British Columbia’s finance minister says President-elect Donald Trump proposed prices would have devastating effects on the province’s economy and growth.
Brenda Bailey told a news conference Thursday that the tariffs would be “unprecedented in modern times.”
She said there was still uncertainty about the scope and amount of potential tariffs, but that B.C. had prepared a high-level assessment of potential impacts based on the assumption that tariffs would remain in place during Trump’s term and that Canada would retaliate in kind.
Lumber, pulp and paper, metallic minerals and energy products are all exported to the United States, Bailey added.
“The United States remains our largest trading partner.”
If the tariffs were implemented, it would result in a $69 billion loss to B.C.’s economy by 2028, Bailey said.
This would mean 124,000 fewer jobs by 2028.
Investment would decline, with corporate profits falling by billions in 2025 and 2026, Bailey said.
The unemployment rate would increase to 6.7 percent in 2025 and could reach 7.1 percent in 2026.
President-elect Donald Trump will return to the Oval Office on Monday and has repeatedly pledged to apply 25 percent tariffs on Canadian goods.
“This is an attack on British Columbia families,” British Columbia Premier David Eby said Thursday.
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He said that in war – and he considers it an economic war – people need to come together and support each other.
“In 2019, the Bank of Canada estimated the impacts of a 25 percent tariff. The National Bank recently reported that the Bank of Canada’s estimate of the impact on Canadian GDP “would exceed that of any previous recession, barring the temporary setback at the start of the COVID-19 pandemic,” according to a press release from the government.
Eby added that he had asked his ministers to prepare to deal with any tariffs proposed by Trump.
Eby said his cabinet would focus on growing the province’s economy and protecting vital public services.
He acknowledged that this is a different mandate letter release day than years past with the looming threat of the proposed tariffs.
“British Columbia has everything we need to succeed: abundant natural resources, access to markets and, most importantly, the people who call this place home,” said Eby.
“In times of instability, we are stronger when we work together to leverage these unique advantages. Our team will prioritize growing the economy and creating the wealth needed to support strong public services that working families rely on.
Part of the plan includes speeding up permit approvals for major job and revenue-creating projects, and the ministers of economy and natural resources will work with industry, First Nations and communities to achieve this, Eby explained.
“Governments around the world are facing a challenging fiscal environment as we see slowing global economic growth and threats coming from south of the border,” Eby said.
“A strong financial foundation is essential to helping people build a good life here. By making the best use of public funds, we can protect services and address the challenges that concern people around the kitchen table, from what home delivery people can afford to hiring family doctors .
On Wednesday, Eby joined Canada’s other prime ministers for a meeting with Prime Minister Justin Trudeau to discuss how they would respond to the tariffs if they were implemented.
Most of them said all options should be considered when it comes to economic retaliation.
“If there are tariffs that impact British Columbia, then they must impact provinces across the country. We cannot look to British Columbia and Alberta to bear the full brunt of retaliation against the United States,” Eby said.
Alberta Premier Danielle Smith refused to sign a joint statement with her colleagues on the retaliation plan.
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