Chrystia Freeland, whose abrupt resignation as finance minister last month forced Justin Trudeau's exit as prime minister, has announced her candidacy to lead the Liberal Party and become Canada's next leader. In a Toronto Star op-ed, Freeland urged a "dollar-for-dollar" economic response if U.S. President-elect Donald Trump imposes 25 percent tariffs on Canadian goods, framing her campaign as a call for decisive economic leadership.
Freeland declared her candidacy Friday on X, stating she would officially launch her campaign Sunday. Her resignation in December, spurred by disagreements with Trudeau over economic policies, set the stage for his departure amid declining popularity. Freeland had criticized measures like a sales tax holiday and direct payments to citizens, arguing Canada could not afford "costly political gimmicks."
Trudeau will stay in office until the party selects a new leader in March, with Freeland and former Bank of England governor Mark Carney seen as the top contenders.
Newsweek has reached out to Chrystia Freeland for comment via X.
Why It Matters
The upcoming leadership race marks a critical moment for Canada's Liberal Party, facing declining public support and an impending no-confidence vote. Trudeau's departure follows years of mounting discontent over economic challenges, housing shortages, and surging immigration. Freeland, a Harvard graduate and Rhodes scholar, is poised to bring her extensive experience in finance, journalism, and international relations to the leadership battle. However, she also carries the weight of criticisms regarding Canada's deficits and unpopular policies enacted under her tenure as finance minister.
What to Know
Freeland joined Trudeau's Liberal Party in 2013 after a distinguished journalism career. Known for her stance against Russian aggression, she has been a staunch supporter of Ukraine and has often clashed with world leaders, including Vladimir Putin and Donald Trump.
Economic Proposals Spark Debate
Her resignation came amid disagreements with Trudeau over policies such as a sales tax holiday and direct cash payments to citizens, which Freeland dismissed as fiscally irresponsible.
Tariff Threats from Trump
Freeland's bid includes a hardline stance on potential U.S. tariffs. In her Toronto Star op-ed, she warned of retaliatory measures targeting key U.S. industries, positioning herself as a defender of Canada's economic sovereignty.
Leadership Contest Challenges
The new leader, likely Freeland or Carney, faces the prospect of a no-confidence vote, with opposition parties united in their determination to unseat the Liberal government.
Recent polls show the Liberals trailing the Conservatives 47 percent to 20 percent, underscoring the challenges ahead for whoever assumes leadership.
What People Are Saying
Justin Trudeau: "Chrystia has been by my side for close to 10 years now, she has been an incredible political partner."
Chrystia Freeland: "If President Trump imposes 25 per cent tariffs, our counterpunch must be dollar-for-dollar — and it must be precisely and painfully targeted."
What Happens Next
The Liberal Party will choose its next leader on March 9. With the opposition gearing up for a no-confidence vote shortly after, the outcome will determine Canada's political trajectory for years to come.
This article includes reporting from The Associated Press
About the writer
Amir Daftari is a Newsweek reporter based in London, specializing in global affairs with a focus on the Middle East. ... Read more