U.S.-Canada Friction May Persist
Author: Greg Valliere
January 8, 2025
JUST BECAUSE JUSTIN TRUDEAU IS RETIRING doesn’t mean there will be a cessation of friction between the U.S. and Canada.
IN A REMARKABLE PRESS CONFERENCE YESTERDAY, DONALD TRUMP escalated the rhetoric against Canada, and the reaction was swift — Trudeau asserted that there “isn’t a snowball’s chance in hell” that Canada would ever become the 51st U.S. state.
A STINGING RETORT CAME from a frontrunner in a crowded field to become Prime Minister. Pierre Poilievre, leader of Canada’s Conservative Party, said Tuesday that ‘We are the best friend to the U.S.”
Poilievre continued: “We spent billions of dollars and hundreds of lives helping Americans retaliate against Al-Qaeda’s 9/11 attacks. We supply the U.S. with billions of dollars of high-quality and totally reliable energy well below market prices. We buy hundreds of billions of dollars of American goods.”
“Our weak and pathetic NDP-Liberal government has failed to make these obvious points,” he continued in his statement. “I will fight for Canada.”
Poilievre will have challengers, perhaps including Chrystia Freeland and the former head of Canada’s central bank, Mark Carney
TRUMP SEEMINGLY HAS TWO TRADE GOALS — first, he will lash out at China, Canada and Mexico, threatening to raise tariffs on those countries. Second, he will continue to threaten Greenland with annexation, and he sounds serious. As for Canada, the tariff threat is real; annexation is far-fetched.
The views expressed in this blog are provided as a general source of information based on information available as of the date of publication and should not be considered as personal investment advice or an offer or solicitation to buy and/or sell securities. Speculation or stated believes about future events, such as market or economic conditions, company or security performance, or other projections represent the beliefs of the author and do not necessarily represent the view of AGF, its subsidiaries or any of its affiliated companies, funds or investment strategies. Every effort has been made to ensure accuracy in these commentaries at the time of publication; however, accuracy cannot be guaranteed. Market conditions may change and AGF accepts no responsibility for individual investment decisions arising from the use of or reliance on the information contained herein. Any financial projections are based on the opinions of the author and should not be considered as a forecast. The forward looking statements and opinions may be affected by changing economic circumstances and are subject to a number of uncertainties that may cause actual results to differ materially from those contemplated in the forward looking statements. The information contained in this commentary is designed to provide you with general information related to the political and economic environment in the United States. It is not intended to be comprehensive investment advice applicable to the circumstances of the individual.
AGF Investments is a group of wholly owned subsidiaries of AGF Management Limited, a Canadian reporting issuer. The subsidiaries included in AGF Investments are AGF Investments Inc. (AGFI), AGF Investments America Inc. (AGFA), AGF Investments LLC (AGFUS) and AGF International Advisors Company Limited (AGFIA). AGFA and AGFUS are registered advisors in the U.S. AGFI is a registered as a portfolio manager across Canadian securities commissions. AGFIA is regulated by the Central Bank of Ireland and registered with the Australian Securities & Investments Commission. The subsidiaries that form AGF Investments manage a variety of mandates comprised of equity, fixed income and balanced assets.
About AGF Management Limited
Founded in 1957, AGF Management Limited (AGF) is an independent and globally diverse asset management firm. Our companies deliver excellence in investing in the public and private markets through three business lines: AGF Investments, AGF Capital Partners and AGF Private Wealth.
AGF brings a disciplined approach, focused on incorporating sound, responsible and sustainable corporate practices. The firm’s collective investment expertise, driven by its fundamental, quantitative and private investing capabilities, extends globally to a wide range of clients, from financial advisors and their clients to high-net worth and institutional investors including pension plans, corporate plans, sovereign wealth funds, endowments and foundations.
Headquartered in Toronto, Canada, AGF has investment operations and client servicing teams on the ground in North America and Europe. AGF serves more than 800,000 investors. AGF trades on the Toronto Stock Exchange under the symbol AGF.B.
For further information, please visit AGF.com.
©2025 AGF Management Limited. All rights reserved.
