What's Next for U.S.-Canada Relations? Ben Shapiro & Premier Danielle Smith Discuss | PragerU

PragerU
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586 Video Views·May 12, 2025
Elections in Canada recently ended, and U.S.-Canada economic relations are going through a period of transition. Ben Shapiro sits down with Alberta Premier Danielle Smith at the 2025 PragerU East Coast Gala for an in-depth conversation on the shifting political and economic landscape between the United States and Canada.
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Well, it's a pleasure to be here with all of you and with the premier and I have
to say it's rare that I go to one of these dinners and leave poorer than when
I started. But that's actually a thing that happened tonight which is how much
I care about PragerU and why I'm so grateful to all of you for being here
and supporting PragerU which is an incredible organization. So we'll get to
the terraflora in a little bit and I know that the premier has taken some
flack in her hometown and in all the hometown papers for even being on the
stage with such as me because I made the unfortunate the unfortunate error of
making a joke about our soon-to-be 51st state and this apparently did not go
over amazingly well in Canada and I just want to assure the premier just from the
get-go I am NOT interested in Dudley Do-Right. I have no I feel no necessity
to actually seize the great land of Canada and take it for the United States.
Frankly there are too many Canadians in it and Canada is in fact an excellent
ally to the United States. We'll get into that in a little while. I want to
start and if I may I mean I come in peace I am here to make peace with your
people and I have when any when anyone asked me the question about the 51st
state I and this room will appreciate that you know that Canada tends to be a
little bit more progressive that would be like adding another California to
your electoral system and you would never have a Republican president in the
White House again so I would just caution you that it's probably best for
us to just stay friends and friends should never move in together but we can
still be very very good friends. Absolutely Greenland is still on the
table yes on Greenland maybe Cuba right but yeah I don't I don't think we need I
don't think we need Canada they can't even spell color anyway so let's talk
about the situation in Canada politically so obviously when we in the
United States look up to our northern neighbors America's hat when when we
look up to our northern neighbors one of the things that we see is an enormous
amount of radical leftism but we are seeing in recent years a backlash to
that maybe want to talk about particularly on the social side what
kind of radicalism you're seeing from the Trudeau now the Carney government
and and how exactly Canadians are responding to that. Yeah I can tell you
part of the reason we no longer have Prime Minister Justin Trudeau is is
because he went too far on on so many issues he did yeah we're glad that he's
gone too but one of the things that he went so far on was not realizing that
punitive carbon taxes were going to create a major inflation crisis a major
affordability crisis which caused interest rates to go up which caused
young families not to be able to buy a house and as a result that started
seeing you could almost see it that as people had their mortgages renewed then
and faced those higher mortgage payments the liberal level of support
kept going down I actually have there's a young economist who actually tracked
that but they were so bent on going in that ideological direction by putting in
the things that I mentioned in that video they have if you can believe it I
mean they've proposed an emissions cap on oil and gas which would cause us it
acts like a production cap it would mean we'd have to shut in production they
wanted us to achieve a net zero power grid by 2030 less five years from now
and in my province not 90% of our power comes from natural gas in I mean since
auto tariffs are very much in the news there's a policy that we have to start
buying 20% of our vehicles as net zero vehicles by January 1st of 2026 these
are the kind of policies that are completely unachievable people realized
it and they ended up giving Justin Trudeau the boost now we're in the
middle of an election but that wasn't the only one my province is as you may
know it is does not believe in safe supply of drugs we don't think there's
such a thing as safe supply of fentanyl and crystal meth and heroin so we've
seen this all down the west coast not just British Columbia but all the way
through down to California just the absolute devastation that has been wrought
by policies like that so we've taken a bit of a different turn public safety is
really important yes and and the public is turned in in that direction as well
and we're the only province that has come through with with policies to
protect kids from making choices about their gender before they're old enough
to understand the consequences of it you've probably yeah so we we wanted to
make sure that teachers couldn't get in the way of kids and their parents
parents have to be informed about what's going on with their kids if they
want to change their pronouns we won't allow for kids for young people to get
