Politics
How Trump's tariff threats may help unseat Canada’s Justin Trudeau
When he came to power in 2015, Canadian Prime Minister Justin Trudeau was hailed as a progressive icon, a charismatic leftist with movie star good looks who promised to reform elections, tackle climate change and legalize marijuana. He quickly became one of the world’s best-known political figures, known for agenda-setting liberal policies — and for taking selfies with enraptured fans.
“He was seen as this Canadian rock star,” said Duane Bratt, a political scientist at Mount Royal University in Calgary.
Former U.S. President Barack Obama and Canada Prime Minister Justin Trudeau walk together in Ottawa in 2016.
(Paul Chiasson/AP)
Nine years later, Trudeau is deeply unpopular at home and fighting for his job amid growing calls that he step down.
Voters blame Trudeau for Canada’s sluggish economy, housing crisis and near-record levels of immigration. For months now, polls have shown that it is highly unlikely that he could lead his Liberal Party to victory in the next election, which is due by Oct. 20 of next year.
The election of Donald Trump last month has made things worse for Trudeau.
Conservatives and even members of his own Liberal Party insist he isn’t doing enough to counter Trump, who has threatened to levy heavy tariffs on imports from Canada, and who has trolled Trudeau in recent weeks by repeatedly describing him as “governor” of a 51st American state.
This week, one of Trudeau’s staunchest allies, Finance Minister Chrystia Freeland, abruptly resigned over her disagreement with Trudeau’s approach to Trump.
In a sharply worded letter announcing her departure, Freeland accused Trudeau of embracing “costly political gimmicks” instead of directly confronting the U.S. leader and of putting his own interests ahead of the best interests of Canadians.
Freeland’s resignation, part of a recent exodus of Cabinet members, has thrown Trudeau’s government into disarray and prompted fresh demands from members of his caucus and other allied parties that he step down.
At the same time, Canada’s three opposition parties are demanding that Trudeau call new elections.
“Everything is spiraling out of control,” Pierre Poilievre, leader of the Conservative Party, said Monday. “We simply cannot go on like this.”
The crisis facing Trudeau highlights the geopolitical havoc that Trump has wrought since his election, still weeks before his official return to the White House.
And it speaks to the same anti-incumbent headwinds and economic anxieties that helped doom the Democrats in recent U.S. elections.
“Everything that seemed bright and refreshing about Trudeau in 2015 now looks old and tired,” Bratt said.
Trudeau is the eldest son of the late Prime Minister Pierre Trudeau, who led Canada for 15 years beginning in 1968.
The younger Trudeau worked as a teacher before he entered politics. He was just 43 when he toppled the Conservative government of Stephen Harper by mobilizing legions of young voters energized by his promise to bring back social liberalism.
As prime minister, Trudeau legalized marijuana and enacted a national carbon tax that officials say will reduce the country’s emissions by a third by the end of this decade. He also became a prominent liberal counterweight to Trump, who was first elected in 2016.
Former U.S. President Donald Trump and Canadian Prime Minister Justin Trudeau talk before a NATO meeting in England in 2019.
(Frank Augstein / Associated Press)
After Trump banned travel to the U.S. from several Muslim-majority countries in 2017, Trudeau announced that Canada’s doors were open.
“To those fleeing persecution, terror and war, Canadians will welcome you, regardless of your faith,” he wrote on the social media platform now known as X. “Diversity is our strength.”
Trudeau was largely praised for steering the country through a successful renegotiation of the U.S.-Mexico-Canada free trade agreement, a process that Freeland helmed.
But COVID-19 posed a challenge for Trudeau, with the country’s economic recovery more sluggish than that of the United States.
Recently, Trudeau has come under fire for allowing near-record numbers of migrants into Canada during and after the pandemic in an effort to spur economic growth.
An influx of temporary workers, international students and refugees helped push the country’s population from 38 million to 41 million in three years. Critics say it has increased existing competition for housing, healthcare and education.
Trudeau’s approval ratings continued to drop. Then Trump won reelection.
The incoming U.S. leader announced that on his first day in office he planned to levy a 25% tariff on goods from Canada and Mexico unless the countries curbed the flow of undocumented migrants and drugs into the United States.
Though many analysts believe Trump may be using the threat of tariffs as a negotiating tactic before he returns to the White House, the issue has caused deep anxiety in Canada.
It has also prompted a debate about what is the smartest strategy for Canada to deal with the pugnacious American leader: pushing back or taking a more conciliatory approach.
Trudeau appears to have chosen the second option. Last month he flew to Trump’s Mar-a-Lago estate in Florida to dine with the president-elect. Then, in an apparent attempt to appease the incoming U.S. leader, Trudeau’s government announced a plan to beef up security along the U.S. border.
