REGINA, Sask. — In the wake of the American midterm elections, we break down new rules prioritizing local companies for Alberta government contracts, and hear from Saskatchewan Finance Minister Jim Reiter and Trade Minister Warren Kaeding on how the province is reading the shifting political winds.
Podcasts are available now on GX94, Yorkton, or on 620 CKRM, Regina, hosted by Steven Wilson. Or read the transcript below:
Steven Wilson — Welcome to Trade Dispute: Impact on the Prairies. I'm Steven Wilson.
A massive contradiction is unfolding between Canadian and American leadership regarding the current state of cross-border trade negotiations.
Speaking to reporters from Antigua and Barbuda, Prime Minister Mark Carney claimed the United States is asking for less and offering more. Carney explicitly stated Washington had dropped demands that would restrict Canada's ability to negotiate third-country trade deals as well as demands targeting French language and cultural protections. However, Washington immediately disputed that account.
President Donald Trump denied ever targeting French-language protections in the first place. United States Trade Representative Jamieson Greer directly contradicted Carney's narrative, blaming the lack of a finalized deal on new demands and walkbacks initiated by Canada.
The public clash comes as the fallout from the United States' midterm elections ripples across not just the U.S., but the continent. With Democrats taking control of both the American House and Senate, Canadian Conservative leader Pierre Poilievre says the results prove Americans hate the tariffs. Poilievre argues the midterm sweep gives Canada massive leverage and is demanding the Prime Minister use that goodwill to secure tariff-free trade rather than offering more big talk. Major Canadian bank economists share that optimism.
Analysts from BMO, CIBC, and Scotiabank all released notes suggesting the election results will force the Trump administration to dial down tariffs to ease consumer prices. However, Ontario Premier Doug Ford offered a stark reality check to the rest of the country, warning that the trade war is not over because the president still holds the executive power to enforce the 50 per cent tariffs.
In Alberta, Premier Danielle Smith says the midterm results vindicate her approach to fighting the tariffs. To buffer the province against the ongoing dispute, Smith's government implemented a new policy yesterday that prioritizes Albertan and Canadian companies for small government contracts.
In Saskatchewan, provincial leaders are viewing the midterm results as an opportunity to reset the relationship with Washington. Saskatchewan Finance Minister Jim Reiter says the cross-border friction has driven up the cost of living in both countries and hopes the election results will force a return to common sense.
Jim Reiter — Tariff war is benefiting no one. It's driving prices up on both sides of the border. You know, we looked to the election yesterday, you can argue about how much the tariff war had to do with that, but obviously it had some impact. This gives us an opportunity, both countries, an opportunity to do a bit of a reset. You know, we hear the rumblings, just like you do, that there's talks going on.
So I'm cautiously optimistic that hopefully in the near future, we might see something to end a ridiculous trade war and it's going to do nothing but help citizens on both sides of the border.
I just hope that a message has been sent that the people on, and again, the Americans obviously are unhappy with the cost of living. The tariffs are exacerbating that.
And I think, again, as I said earlier, cost of living on both sides of the border is an issue and the tariffs are a big part of that. So hopefully common sense will prevail and we'll get some sort of an agreement soon.
Steven Wilson — Reiter says it makes sense that agricultural states were among the loudest in rejecting the president's policies as they have been the hardest hit by the border chokeholds.
Saskatchewan Trade and Export Development Minister Warren Kaeding says the province will continue to engage with American lawmakers across the political spectrum. Despite the change in congressional control, Kaeding says the province's message remains exactly the same.
Warren Kaeding — As I said, it really doesn't matter even who the president is or who's in charge of Congress. We have a message to give and that's we have such an integrated marketplace and we just need to ensure that there's a free and fair trade of goods across the border. If we can get back to what we had a couple of years ago with the CUSMA agreement, that is by far our preferred direction we'd like to go, but willing to have that engagement with whoever it takes.
Steven Wilson — While navigating the American political shift, Kaeding says the province is also actively looking to expand its reach overseas. He says Saskatchewan will continue to diversify its trade portfolio in markets like China and India to ensure the prairie economy is never wholly reliant on a single customer.
We will continue to watch for updates on those international trade missions as well as the upcoming federal budget which is due to be released today. Thank you for listening to Trade Dispute: Impact on the Prairies.
Listen weekdays at 9 a.m. on 620 CKRM and GX94 for new installments of Trade Dispute: Impact on the Prairies.
