Manitoba legislature resumes, government prepares budget as tariff fallout looms

Premier Wab Kinew and members of his NDP caucus stand outside the legislative building for a press conference in Winnipeg on Tuesday, March 4, 2025. Politicians are returning to the Manitoba legislative chamber today amid the economic fallout from U.S. tariffs and ongoing challenges in provincial health care. THE CANADIAN PRESS/Steve Lambert

WINNIPEG — Politicians accused each other of failing to stand up against U.S. tariffs Wednesday as the Manitoba legislature reconvened after a winter break.

Josh Guenter, a member of the Opposition Progressive Conservatives, pointed to a recent opinion poll by Ipsos-Reid that suggested 43 per cent of people aged 18 to 34 would consider annexation if offered U.S. citizenship and conversion of Canadian financial assets to U.S. dollars.

"Today, Canadian household debt is 85 per cent higher than American household debt, and the average Canadian earns 30 per cent less than his American counterpart," Guenter said.

"No wonder then, that so many Canadians have lost hope and a recent poll showed that 43 per cent of Canadians of my generation see no issue with becoming American. I love Canada and it makes me angry to see my country in this state."

That prompted jeers from the governing New Democrats.

"The so-called leader of the PCs just let one of their caucus members stand up in this sacred chamber and talk about Canadians becoming Americans," Premier Wab Kinew said.

Guenter said he is against annexation and was simply pointing to feelings expressed in a poll by young people.

"They don't see Canada as a place where they can get married, settle down, raise a family and have a prosperous career, and that's hugely concerning," he said in an interview.

Obby Khan, one of two candidates running for the leadership of the Progressive Conservatives, was also accused by the NDP of expressing support for the U.S. The NDP pointed to a podcast last month in which Khan said U.S. President Donald Trump helped speed the departure of Justin Trudeau from the prime minister's office.

"He wanted (Trudeau) gone and thank God he's gone. So, how much of an influence the 25 per cent tariff threat had on that, I would say a lot. And I would say thank you, I would say thank you, he's gone now," Khan says in a recorded clip from the podcast.

Khan said the NDP was trying to twist his words and he is firmly opposed to the U.S. tariffs while in favour of Trudeau's departure.

"Throughout that podcast and in many other interviews I've done, I've unequivocally said that the tariffs are bad for Canadians, the tariffs are going to hurt Manitobans," Khan said.

The Tories accused Kinew of not doing enough to protect Manitoba jobs and retaliate against the U.S. tariffs.

Kinew has pulled U.S. alcohol products from liquor store shelves, launched a "buy local" ad campaign, and offered tax relief to employers hurt by the tariffs. He has floated other possibilities, including restricting U.S. companies from winning contracts with the provincial government, but has not acted to date.

"We have a premier that has completely failed to produce a plan to address the tariffs," interim Tory leader Wayne Ewasko said.

Kinew has said further measures could come later this week.

Trump announced 25 per cent tariffs on all Canadian goods Tuesday, along with 10 per cent levies on energy.

Trudeau has announced he is resigning and federal Liberals will vote this weekend on a new leader.

The governing New Democrats also introduced several bills Wednesday that will debated in the spring sitting.

One will prevent any more convenience stores from getting licences to serve alcohol in dining areas, as two in Winnipeg have recently started doing. Another bill would prevent any new licences for gas stations and convenience stores to sell cannabis.

Justice Minister Matt Wiebe said the aim is to limit new retail outlets to places where only adults are allowed.

"We don't want our children exposed to this," he said.

Another bill would require pipeline operators to quickly report any shutdowns caused by emergencies. Imperial Oil shut down a pipeline last year becaues of safety concerns, prompting gasoline to be shipped by truck and raising fears of shortages.

Another bill would make it easier for First Nations people living on a reserve to vote in school trustee elections.

This report by The Canadian Press was first published March 5, 2025.

Steve Lambert, The Canadian Press