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Speaker 1: Bloomberg Audio Studios, podcasts, radio news Now.

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Speaker 2: As markets are brac in Canada is also bracing for

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Speaker 2: higher tariffs and immediate challenge for Mark Carney, the former

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Speaker 2: governor of the Bank of Canada and Bank of England,

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Speaker 2: who is set to take over as the country's prime

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Speaker 2: minister after winning the race to succeed Justin Trudeau. During

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Speaker 2: his victory speech yesterday, Carney had this sharp message for

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Speaker 2: President Trump on trade.

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Speaker 3: The Canadian government has rightly retaliated and is rightly retaliating

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Speaker 3: with our own tariffs that will have maximum impact in

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Speaker 3: the United States and minimum impact here in Canada. And

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Speaker 3: my government will keep our tariffs on until the Americans

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Speaker 3: show us respect.

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Speaker 2: And we did see further retaliation today with Ontario Premier

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Speaker 2: Doug Ford ordering a twenty five percent surcharge on electricity

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Speaker 2: exports to three US states, and Premiere Ford is joining

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Speaker 2: us now for more here on Bloomberg TV and Radio.

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Speaker 2: Premier Ford, thank you for your time. You have suggested

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Speaker 2: that this surcharge could be hiked, or potentially that electricity

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Speaker 2: exports to the US could be cut off entirely if

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Speaker 2: there is escalation from this administration. What escalation would precipitate

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Speaker 2: that response from you.

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Speaker 1: Well, first of all, thanks so much for having me

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Speaker 1: on Kiley and Joe. I appreciate the opportunity. I start

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Speaker 1: off with every interview saying we love Americans, we love

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Speaker 1: the US, Canadians love Americans. I do spent twenty years

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Speaker 1: of my life in Chicago and New Jersey and saying this.

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Speaker 1: This is one person. It's not the American people. It's

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Speaker 1: not even Republicans that I've talked to governors or senators

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Speaker 1: or congress women and men. As one person. That's President

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Speaker 1: Trump has created this chaos, not just here in Canada

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Speaker 1: and US and Mexico, but around the world right now.

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Speaker 1: You know, he ran on a mandate to lower inflation,

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Speaker 1: create more jobs, and it's done the total opposite. Inflation's

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Speaker 1: going up. Assembly plants will close. If he continues on

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Speaker 1: with these tariffs in the auto sector, people will lose

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Speaker 1: their jobs, Manufacturing will go down, and people will have

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Speaker 1: less money in their pockets. I believe in the name

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Speaker 1: can Fortress. Let's create American Canadian Fortress and have the strongest, wealthiest,

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Speaker 1: most prosperous two countries in the entire world. That's what

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Speaker 1: I believe in.

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Speaker 4: Have you talked about your own retaliation with incoming Prime

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Speaker 4: Minister Karney. Are you both on the same page on this.

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Speaker 1: I just got off the phone with him a minute ago,

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Speaker 1: and Prime Minister Elect Carney extremely break the individual when

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Speaker 1: it comes to finances and other areas of business. I'm

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Speaker 1: going to be sitting down with them this week and

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Speaker 1: having a conversation. But he's right in line with what

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Speaker 1: I believe in across the country. Patriotsm is running wild

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Speaker 1: like I've never seen before. And again it's not against

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Speaker 1: the American people. It's one person I called the self

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Speaker 1: inflicted potential recession. There's one person that will put us

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Speaker 1: in a recession, and that's President Trump.

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Speaker 2: So you've spoken with the incoming Prime Minister. Have you

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Speaker 2: had a chance to speak with the President or anyone

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Speaker 2: in this administration since putting into place this surcharge today?

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Speaker 1: No, I haven't. I spoke to Secretary Lutnik, another great

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Speaker 1: individual when it comes to finances, and I agree or

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Speaker 1: disagree with President Trump, he's an extremely bright business person.

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Speaker 1: If they can't see this, when the market speaks, I

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Speaker 1: always say, when the market speaks, you have to listen.

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Speaker 1: The market is speaking. CEOs are speaking people are speaking out.

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Speaker 1: Why is he doing this to his largest customer in

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Speaker 1: the world, Canada. No one buys more products off the

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Speaker 1: US than Canada does, including autos four hundred percent more

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Speaker 1: than Mexico, two hundred percent more than anywhere in the world.

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Speaker 1: And we buy as many cars as we ship down there,

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Speaker 1: and the one ship down there are fifty percent American

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Speaker 1: made parts. You can't I always say that you can't

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Speaker 1: unscramble an egg that's been around since the nineteen sixties,

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Speaker 1: the auto pack. We have to make a larger almland.

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Speaker 1: That's what we need to do.

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Speaker 4: Well, your export tariffing electricity here, you've called for possibly

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Speaker 4: export tariffing crude. I wonder what is your message to

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Speaker 4: Premier Smith of Alberta, who's staunchly opposed to that idea.

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Speaker 1: Well, that's strictly up the Premier Smith. I have no

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Speaker 1: jurisdiction in Alberta. That will be up to Premier Smith.