Freeland, on the other hand, has advocated a much tougher approach to Trump, one more in line with the stern response of Mexican President Claudia Sheinbaum.
“A division over how to respond to the U.S. is front and center in the rationale for Freeland leaving,” said Christopher Sands, head of the Canada Institute at the Wilson Center think tank in Washington.
Freeland’s resignation on Monday, when she was scheduled to deliver a key address on the country’s budget, “really shook the government,” Sands said. “I think this may hasten the end of the Trudeau government.”
Analysts say there are several possible outcomes for the current political crisis.
Trudeau could be forced by his own party to step down as leader of the Liberals, who would choose a new leader. Freeland is considered a possible pick. The Liberals would eventually have to call a new election, but their hope would be that a new leader at the top would help reduce their likely losses to the Conservatives, whom polls show with a large lead.
Alternatively, Trudeau could call for an election and lead the Liberals to the polls himself. This is what he says he intends to do.
Or the opposition parties in Parliament could introduce a no-confidence vote, which would trigger new elections. But their attempts to do so have so far failed.
Jonathan Malloy, a professor of political science at Carleton University, said it seems Trudeau’s days are numbered. “There’s a lot of pessimism and people are upset at government,” he said.
And Trump calling Canada the 51st state isn’t helping.
“It’s fair to say that Mr. Trump has a knack for finding people’s weak spots,” Malloy said. “And he struck directly at the main one in Canada, which is that the United States just views it as essentially the 51st state.”
Times staff writer Tracy Wilkinson in the Washington bureau contributed to this report.
new video loaded: Bill Clinton Says He ‘Did Nothing Wrong’ in House Epstein Inquiry
transcript
transcript
Bill Clinton Says He ‘Did Nothing Wrong’ in House Epstein Inquiry
Former President Bill Clinton told members of the House Oversight Committee in a closed-door deposition that he “saw nothing” and had done nothing wrong when he associated with Jeffrey Epstein decades ago.
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“Cause we don’t know when the video will be out. I don’t know when the transcript will be out. We’ve asked that they be out as quickly as possible.” “I don’t like seeing him deposed, but they certainly went after me a lot more than that.” “Republicans have now set a new precedent, which is to bring in presidents and former presidents to testify. So we’re once again going to make that call that we did yesterday. We are now asking and demanding that President Trump officially come in and testify in front of the Oversight Committee.” “Ranking Member Garcia asked President Clinton, quote, ‘Should President Trump be called to answer questions from this committee?’ And President Clinton said, that’s for you to decide. And the president went on to say that the President Trump has never said anything to me to make me think he was involved. “The way Chairman Comer described it, I don’t think is a complete, accurate description of what actually was said. So let’s release the full transcript.”
By Jackeline Luna
February 27, 2026
NEWYou can now listen to Fox News articles!
U.S. Immigration and Customs Enforcement (ICE) accused Everett, Washington, Mayor Cassie Franklin of escalating tensions with federal authorities after she issued a directive limiting immigration enforcement in the city.
Franklin issued a mayoral directive this week establishing citywide protocols for staff, including law enforcement, that restrict federal immigration agents from entering non-public areas of city buildings without a judicial warrant.
“We’ve heard directly from residents who are afraid to leave their houses because of the concerning immigration activity happening locally and across our country. It’s heartbreaking to see the impacts on Everett families and businesses,” Franklin said in a statement.
“With this directive, we are setting clear protocols, protecting access to services and reinforcing our commitment to serving the entire community.”
ICE blasted the directive Friday, writing on X it “escalates tension and directs city law enforcement to intervene with ICE operations at their own discretion,” thereby “putting everyone at greater risk.”
Mayor Cassie Franklin said her new citywide immigration enforcement protocols are intended to protect residents and ensure access to services, while ICE accused her of escalating tensions with federal authorities. (Google Maps)
ICE said Franklin was directing city workers to “impede ICE operations and expose the location of ICE officers and agents.”
“Working AGAINST ICE forces federal teams into the community searching for criminal illegal aliens released from local jails — INCREASING THE FEDERAL PRESENCE,” the agency said. “Working with ICE reduces the federal presence.”
“If Mayor Franklin wanted to protect the people she claims to serve, she’d empower the city police with an ICE 287g partnership — instead she serves criminal illegal aliens,” ICE added.
DHS, WHITE HOUSE MOCK CHICAGO’S LAWSUIT OVER ICE: ‘MIRACULOUSLY REDISCOVERED THE 10TH AMENDMENT’
U.S. Immigration and Customs Enforcement blasted Everett’s mayor after she issued a directive restricting federal agents from accessing non-public areas of city facilities without a warrant. (Victor J. Blue/Bloomberg via Getty Images)
During a city council meeting where she announced the policy, Franklin said “federal immigration enforcement is causing real fear for Everett residents.”