hormone blockers or surgeries when they're minors and we're going to allow
for for women and girls to participate in biological female only sports as well
so those are some of the things that we've done thank you and I think those
are the same policies that you've seen and the same issues that you've seen
cause just severely normal people to say enough is enough that's that's been
happening in Canada as well most mostly in Alberta but it has been spreading
elsewhere so are you seeing the trend of conservatism in upswing in in Canada
overall I mean I first met Jordan Peterson who now works with us at Daily
Wire among other places Peterson Academy is also a great organization and enjoy I
first met Jordan actually up in Canada an event in Canada when he was
protesting Ontario's bill c-16 which which was of course a measure that was
essentially designed to make it illegal to speak out against many of the things
that you're talking about and it's been a long time in the wilderness for
conservatives in Canada do you feel that the things are beginning to change at a
serious level there well I certainly felt that way about four months ago
because really when I was when I was down before we were talking about the
potential for a total white boat of the Liberal Party that's how unpopular they
had become that's why they booted their leader out and needed to choose a new
one kind of like what you saw with the Democrats as well they knew that Biden
no possible way that he was going to be able to beat your president and when
you do a quick switcheroo on a brand new face sometimes it gives you a little bit
of a surge that's the point that we're in in Canada right now is that they did
a switcheroo on the leader he is getting a bit of a surge and our election is
going to be April the 28th but that's the the question is there going to be
enough time for some of those conservative ideas and some of that some
of that to to to come back that that's what we're watching over this the course
of the next month or so what it feels like from the outside to get to the sort
of the elephant in the room which is of course the tariff war is that the
conservatives were absolutely set to dominate in this election Pierre
Poliav was was set to win almost an outright majority I believe in in the
Canadian Parliament and just blow out the Liberal Party and then President
Trump decided that he wanted to put tariffs on Canada and this has led to
you know a massive upsurge in support for the Liberals who are portraying Pierre
Poliav who's the leader of the Conservative Party as an ally of those
tariffs even though he is actually an opponent of those tariffs that analysis
correct? I think that and thank you because although everybody wanted me to
cancel my event with you this evening in my hometown you have been one of the
consistent voices saying why Canada why are we having a tariff war with Canada
I think you can understand why you might have some frustration with China maybe
some frustration with Venezuela I think you can get that but Canada we kind of
look at ourselves as your best friend and and neighbor and I think what you're
seeing is some hurt feelings I think we don't understand why it is that this
relationship is having the tension that it is right now so I what I would hope
and this is why I like to come to the US is to say that I know that there I was
talking to some of my table mates about the the level of tariffs that we charge
on some of our commodities like dairy and eggs and chicken I think it gives
the impression that we have these massive amounts of tariffs on all
American goods and we simply don't we've got one of the largest terror free
relationships in the entire world we have about a trillion dollars worth of
products that go across borders and the only reason why we have a trade deficit
at all is because you buy so much oil and gas from our country and so if we
could get I think that understanding I feel like the Americans have a lot
bigger fish to fry I think it would be much better for us to go back to the
same kind of relationship that we had before whether it's on oil and gas
whether it's on food that goes cross-border whether it's on our auto
parts which is such a great integrated industry those are the things that we're
trying to resolve right now and I'm really hopeful we can have a
breakthrough because I I think that we would be so much stronger in supporting
each other on the Americans aspiration of energy dominance on making sure that
it's kind of a North American stronghold that we can support each other on
international security I would really hope that if we can get to that faster
than I think it might end up stabilizing a relationship I mean just on a factual
level the overall tariff rate that Canada charges on American goods is well
below 2% and that was under a deal that was actually negotiated by President
Trump the USMCA which was a change to NAFTA I've said before with regard to
tariffs that there are excellent reasons to put tariffs tariffs can be
used for a couple of reasons that can be good one is for national security
purposes you've seen President Trump do this with regard to very important
products ranging from medical appliances to military hardware and an attempt to
protect industries that are vital to that that's a good reason for tariffs
