NewsBusinessCanada’s Trade Crossroads: Stephen Harper Lays Out a Survival Strategy

Canada’s Trade Crossroads: Stephen Harper Lays Out a Survival Strategy

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The former prime minister says Canada must stop thinking of itself as small and think bigger on trade.

The reason? Trade tensions with the United States have escalated, leaving Canada’s agricultural sector — one of the nation’s economic powerhouses — on edge. At the Canadian Crops Convention in Edmonton earlier this week, former prime minister Stephen Harper spoke about how Canada can best find its way through the new trade reality it finds itself in.

Harper didn’t mince words. “The imposition of these across-the-board tariffs was one of the darkest days for Canada,” he says, referencing recent actions by the U.S. government. “But we need to remain calm and optimistic.”

According to Harper, three key points should guide Canada’s response. First, he notes, no significant segment of the American public is demanding sweeping trade actions against Canada. Unlike Mexico and China — frequent targets of U.S. trade disputes — Canada isn’t the source of major public outrage. This means the current turmoil is largely driven by the personal agenda of the U.S. president, rather than broad-based economic pressures.

Second, these trade moves are as damaging to the U.S. as they are to Canada. “Americans will feel this immediately,” Harper says. “Rising costs, market instability — there’s only so much uncertainty markets can take before it affects investment decisions.”

Third, Harper points out that Trump’s approach to trade is ideological. “He believes that any economic activity Americans pay for should happen in the United States,” Harper says. “But that’s not how global trade works.”

The Need for a Strategic Plan

While advocating for calm, Harper also emphasizes the necessity of a clear, proactive strategy. “We can’t dismiss these actions or the reasons behind them,” he says. Canada must push back but do so strategically — protecting its interests while maintaining a willingness to negotiate.

Harper also raised concerns about the political landscape at home. “Let’s be clear: our government in Ottawa wants this fight,” he says, implying that a trade battle with Trump could serve as a political rallying point. “This is not the best course.”

For those who think Canada has never faced such challenges before, Harper offered a history lesson. In 1866, the U.S. canceled its free trade agreement with Canada while floating annexation plans. The response? British North American colonies banded together, forming what would become modern-day Canada. “We’ve been through this before, and we survived,” Harper says.

Canada’s Role in a Shifting World Order

Trade isn’t the only geopolitical shift at play. From Russia’s war on Ukraine to China’s growing global influence, Canada must redefine its place in the world.

“The past couple of decades have seen China, Iran, and Russia work together to overturn the U.S.-led international order,” Harper says. While Canada has long relied on its close relationship with the U.S., changing global dynamics require a fresh approach.

Harper’s message was clear: Canada must stay resilient, strategic, and globally minded. The trade tensions with the U.S. are serious, but they’re not insurmountable. History has shown that Canada can adapt — and thrive — in uncertain times. The key is to act with foresight, not just reaction.

“We have a bit of a complex living beside the most powerful nation in history — we think we’re small. But Canada is not small. We’re the 10th largest economy in the world,” he says.

“When I was prime minister, 95 per cent of the leaders I met were from smaller countries, and over 80 per cent of them led much smaller nations. We are fully capable of being a genuinely independent, globally competitive economy. So let’s do it.”

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