Alberta Premier Rejects Energy Leverage in U.S. Trade Dispute

Alberta Premier Danielle Smith is urging Canada to avoid escalating the trade war with the United States by rejecting calls to use the province's energy exports as a bargaining chip. Speaking in Grande Prairie on Wednesday, Smith warned that imposing tariffs on or cutting off oil shipments to the U.S. would trigger devastating retaliation, potentially crippling the Canadian economy and costing hundreds of thousands of jobs.

Smith's comments came as she responded to growing pressure from opposition figures, including Alberta NDP Leader Naheed Nenshi and former premier Jason Kenney, who have argued that Canada should keep all options on the table in its dispute with Washington. The premier firmly dismissed that approach, calling it a "disastrous policy decision." She outlined a scenario where a 50% Canadian tariff on oil exports could prompt the U.S. to respond with a 50% to 100% retaliatory tariff on all Canadian energy products, including refined fuels shipped to Ontario and Quebec. "This would result in the loss of about half a million jobs at a minimum, mostly in Alberta, but also hundreds of thousands of jobs in Ontario and Quebec," Smith said.