Former Liberal Finance Minister urges Trudeau to revise emissions cap and other policies following Trump’s election victory

November 11, 2024 TruthUSA

The Liberal government needs to rethink several key policies in response to U.S. President-elect Donald Trump’s upcoming administration, as former Liberal Finance Minister Bill Morneau suggests.

Trump pledged during his election campaign to protect the American economy by imposing a minimum 10 percent tariff on all imports to the United States. There have been no assurances yet that Canada will be exempt from this tax.

Canada will need to do more than emphasize the importance of the Canada-U.S. trade relationship to address Trump’s promise, Morneau mentioned to Vassy Kapelos during CTV’s Question Period on Nov. 10.

It is crucial to consider policy initiatives and substantive measures that align with the priorities of the incoming president, Morneau emphasized.

“We should be concerned. We need to be proactive and think about how we can enhance our outcomes,” Morneau said. “We will have to ask ourselves some tough questions.”

One of those questions, Morneau raised, is whether Canada is on the right track with its current emissions timelines. He highlighted energy use and security as critical areas for the Trudeau government to address in preparation for a Trump presidency.

“We must evaluate if we need to swiftly advance carbon capture and sequestration efforts,” Morneau considered.

Carbon capture and sequestration involves capturing and storing atmospheric carbon dioxide to reduce emissions from industrial processes.

The government’s current objective is to achieve net-zero carbon emissions by 2050. This includes implementing an oil and gas emissions cap to reduce greenhouse gas emissions in the sector by 35 percent below 2019 levels by 2032.

Environment Minister Steven Guilbeault highlighted the necessity of these measures due to the oil and gas sector’s significant contribution to Canada’s greenhouse gas emissions.

Canada also needs to reevaluate its approach to defense spending targets, according to Morneau.

…

Canada should examine its supply managed sectors carefully, particularly regarding discussions with the U.S., Morneau advised.

Canadian supply management allows farmers to control the supply of milk, chickens, and eggs through a marketing system.

Supply management, particularly in the dairy sector, will be a key topic in discussions between the two countries, Morneau pointed out.

The dispute over Canada’s dairy tariff rate quotas will be central to these discussions, with recent panels addressing complaints from the U.S.

…

Canada may need to reconsider its stance on the digital services tax (DST), Morneau mentioned. The DST, implemented on June 28, has faced criticism from the U.S. and could impact technology sector alignment with the U.S.

All four policies—digital services tax, defense, energy, and dairy supply—will play a significant role in upcoming discussions with the U.S., Morneau concluded.

“These are difficult policy decisions,” he stated. “I believe they are crucial to consider now. It’s not just about fostering good relationships but also about the substance of our actions to be a reliable partner to the United States.”

The Canadian Press contributed to this report.

Source link