Facing mounting pressure from within his own Liberal Party and growing criticism over his economic policies, Canadian Prime Minister Justin Trudeau announced his resignation on Monday. He will remain in office until the party chooses a new leader through a "robust nationwide competitive process." Trudeau emphasized his dedication to Canada and his desire to serve its best interests, stating that internal struggles prevented him from effectively leading the Liberals into the next election.
Trudeau's nearly decade-long leadership has been marked by declining approval ratings in recent months. Public frustration over the rising cost of living and inflation contributed to this decline. While no formal mechanism existed for his removal, the looming threat of a no-confidence vote or a protracted battle to retain his position until the October 2025 elections likely influenced his decision.
The calls for Trudeau's resignation intensified following the sudden departure of Finance Minister Chrystia Freeland. Her resignation letter criticized Trudeau's economic strategies and his response to threats from President-elect Donald Trump. Freeland, a key figure in the 2020 U.S.-Mexico-Canada trade agreement, stressed the importance of Canada's response to Trump's tariff threats, stating it would have long-lasting consequences. She expressed disagreement with Trudeau on the best course of action for the nation, highlighting the serious challenges Canada faces.
Freeland's resignation reverberated throughout the Canadian government, with many echoing her call for a strong stance against potential economic adversity. Trudeau subsequently appointed close confidant Dominic LeBlanc as the new finance minister and convened a special caucus meeting. According to LeBlanc, Trudeau acknowledged the concerns raised and pledged to consider them.
Trudeau's resignation allows the Liberal Party to appoint an interim prime minister until the next fall's elections, potentially offering a chance to revitalize support for the party. While the future leadership remains uncertain, LeBlanc is considered a potential frontrunner. President-elect Trump reacted to the news on TRUTHSocial, reiterating his stance on trade deficits and subsidies, suggesting a potential merger between the U.S. and Canada.