“It’s been heartbreaking to see the racial profiling that’s having an impact on Everett families and businesses,” she said. “We know there are kids staying home from school, people not going to work or people not going about their day, dining out or shopping for essentials.”
The mayor’s directive covers four main areas, including restricting federal immigration agents from accessing non-public areas of city buildings without a warrant, requiring immediate reporting of enforcement activity on city property and mandating clear signage to enforce access limits.
BLOCKING ICE COOPERATION FUELED MINNESOTA UNREST, OFFICIALS WARN AS VIRGINIA REVERSES COURSE
Everett, Wash., Mayor Cassie Franklin said her new directive is aimed at protecting residents amid heightened immigration enforcement activity. (iStock)
It also calls for an internal policy review and staff training, including the creation of an Interdepartmental Response Team and updated immigration enforcement protocols to ensure compliance with state law.
Franklin directed city staff to expand partnerships with community leaders, advocacy groups and regional governments to coordinate responses to immigration enforcement, while promoting immigrant-owned businesses and providing workplace protections and “know your rights” resources.
The mayor also reaffirmed a commitment to “constitutional policing and best practices,” stating that the police department will comply with state law barring participation in civil immigration enforcement. The directive outlines protocols for documenting interactions with federal officials, reviewing records requests and strengthening privacy safeguards and technology audits.
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Everett, Wash., Mayor Cassie Franklin issued a directive limiting federal immigration enforcement in city facilities. (iStock)
“We want everyone in the city of Everett to feel safe calling 911 when they need help and to know that Everett Police will not ask about your immigration status,” Franklin said during the council meeting. ”I also expect our officers to intervene if it’s safe to do so to protect our residents when they witness federal officers using unnecessary force.”
Fox News Digital has reached out to Mayor Franklin’s office and ICE for comment.
Related Article
The morning after Netflix clinched its deal to buy Warner Bros., Paramount Skydance Chairman David Ellison assembled a war room of trusted advisors, including his billionaire father, Larry Ellison.
Furious at Warner Bros. Discovery Chief David Zaslav for ending the auction, the Ellisons and their team began plotting their comeback on that crisp December day.
To rattle Warner Bros. Discovery and its investors, they launched a three-front campaign: a lawsuit, a hostile takeover bid and direct lobbying of the Trump administration and Republicans in Congress.
“There was a master battle plan — and it was extremely disciplined,” said one auction insider who was not authorized to comment publicly.
Netflix stunned the industry late Thursday by pulling out of the bidding, clearing the way for Paramount to claim the company that owns HBO, HBO Max, CNN, TBS, Food Network and the Warner Bros. film and television studios in Burbank. The deal was valued at more than $111 billion.
The streaming giant’s reversal came just hours after co-Chief Executive Ted Sarandos met with Atty Gen. Pam Bondi and a deputy at the White House. It was a cordial session, but the Trump officials told Sarandos that his deal was facing significant hurdles in Washington, according to a person close to the administration who was not authorized to comment publicly.
Even before that meeting, the tide had turned for Paramount in a swell of power, politics and brinkmanship.
“Netflix played their cards well; however, Paramount played their cards perfectly,” said Jonathan Miller, chief executive of Integrated Media Co. “They did exactly what they had to do and when they had to do it — which was at the very last moment.”
Key to victory was Larry Ellison, his $200-billion fortune and his connections to President Trump and congressional Republicans.
Paramount also hired Trump’s former antitrust chief, attorney Makan Delrahim, to quarterback the firm’s legal and regulatory action.
Republicans during a Senate hearing this month piled onto Sarandos with complaints about potential monopolistic practices and “woke” programming.
David Ellison skipped that hearing. This week, however, he attended Trump’s State of the Union address in the Capitol chambers, a guest of Sen. Lindsey Graham (R-S.C.). The two men posed, grinning and giving a thumbs-up, for a photo that was posted to Graham’s X account.
David Ellison, the chairman and chief executive of Paramount Skydance Corp., walks through Statuary Hall to the State of the Union address at the U.S. Capitol on Feb. 24, 2026.
(Anna Moneymaker / Getty Images)
On Friday, Netflix said it had received a $2.8-billion payment — a termination fee Paramount agreed to pay to send Netflix on its way.
Long before David Ellison and his family acquired Paramount and CBS last summer, the 43-year-old tech scion and aircraft pilot already had his sights set on Warner Bros. Discovery.
Paramount’s assets, including MTV, Nickelodeon and the Melrose Avenue movie studio, have been fading. Ellison recognized he needed the more robust company — Warner Bros. Discovery — to achieve his ambitions.
