Economy

Saskatchewan Welcomes 30-Day Tariff Pause from U.S.

Published February 4, 2025

On Monday afternoon, Canadian Prime Minister Justin Trudeau announced a surprising decision: a 30-day pause on the potential tariffs from the United States. This news was met with relief from various stakeholders in Saskatchewan.

Saskatchewan Premier Scott Moe expressed gratitude for the temporary respite provided by the pause. In a statement, he emphasized the importance of fostering ongoing relationships to find a lasting resolution. Moe urged the federal government to take swift action on their border security commitments during this critical time.

"This is a temporary pause, and we need to continue leveraging our relationships as we work to find a more permanent solution," Moe stated as he prepares to advocate for Saskatchewan’s exports in Washington next week.

Political Responses

Carla Beck, the opposition leader, also shared her thoughts following the announcement of the tariff delay. She remarked, "No one wins in a trade war. This pause in the implementation of tariffs is very welcome, and we continue to advocate for our continued economic and security partnership with the United States. Our nations have always been stronger together." Beck highlighted the readiness of people in Saskatchewan to collaborate with their American counterparts to ensure prosperity on both sides of the border, while firmly opposing threats to Canadian jobs and sovereignty.

Impact on Local Businesses

Local business owners in Saskatchewan expressed their concerns about the potential tariffs but welcomed the momentary relief. Bruce Kozak, owner of Funky Gifter in Regina, mentioned that the situation has been tension-filled. "For us, the 30-day breather is a sigh of relief. However, we’re not holding our breath because with the American government, anything could change at any time,” he shared. Kozak makes trips to the U.S. multiple times a week to secure inventory. He plans to maximize purchases in the coming days to prepare for any potential tariffs that may eventually come into effect.

Kozak noted that despite selling American products, they operate as an independent Canadian store facing challenges like exchange rates, fuel costs, and rising prices.

Saskatchewan's economy heavily relies on trade with the U.S., having exported approximately $26 billion worth of goods in 2023, primarily consisting of potash and oil. With the U.S. being the destination for 90 percent of Canada's potash exports—vital for fertilizers—Moe continues to advocate for the importance of Saskatchewan's exports in ensuring North American food and energy security.

Saskatchewan, Imports, Tariffs