
Premier says province asking contractors to cut all American content used in government builds, will stop SLGA from buys and selling American-made alcohol
Emokhare Paul Anthony
Daily Herald
Premier Scott Moe said the Government of Saskatchewan supports the federal government’s targeted response towards American tariffs.
Moe said they have been working on a response for the federal government for a number of weeks. The goal is to maximize the impact on American companies, Moe said, while minimizing the impact on Canadian families.
“Credit to the federal government for not going (with) dollar for dollar tariffs which would have a tremendous impact on Canadian families—about $600 billion (of goods) are experiencing the American tariff moving south. About $155 billion of targeted impact tariffs is the response,” Moe said during a press conference on Wednesday.
Canada’s $30 billion targeted tariffs will come into effect immediately. Those tariffs will grow in three weeks by another $125 billion, for a total of $155 billion in counter tariffs.
“We are facing really what are three implied tariffs from the president of the United States as Canadians,” Moe said. “The first is related to fentanyl and border security. That’s the tariff that is in place today and came into place this week. The second tariff, the indication is that it would be looked at and a decision made on March 12, which would impact steel and aluminum. The third would be the reciprocal tariff that is more globally focused.”
Moving forward, Moe said it is imperative to keep an eye on global trade relationships and how other countries are handling the American tariffs. He said Canada should look at how Taiwan, Japan, Mexico and China have different approaches as that may have an impact on Saskatchewan and Canada.
“I think we need to keep an eye on how we find our way through this conversation,” Moe told reporters.
Moe said he met with other premiers and the Prime Minister to discuss “non-tariff measures” that provincial governments could take. That led to the announcement on Wednesday that the Saskatchewan Liquor and Gaming Authority (SLGA) would stop purchasing, stocking, and selling U.S.-produced alcohol. That includes a halt on selling on American-produced liquor currently in stock.
Moe said the provincial procurement policies would also change, as Crown Corporations make “every effort” to prioritize Canadian suppliers. In some cases, Moe said, that will mean a “temporary pause” on government projects that haven’t been started to reassess them.
For projects that are already under construction, Moe said the province has put the call out to contractors asking for reports on “what level of American content they have in that construction” and how they will replace it with Canadian suppliers.
“The goal here is for us to greatly lower, or even get to zero, with respect to U.S. procurement in the … publicly funded capital projects that we have,” Moe said. “There are a number of exceptions as we know for essential products in each of those builds, and I think that speaks to the integration of the North American economy, and the fact that we have enjoyed, and I think valued, from Saskatchewan’s perspective, the trade relationship that we have.”
Moe said the province was also encouraging school divisions, post-secondary institutions, and Saskatchewan municipalities to review their procurement policy.
Moe said this isn’t the first time Saskatchewan has faced tariff challenges from a major trading partner, but added that it is important to remember the U.S. will continue to be the most significant trading partner and ally “when the dust settles.”
Moe said that relationship is changing, but Saskatchewan still sends more than 55 per cent of exports to the United States, with about 80 per cent of imports coming from the U.S.
“We, very much, as a government have committed not only to deepening the trade relationship with the United States of America, but diversifying our trade relationship with other countries around the world,” Moe said. “You saw that as we formed government in 2007 with our focus on international missions along with the industries that are creating wealth and creating jobs in this province, and I would say you saw a doubling down of that effort in 2018 with the investment in trade investment offices in nine different countries around the world so we have a presence in those markets when we have challenges like we do here.”
Moe added that there is a lot that is still in motion on the trade file.
“This is going to be a changing environment day by day by day,” he said.
The Saskatchewan NDP blasted the province’s approach, arguing Moe was the last Premier in Saskatchewan to take action in response to the American tariffs.
In a press release, NDP leader Carla Beck said the Moe government was announcing measures taken in other provinces without, but without details on how those measures will be fulfilled.
“People needed Moe, but he was MIA,” Beck said in the press release. “It’s clear the Sask. Party has no plan – they’ve sat on their hands for months as the threat of a trade war loomed.”
The NDP also reiterated calls for MLAs to return to the Legislature early. The spring sitting is scheduled to begin on March 19.
–with files from Jason Kerr/Daily Herald