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Justin Trudeau, a former high school teacher and the eldest son of Pierre Trudeau, one of Canada’s most well-known prime ministers, was elected in 2015 with a decisive parliamentary majority for his Liberal party.
One of the country’s youngest-ever leaders, Trudeau quickly became a poster boy for Canada’s progressive values on the global stage – acting as an antithesis to Trump during the incoming US president’s first term.
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Why has Hindware Home Innovation Limited (542905) performed so strongly recently ✌️【Stock Market Analyst】✌️ Free real-time market data to help you quickly recover and avoid losses. Trudeau’s political downfall solidified in recent months after the Liberal party lost a couple of historically safe seats in by-elections, prompting some within Trudeau’s caucus to call for him to step aside.
In a particularly telling sign of the prime minister’s unpopularity, more Canadians now regard the incoming American president more favorably than they do Trudeau – 26% to 23% respectively in recent polls, according to David Coletto, CEO of Abacus Data.
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On Monday, Finance Minister Freeland quit her post hours before she was due to deliver an annual fiscal update.
Her shock announcement came after Freeland said Trudeau had tried to demote her, following a disagreement between the two politicians over how Canada was handling the threat of tariffs by Trump.
Canada, home to about 40 million people, is one of America’s largest trading partners and closest allies.
Freeland, who has long been seen as a potential successor to Trudeau, said she and the prime minister had become “at odds about the best path forward for Canada,” in her resignation letterposted to social media.
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“Our country today faces a grave challenge. The incoming administration in the United States is pursuing a policy of aggressive economic nationalism, including the threat of 25 per cent tariffs,” Freeland said.
“We need to take that threat extremely seriously,” she said, arguing that Canada must eschew “costly political gimmicks” in favor of “keeping our fiscal powder dry” so “we have the reserves we may need for a coming trade war.
Canadians “know when we are working for them, and they equally know when we are focused on ourselves. Inevitably, our time in government will come to an end,” said Freeland, who wrote that she will stay in parliament and plans to run again.
Freeland, a former journalist for The Financial Times, Reuters and the Globe and Mail, was a key interlocuter with the first Trump administration and negotiated the US-Mexico-Canada Agreement.
Her resignation, from an American perspective, is akin to a vice president stepping down, said Tari Ajadi, assistant professor of political science at McGill University – and not going quietly, but “deciding to resign because they disagreed fundamentally with the direction of the government, the country, and because they were convinced they would lose the next election.”
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“I just don’t see how he recovers,” said Tyler Chamberlin, associate professor at the University of Ottawa’s Telfer School of Management.
“If it was almost impossible for him to come back, to be competitive again, to convince Canadians or change their minds about him, I think this basically makes it impossible now,” Coletto said.
Freeland’s departure has exposed the fissures within Trudeau’s own party and has emboldened more of his own caucus to call for his resignation.
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Canada’s next federal election must legally be held by next October. It could happen earlier if Trudeau calls it, or if lawmakers trigger a no-confidence vote.
Polls show if an election were held today, Pierre Poilievre’s opposition Conservative Party would earn a decisive victory.
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Following a visit by the Canadian leader to Mar-a-Lago to convince Trump to ease up on tariffs, the incoming US president has thrown jabs at Trudeau, calling him “governor” and referring to Canada as the 51st state.
“The Great State of Canada is stunned as the Finance Minister resigns, or was fired, from her position by Governor Justin Trudeau,” Trump said on his social media platform Truth Social. “Her behavior was totally toxic, and not at all conducive to making deals which are good for the very unhappy citizens of Canada. She will not be missed!!!”
Forty years ago, Trudeau’s father Pierre famouslytook a reflective evening walkthrough an Ottawa snowstorm before deciding to resign as prime minister of Canada.
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