Calgary business community, oilpatch ‘disappointed’ by tariffs

The Calgary Chamber of Commerce and its members said the tariffs announced Saturday are deeply concerning and may have “severe consequences” on businesses and workers across the country.

“We have been clear: tariffs are bad economic policy — whether imposed by the U.S. or as retaliation — with the consequences borne by Canadians, Americans and businesses on both sides of the border," Chamber president and chief executive officer Deborah Yedlin said in a media release.

“We strongly encourage the federal government to focus on diplomacy and de-escalation and avoid further blows to our economy through retaliation.”

Earlier Saturday, it was announced that Canada and Mexico will be hit with 25 per cent tariffs, starting Tuesday, while China faces a 10 per cent tariff, the same as Canada’s energy industry.

The Calgary Chamber said retaliation should be seen “as a last resort option.”

Prime Minister Justin Trudeau announced the Canadian response to the U.S. tariffs Saturday night.

Sunday morning, Trudeau posted on social media that “now is the time to choose products made in Canada.”

“Check the labels,” he added. “Do our part. Where ever we can, choose Canada.”

Ripple effect: Calgary Chamber

The Calgary Chamber and the Canadian Chamber of Commerce warned that the economic impact of tariffs will ripple through key industries on both sides of the border -- including manufacturing, agriculture, energy and technology -- undermine the competitiveness of Canadian businesses and weaken the country’s position in the global marketplace.

Sunday morning, following the announcement that Canada and Mexico are imposing retaliatory tariffs on a number of U.S. products, the Calgary Chamber said it stands with the rest of the country.

“This is a seminal time in Canada’s history – and as in all moments like this, we must be united as a country. That means buying Canadian, promoting Canadian businesses, industries and know-how around the world, and providing supports to minimize the impact to affordability for businesses and Canadians.

“As such, and in light of the retaliatory tariffs announced yesterday evening, we encourage the federal government to bring forward measures that will be taken to protect Canadian industries and workers, acknowledging the sacrifice that will be made through implementing these tariffs.

“We also call on the government to redistribute the revenue collected through tariffs to workers and businesses to ensure those most affected receive support during this challenging time.

“The Calgary Chamber of Commerce remains deeply concerned with the United States’ decision to move forward tariffs on Canada. As always, our business community stands united with Canadians’ best interests, and we are ready to support Canada’s long term economic prosperity and sovereignty – whatever it takes."

“Finally, despite this challenging situation, Canadians must remember we have the resources the world needs, and we must stand together for the right to develop and sell those resources.

“We have an important opportunity to come together, stand up for our sovereignty, support one another – both as businesses and as Canadians – and prioritize unity across the country.”

‘Undermine our mutually beneficial relationship’: CAPP

The Canadian Association of Petroleum Producers (CAPP) issued a statement early Saturday evening, on behalf of CAPP president and CEO Lisa Baiton.

“We are deeply disappointed that U.S. President Trump has decided to institute tariffs on Canadian goods,” Baiton said. “Nobody wins with the introduction of tariffs on Canadian energy.

“These tariffs undermine our mutually beneficial relationship and are likely to increase costs and inflation for American consumers while damaging the economies of both countries.

“With the complexity of North American and global oil and natural markets, it is difficult to predict how the application of a 10 percent tariff on Canadian oil and gas will impact supply, demand and trade patterns.”

“What we do know,” she said, continuing, “is that Canadian producers have demonstrated they are innovative and resilient and will find the best ways to mitigate the impact of tariffs and realign themselves to thrive in a dynamic global market.

“CAPP and our members will need to take the necessary time to better understand how these tariffs will be applied and their impact to oil and natural gas trade for Canada before commenting further.”

The Pathways Alliance, a consortium of oil sands producers, also issued a statement Saturday describing the move by President Trump as “disappointing.”

“Long-standing trade across all sectors has made both our countries stronger. We hope these tariffs can be quickly reversed to restore a healthy trade relationship,” said Pathways president Kendall Dilling.

“The lower tariff on energy reflects the importance of the energy relationship between Canada and the United States. However, the 10 per cent tariff will still raise costs for gasoline, aviation fuel and other energy sources used in the United States and significantly hurt Canada’s economy.”

Pathways added that in 2023, its member companies bought more than $3.5 billion in goods and services from provinces outside of Alberta.

Calgary Economic Development statement:

Brad Parry, the president and CEO of Calgary Economic Development also issued a statement Saturday evening.

“Calgary always has been and always will be the energy capital of Canada. Energy is the foundation of the Canada-U.S. trade relationship and a tariff on Canadian oil — while lighter than initially proposed — is a direct hit to both the Canadian and U.S. economies. These tariffs will drive up costs for American consumers and threaten investment and jobs in Calgary and across Alberta.

“These sweeping tariffs will disrupt supply chains, increase business costs and inject instability into our economy. Alberta’s manufacturing, agriculture and export-driven industries — already navigating economic headwinds — will face further uncertainty, making it harder for companies to compete and grow. Small businesses, which make up almost 95 per cent of Calgary’s business environment, would be particularly vulnerable.

“Calgary Economic Development will continue to work with industry, policymakers and trade partners to mitigate the impact of tariffs and strengthen investment in high-growth sectors. At the same time, we will double down on efforts to diversify our international markets while increasing interprovincial trade to strengthen our economic resilience against protectionist policies.”

The editorial board of The Wall Street Journal posted an opinion piece on the economic dispute early Saturday evening, with the headline “The Dumbest Trade War in History.”