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Speaker 1: But Americans have to remember President Trump said, I should

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Speaker 1: say President Trump should remember that Alberta ship's four point

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Speaker 1: three million barrels a day down to the US. And

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Speaker 1: there's nothing more than I'd want to do is send

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Speaker 1: more energy, more critical minerals rather than raised tariffs. I

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Speaker 1: don't believe in protectionism. With your two closest friends and

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Speaker 1: allies in the entire world. As we're going back and

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Speaker 1: forth at each other, China's ramping up every single day

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Speaker 1: in the critical minerals, and they've cut the US off

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Speaker 1: for critical minerals for their military. We have it. Ontario

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Speaker 1: is more critical minerals than anywhere in the world. And

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Speaker 1: who do I want to give it to. I want

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Speaker 1: to give it to our closest friends and allies, the US.

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Speaker 2: Well, when we're considering what commodities Ontario does have, you've

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Speaker 2: threatened to cut off the supply of nickel from mines

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Speaker 2: in Ontario. Is that a real threat? And again, what

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Speaker 2: would make you act on that? What action from the

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Speaker 2: Trump administration would see that response?

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Speaker 1: Well, fifty percent of the high grade nickel, and I

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Speaker 1: emphasize high grade nickel in the US their military and

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Speaker 1: aerospace and manufacturing comes from Ontario. Again, Kaylee, I want

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Speaker 1: to send more nickel, more high grade nickel, more lithium,

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Speaker 1: more cobalt. We have thirty three of the most critical

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Speaker 1: minerals that the whole world wants. I don't want to

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Speaker 1: give them to anyone. I want to give them to

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Speaker 1: our closest friend and allies. That's what I want to do.

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Speaker 1: I want to create that damncan fortress.

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Speaker 4: This is interesting, and I wonder, Premiere, what your thoughts

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Speaker 4: are about President Trump's motivations. What's his obsession? If I

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Speaker 4: can use that word with Canada. Clearly we've established that

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Speaker 4: much more fentanyl, by many thousands of pounds a years

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Speaker 4: going through Mexico. Have you heard that message from this

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Speaker 4: White House? What it is that Canada could do to

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Speaker 4: bring these tariffs down?

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Speaker 1: Well, your guess is as good as mine, Joe, because

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Speaker 1: when the President said tighten up the border, we acted

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Speaker 1: immediately to tighten up the border. I had the DEA

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Speaker 1: in my office at the US Border Patrol and Canadian

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Speaker 1: Border Patrol, federal and state police, and we're doing that.

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Speaker 1: We put over ten thousand personnel along our border. But

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Speaker 1: it works both ways. You know, I hate drugs. I

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Speaker 1: can't stand one graham of fentanyl coming in, But where's

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Speaker 1: the precursors coming from? From China? They gave me a report,

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Speaker 1: our provincial police equal to our state police, that hundreds

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Speaker 1: of kilos of cocaine are coming from the southern border

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Speaker 1: that we're caught in the last couple of weeks, illegal guns, illegals, opioids, fentanyl, everything.

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Speaker 1: We have a shared border, and I know our Canadian

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Speaker 1: and American border patrol folks work together, our police work together.

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Speaker 1: So we're going to do everything we can to stop

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Speaker 1: the flow of drugs and illegals and guns coming back

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Speaker 1: and forth across the border. But it has dropped drastically

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Speaker 1: here in Canada.

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Speaker 2: Well, President Trump contends, it's not just an issue with

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Speaker 2: what's flowing over the border. This is also about making

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Speaker 2: sure trade between the US and Canada is more fair.

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Speaker 2: Hence the threat of reciprocal tariffs against things like lumber

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Speaker 2: and dairy premiers. Should Canada consider lowering rates charge there

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Speaker 2: so that it doesn't require a reciprocal tariff?

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Speaker 1: Well, Kaylee, I'll tell you the facts. You take the

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Speaker 1: oil off the balance sheet because the US needs it.

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Speaker 1: The US has a fifty six billion dollars surplus on

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Speaker 1: manufacturing and services with Canada, so they have a surplus

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Speaker 1: of fifty six billion. I have no problem with that.

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Speaker 1: That's fine. Let's grow the pie, as I say, grow

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Speaker 1: the ame one, make it larger. As you know, as

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Speaker 1: our foes be it China is declaring an economic war.

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Speaker 1: They've been doing that, by the way, quietly for the

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Speaker 1: last ten years, while everyone's been sleeping, and they're sitting

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Speaker 1: back laughing at the two greatest allies, you know, duking

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Speaker 1: it up, back and forth.

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Speaker 3: Up.

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Speaker 1: Let's unite. We're stronger together united. We stand, divided, we fall.

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Speaker 1: We need to stand united together.

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Speaker 4: Thanks for joining us, Dougford Ontario's premiere. Great to have

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Speaker 4: you with us on Balance of Power. We should also

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Speaker 4: note that Mark Harney is the former chair of Bloomberg's

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Speaker 4: Board of directors.