you have to protect certain industries there another good reason for tariffs
would be to presumably get other people to ratchet down their tariffs so
President Trump were to deliver a sort of deal to Canada saying bring down your
tariffs on lumber bring down your tariffs on eggs bring down those tariffs
and then we will lower our tariffs as well I think that would be justifiable
as well because the end goal obviously is to get to a lower tariff rate that
allows for more trade cheaper products for the American people and also a
bigger export market for America because obviously Canada has retaliated against
the United States by raising its own tariffs and I think one of the side
effects here that that needs to be noted is that if the United States Canada
trade relationship were to go sideways it's very likely and Mark Carney is
actively attempting to do this that that Canada would really exacerbate its own
trade relationship with China so China would really start to make inroads in
Canada as opposed to the United States I'm very hopeful that President Trump
knows all of that and that this is again a sort of Trumpian gambit we've seen him
do this a few times in which he lays out a sort of very harsh regime of tariffs
with a specific goal in mind once that goal is reached he then removes the
tariffs because he's actually achieved the goal he saw this most recently when
he did this with the the country of Colombia not the University which he's
also sanctioning but but the the country of Colombia where he threatened massive
tariffs unless they were to actually accept illegal immigrants who we were
deporting from the United States I'm very hopeful that that is the thing that
President Trump is seeking is is an actual answer that will allow both
countries to go back to status quo ante but better well and I hope so and I what
we have found has been successful is that when when people like you and other
influencers who have the ear of the of the president are able to make those
exact arguments because one thing that I'm struck by is when I was when I was
down here doing some lobbying a few months ago to try to avoid tariffs I saw
a page from The Economist from from recently they sometimes do these
graphics that show you what did the world look like in 2001 and what does
the world look like today and back in 2001 they did this world graphic where
all the countries were in blue that had their dominant trade relationship with
the United States and all the countries were in red that had their dominant
trade relationship with time China and in 2001 the map was almost all blue by
2021 it was almost all red with the exception of Canada and Mexico and so
Canada and Mexico have remained steadfast and strong as friends and
allies of the United States but you're very right what what has happened and
I'll give maybe just a little bit of history because I know that the
president likes President McKinley and when you go back and look what McKinley
did on tariffs back in the 1890s he was he was worried about defending the tin
plate industry I guess at the time but even back then I think he knew that you
shouldn't tax raw materials and intermediate goods because raw
materials and intermediate goods go into making finished products you get the
value added and all the jobs and the value that go along with that but but
what occurred is that the reaction in Canada to the tariff war was to say fine
we're gonna change our trade relationship with Britain and sure
enough the amount of trade that we ended up doing with Britain ended up
skyrocketing and I believe that the the Republicans lost the subsequent midterms
after that had occurred because of the backlash that happened in the American
economy at the time on the businesses and on the consumers who were impacted
by those so I would just put that out as a caution I mean we've already seen
it that when you see this kind of tariff war take place when we put tariffs on
your goods it hurts our people when the when your president puts tariffs on you
it hurts your businesses and your consumers and you see the impact on the
stock market you see the impact on businesses changing their investment
decisions you see the impact on consumers and it's just unnecessary it
just be much better if we could figure out what are the limited issues that are
causing irritants but and then recognize that we just do so much better as as as
two separate nations having a strong trade relationship. One of those issues
that the president has cited in in doing the tariffs has been the lax border
security at the northern border and and the reality is that Canada's immigration
regime under Justin Trudeau has been quite terrible it really has and I
wanted to ask you about that you know what what is Canada's viewpoint with
regard to immigration because this is a massive issue for the entire West it was
ignored by I would say much of what people would would correctly term the
globalist elite and I think that term is very often misused but when it comes to
the idea that there ought to be no borders and that everyone has a right to
be in the West that is a perfectly well used term there is an elite that
basically says there should be no borders people should be allowed to
cross whatever borders they wish and simply and simply live there that's been
