can draw worldwide. This should provide Canadians with assurance that this government is focused on the major challenges of our time, which are the changing world order in economic terms and the need for Canada to re-engineer its economy for the future to take advantage of the enormous opportunities that await us. This government is determined to do what it can, as quickly and as effectively as it can, to reap those benefits for all of Canada.
