Canada’s provincial leaders want a free trade deal with the US that excludes Mexico
TORONTO — The leader of Canada’s most populous province said Wednesday that all of the country’s provincial and territorial governments want Prime Minister Justin Trudeau’s federal government to negotiate a bilateral trade deal with the United States that would exclude Mexico.
Ontario Premier Doug Ford chaired a call with all 13 provincial and territorial premiers and said they want Trudeau to strike a direct bilateral trade deal with the U.S., Canada’s top trading partner.
The meeting and Ford’s comments come as Canada’s provincial and federal governments prepare for the uncertainty of another Donald Trump presidency.
“There is a clear consensus that everyone agrees that we need a bilateral trade agreement with the U.S. and a separate bilateral trade agreement with Mexico,” Ford told reporters in Toronto after the call with provincial leaders.
“We know that Mexico is bringing in cheap Chinese parts, putting Made in Mexico stickers on it and shipping it through the US and Canada, causing American jobs to be lost and Canadian jobs to be lost. We want fair trade,” he said.
Ford said they have requested a meeting with the Trudeau government to discuss the issue.
The Canadian federal government on Tuesday did not rule out sidelining Mexico in future trade negotiations. Deputy Prime Minister Chrystia Freeland said shares American concerns about Mexico serving as a backdoor for China to import cheaper goods into the North American market, as a revision of the trade pact known as the U.S.-Mexico-Canada Agreement looms.
Freeland said members of U.S. President Joe Biden’s outgoing administration and supporters and advisers of newly elected President Trump have raised “very serious” concerns to her about the issue and that Canada shares them.
Freeland chairs a special cabinet committee on US-Canada relations, aimed at allaying concerns about a new Trump presidency. Freeland has met with provincial, business and labor leaders across Canada.
Canada took a “Team Canada” approach to previous trade negotiations with Trump. It crossed all party lines.
Trudeau called Trump after his election victory and the two discussed the trade deal Trump reached with Canada and Mexico during his first term, the USMCA, which replaced the North American Free Trade Agreement (NAFTA).
Ottawa will soon have to focus on a planned review of the agreement in 2026.
During the recent American election campaign, Trump proposed a proposal rates of 10% up to 20% on foreign goods – and has cited even higher percentages in some speeches. Trump has not said whether his administration would exempt Canada.
During Trump’s first term, his decision to renegotiate NAFTA and reports that he was considering a 25% tariff on the auto sector were seen as an existential threat in Canada at the time.
Canada is one of the most trade-dependent countries in the world and 75% of Canadian exports, including cars, go to the US.
Ford said leaders of provinces and territories will meet in person in Toronto in mid-December to discuss their U.S. trade interests. He also noted that there is a meeting of U.S. governors in February that he said they would like to attend.
“I just feel like we need to work with our most important trading partner,” Ford said.
Ford said Ontario does 40 billion Canadian dollars ($29 billion) in two-way trade with Mexico, but Ontario exports only 3.5 billion Canadian dollars ($2.5 billion) of that, while it exports 36.5 billion Canadian dollars ($26 .1 billion dollars) imports.