taken up it was taken up by the Biden administration it was taken up by Trudeau
what do you make of that and what's the current status in Canada well I can tell
you it's there's always a difference of scale I mean what you're dealing with on
your southern border is as I understood it up to 3,000 people per day coming
across at some points is significantly more is up to 10,000 people sometimes so
so you're talking about a problem in the millions so I can tell you what happened
in the last couple of years is that Canada made the decision to end the visa
requirement that we had from Mexican arrivals in Canada and so what would
happen and you've seen it as well is it's not just farm workers who are
coming up wanting to work the fields right it's everybody has realized that
with the human smugglers that they can just get to Mexico and either be
smuggled across the southern border or hop in a plane and then come to Canada
and then get smuggled across the northern border that's the danger that
you're facing and so what we saw is that we went from having about 4,000 people
declaring amnesty when they arrived at our airports mostly Toronto Montreal
because that's where our direct flights were from and it went up to as high as
40,000 last year so that that's I can see why that's a concern that's like a
tenfold increase but most of those folks are still staying in Canada there was a
difference of folks coming across the border of about 2,000 when the president
was in his first term it went up to 20,000 this time so yes you're seeing
the trend going in the wrong direction but it's also an easy problem to fix
because it's very difficult to get to Canada you can't very easily get into a
boat and come on to our shore you can't very easily if you're crossing you're
already crossing from America because you're in the way the only other way is
to get in by flight and so we solved that problem we put the requirement back
on for a visa and we also made sure that people who were coming had a return
flight and the number of people coming in through our ports has gone down
dramatically what I have seen is that what because Alberta it's also pretty
hard to get from Alberta to a major population center because you have to
travel vast vast miles to get to a population center and so we don't have
many people coming across the border from Alberta into the United States some
of the problems may be in in Quebec and Ontario but I would say that we took the
problem seriously in Alberta we hired a specialized teams of sheriffs with
sniffer dogs commercial vehicle inspection dogs all-weather drones you
need those in in Canada to have all-weather drones and also Blackhawk
helicopters and we made sure that we had that presence at the border and so
the provinces have done our part to take that seriously we also want to solve
that problem we also want to solve the problem of drug trafficking and it goes
both ways I mean yes there's an issue of fentanyl we're all facing that problem
but we also have crystal meth and cocaine that are coming up from the
United States as well so it's far better for us to realize this is a joint
problem that we have of cartels operating all across North America share
our intelligence share our resources and then let's be able to stamp it out
we we don't want to say we want to have zero fentanyl also we don't want a
single other person dying of a fentanyl overdose in our country or in yours
again I think that the one of the important points here is that if you
rewind the tape just a few months there was a massive conservative movement that
was happening in Canada and it can be again and I think the obstacles to that
need to be removed because it'd be better for the United States to have
actual solid allies running Canada than to have some of the schmucks who've been
running Canada over the past few years that's true in Canada it's true in
Europe it's true in a wide variety of places so let's work together to get
those obstacles out of the way so we can get to a better governed Canada that
actually acts as a more solid American ally I think that the the president
recognizes especially the importance of oil and gas because we've already seen a
couple of things that when the initial 25% tariffs were to come in he made an
adjustment for energy resources and that if you look at the energy emergency
declaration executive order that he signed that isn't just oil and gas it's
also electricity as well as critical minerals and and so I can tell you the
the Canadian story on that it is we my province as I mentioned we're just above
Montana for those of you from who don't know the geography of Alberta of Canada
as well but our province we own the resources I know it's a little bit
different in the US in the US your Bureau of Land Management owns most of
the land in Canada's the reverse is the subnational government that owns most of
the land and resources and so we've got 1.8 trillion barrels of oil of which
165 billion are recoverable we've got 1.36 quadrillion cubic feet of gas of
which 146 trillion are recoverable at today's technology we already ship about
4.3 million barrels a day of oil to the United States most of it coming from my
my province yeah we're very good we'd love to double it we'd love to sell you
twice as much but your refineries are tools specifically to receive our brand
