A “time of economic war” launches David Eby

The provincial and territorial premiers agree not to play the game of escalating tariff responses and the Prime Minister, David Eby, ranks behind his counterparts. He says he is ready to retaliate if the federal government deems it necessary. The possibility of banning the export of critical minerals is one of the cards still on the table.

The group of provincial and territorial premiers and federal Prime Minister Justin Trudeau said Wednesday that there will be no Canadian offensives, but that a Canadian response to possible American tariffs is being considered.

At a press conference Wednesday afternoon, David Eby stressed that he supports the coordinated Canadian approach, and welcomes the federal desire to support sectors and regions that could be hit harder by American customs tariffs.

If tariffs impact British Columbia, they must have a similar impact on other provinces across the country. We cannot ask British Columbia and Alberta to bear the full brunt of retaliatory measures against the United Statesspecifies Mr. Eby.

On Tuesday evening, Premier David Eby threatened to ban the export of critical minerals mined in British Columbia.

Against the proposed measures on Alberta oil, Danielle Smith, Premier of Alberta, is the only one not to have signed the joint declaration of the provinces and territories. The possibility of imposing Canadian tariffs on the export of oil and fossil fuels is a bad idea, according to her.

This is a shared responsibility. We are in a time of economic war.

David Eby, however, believes that absolute consensus is not necessary to make the Canadian team work.

Premier Smith needs to do what she thinks she should do to her public. I know, as a Canadian and a British Columbian, that I will strongly support the Prime Ministers to ensure that the federal government is not limitedhe says.

A short-term impact

Mentioning critical minerals is not a trivial act on the part of David Eby, who was referring, among other things, to germanium, a rare metal produced by the Trail smelter, in British Columbia.

It is used in particular in the manufacture of optical fiber, solar panels and night vision goggles, explains John Steen, director of the Research Institute Bradshaw in minerals and mining at the University of British Columbia.

When Prime Minister David Eby said, ”look, if you can’t get germanium from Canada, you can’t get it from anywhere,” he wasn’t kiddingestimates John Steen, who recalls that the Chinese government has already suspended all exports of germanium, and other critical minerals, to the United States last December.

This is a real threat [de la Colombie-Britannique] and the United States would suffer.

The impacts of such a threat could be felt quickly if it were carried out, thinks the economist at the University of British Columbia, Werner Antweiler.

All of these minerals are important and there would definitely be a noticeable effect, at least in the short termhe maintains, adding that this would send a very clear and very strong message quickly.

In 2023, British Columbia exported the equivalent of $2 billion in minerals to the United States.

Don’t get carried away

Fred Pletcher, a Vancouver lawyer and specialist in mining issues, believes exports are complex. He recalls that a majority of the province’s mineral exports go to Asia.

The complexity of the exchange market therefore allows a country to purchase a mineral through a third country, also recalls John Steen.

For Mr. Pletcher, however, we should not get carried away: he insists on the absence of decisions taken in the United States.

I think it is very premature to speculate on the impact that the United States will have on different Canadian industrieshe believes, while admitting that it remains prudent for Canadian political leaders to have a plan on hand.