By Paul Vieira
OTTAWA--Canada's Finance Minister Dominic LeBlanc said he won't seek the Liberal Party leadership because his focus must remain on fighting against the risk of "unjust" tariffs from the incoming Trump administration.
"The best way for me to serve our country is to direct my full attention to my job," said LeBlanc, adding that Liberal lawmakers had encouraged him to campaign to replace Justin Trudeau as party leader. He added that Canada is at a "crucial juncture" in its relationship with Washington.
In a statement posted on the social-media platform X, LeBlanc said he intends to work with his cabinet colleagues, the country's provincial governments, and business and labor leaders to "make the case against the unjust application of tariffs on Canadian businesses and workers to the incoming Trump administration."
LeBlanc's name was immediately floated by Liberal Party insiders as a possible replacement for Trudeau, who announced his resignation on Monday amid poor public-opinion polling and heightened calls within the party for his departure. LeBlanc became finance minister last month, replacing Chrystia Freeland after her shock departure she attributed to a policy conflict with Trudeau over preparing for a possible trade war once President-elect Donald Trump takes office.
In late November, Trump threatened to impose a 25% tariff on all Canadian imports unless Ottawa took steps to stem the flow of illegal drugs and migrants into the U.S. In response, LeBlanc helped unveil a billion-dollar-plus spending plan to bolster border security, through the addition of hundreds of border agents and the acquisition of canine units, drones, helicopters and mobile-surveillance towers.
Trump has expanded his rationale for tariffs, saying he is unhappy that the U.S. runs a sizable trade deficit with Canada. Trump added that Canada should become America's 51st state, adding that he is prepared to use economic force to make that happen.
Economists warn a 25% U.S. tariff on Canadian imports would likely tip the country into a recession. Trade with the U.S. is the lifeblood of the Canadian economy, as about three-quarters of all Canadian exports are U.S.-bound.
Write to Paul Vieira at paul.vieira@wsj.com
(END) Dow Jones Newswires
01-08-25 1104ET