of heavy oil and if you don't get it number one some of the refineries rely
a hundred percent on that oil if you don't get it from us it means that they
could be shut down if you want to replace it there aren't very many good
replacements you've got Venezuela as an option and you ran as an option for that
heavy oil we think that we're going to be a better partner for you than either
of those two countries but it's a similar story on anything else that you
that you want to name we have in Canada all of the critical minerals that are
needed my neighboring province of Saskatchewan they supply 20% of the
world's supply of uranium your other options to get uranium are from Russia
or Kazakhstan the Chinese said that there are three different types of
critical minerals they no longer want to sell to America germanium you can get
that in British Columbia antimony you can get that in Ontario and there's a
there's another product gallium that you can get from from Quebec your your
aluminum I know that the president wants to start an aluminum industry but you
don't have one right now you get 60% of your aluminum from from Quebec and so
the worry that I have is that I know the American aspiration is to make sure that
China does not win this war on critical minerals on on AI but you need a partner
to be able to help provide all of those critical minerals and we're right
here and we want to do business and we would like to trade and it would be far
better for us to move to that point of how can we work together to achieve that
end as opposed to watching for months maybe years as a tariff war continues on
and and that's what I worry about is that there's a perfect opportunity right
now for Canada and the US to work together on energy dominance on national
security on winning the AI data war on crowding out China crowding out around
crowding out Russia and and being able to work together on that but if it does
get delayed you know how terms go they can they can switch really quickly at
midterms they can be over very quickly we might lose the window to be able to
do all of that and I think that would be a real shame if that happened yeah I
think that along some of those lines one of the things that you were
mentioning to me before when we were discussing offline was was about the
current Prime Minister Mark Carney and and the idea there is that he actually
is a particularly bad negotiating partner because he actually is
incentivized for this to continue he actually would like to see it continue
because number one it's giving him political ballast or at least the
political win in his sales and two he is perfectly fine with doing deals with
places like China and so even if you are interested in getting a better deal out
of Canada what you want is a better partner in Canada to make those deals
with yeah it's true I mean there there is an ideology as you know of those who
believe that we have to get to net zero as quickly as possible the Mark Carney
has been behind the net zero banking move so he has been going around signing
up banks to defund any fossil fuel intensive industry and so that you can
imagine my province which is very energy intensive and and what that would mean
for us if if that if that same ideology was applied because it's what we've had
to experience for the last ten years so when you look at where the world is
going now I think most of the world now understands the absolute danger that
happens if you do not have reliable and affordable energy I think that is
finally what we've all realized with the Russian invasion of Ukraine with the
turmoil in the Middle East with the acceleration of energy prices with the
instability of power grids we all now realize that you can't run the world on
solar and wind and batteries and so now is the time really for us to see a
switch I think America has been the first to make that switch everybody else
is coming on a little bit more slowly but if you want human flourishment if
you want to be able to do well for your people you have to have affordable
reliable energy and when you look at the the global scene you've got five billion
people on the planet who want to have the same quality of life as we do and so
we have to solve the issue of energy poverty if we're also going to solve the
issue of global poverty so the world is dividing into two camps I think on that
and I would rather be on the side of human flourishment I'd rather be on the
side of helping to support that kind of aspiration I'd like to be on the side of
that of that sort of growth but I don't think America could do it alone I think
that America needs to have strategic partners and valued partners and I think
I think Canada and Mexico together can be valued partners for America in being
able to achieve those those broader aspirations well premier I'm very glad
that you made the trek down from the frozen north into a significantly better
country and well again I will admit that that you know our aspirations to engulf
your country and reverse the results of the Battle of Montreal may go by the way
side I think that you know a solid alliance between the United States and
better partners in Canada is something that we can all look forward to really
appreciate your time lately and we promise not to burn down your White
House ever again