“From the very beginning, our pursuit of Warner Bros. Discovery has been guided by a clear purpose: to honor the legacy of two iconic companies while accelerating our vision of building a next-generation media and entertainment company,” David Ellison said in a Friday statement. “We couldn’t be more excited for what’s ahead.”
Warner’s chief, Zaslav, who had initially opposed the Paramount bid, added: “We look forward to working with Paramount to complete this historic transaction.”
Netflix, in a separate statement, said it was unwilling to go beyond its $82.7-billion proposal that Warner board members accepted Dec. 4.
“We believe we would have been strong stewards of Warner Bros.’ iconic brands, and that our deal would have strengthened the entertainment industry and preserved and created more production jobs,” Sarandos and co-Chief Executive Greg Peters said in a statement.
“But this transaction was always a ‘nice to have’ at the right price, not a ‘must have’ at any price,” the Netflix chiefs said.
Netflix may have miscalculated the Ellison family’s determination when it agreed Feb. 16 to allow Paramount back into the bidding.
The Los Gatos, Calif.-based company already had prevailed in the auction, and had an agreement in hand. Its next step was a shareholder vote.
“They didn’t need to let Paramount back in, but there was a lot of pressure on them to make sure the process wouldn’t be challenged,” Miller said.
In addition, Netflix’s stock had also been pummeled — the company had lost a quarter of its value — since investors learned the company was making a Warner run.
Upon news that Netflix had withdrawn, its shares soared Friday nearly 14% to $96.24.
Netflix Chief Executive Ted Sarandos arrives at the White House on Feb. 26, 2026.
(Andrew Leyden / Getty Images)
Invited back into the auction room, Paramount unveiled a much stronger proposal than the one it submitted in December.
The elder Ellison had pledged to personally guarantee the deal, including $45.7 billion in equity required to close the transaction. And if bankers became worried that Paramount was too leveraged, the tech mogul agreed to put in more money in order to secure the bank financing.
That promise assuaged Warner Bros. Discovery board members who had fretted for weeks that they weren’t sure Ellison would sign on the dotted line, according to two people close to the auction who were not authorized to comment.
Paramount’s pressure campaign had been relentless, first winning over theater owners, who expressed alarm over Netflix’s business model that encourages consumers to watch movies in their homes.
During the last two weeks, Sarandos got dragged into two ugly controversies.
First, famed filmmaker James Cameron endorsed Paramount, saying a Netflix takeover would lead to massive job losses in the entertainment industry, which is already reeling from a production slowdown in Southern California that has disrupted the lives of thousands of film industry workers.
Then, a week ago, Trump took aim at Netflix board member Susan Rice, a former high-level Obama and Biden administration official. In a social media post, Trump called Rice a “no talent … political hack,” and said that Netflix must fire her or “pay the consequences.”
The threat underscored the dicey environment for Netflix.
Additionally, Paramount had sowed doubts about Netflix among lawmakers, regulators, Warner investors and ultimately the Warner board.
Paramount assured Warner board members that it had a clear path to win regulatory approval so the deal would quickly be finalized. In a show of confidence, Delrahim filed to win the Justice Department’s blessing in December — even though Paramount didn’t have a deal.
This month, a deadline for the Justice Department to raise issues with Paramount’s proposed Warner takeover passed without comment from the Trump regulators.
“Analysts believe the deal is likely to close,” TD Cowen analysts said in a Friday report. “While Paramount-WBD does present material antitrust risks (higher pay TV prices, lower pay for TV/movie workers), analysts also see a key pro-competitive effect: improved competition in streaming, with Paramount+ and HBO Max representing a materially stronger counterweight to #1 Netflix.”
Throughout the battle, David Ellison relied on support from his father, attorney Delrahim, and three key board members: Oracle Executive Vice Chair Safra A. Catz; RedBird Capital Partners founder Gerry Cardinale; and Justin Hamill, managing director of tech investment firm Silver Lake.
In the final days, David Ellison led an effort to flip Warner board members who had firmly supported Netflix. With Paramount’s improved offer, several began leaning toward the Paramount deal.
On Tuesday, Warner announced that Paramount’s deal was promising.
On Thursday, Warner’s board determined Paramount’s deal had topped Netflix. That’s when Netflix surrendered.
“Paramount had a fulsome, 360-degree approach,” Miller said. “They approached it financially. … They understood the regulatory environment here and abroad in the EU. And they had a game plan for every aspect.”
On Friday, Paramount shares rose 21% to $13.51.
It was a reversal of fortunes for David Ellison, who appeared on CNBC just three days after that war room meeting in December.
“We put the company in play,” David Ellison told the CNBC anchor that day. “We’re really here to finish what we started.”
Times staff writer Ana Cabellos and Business Editor Richard Verrier contributed to this report.
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