Canada’s Liberal Finance Minister, Chrystia Freeland, abruptly resigned on Monday, citing disagreements with Liberal Prime Minister Justin Trudeau on how to equip the nation for President-elect Donald Trump’s tariff threats.

The Details: Freeland’s decision to quit followed Trudeau's offer to assign her a less significant cabinet position, a decision that she says could compromise Canada's resilience amidst Trump's proposed measures. The resignation ostensibly threatens Trudeau’s standing as Prime Minister, as several Liberal Members of Parliament reportedly want him to step down. Trudeau has appointed cabinet member Dominic LeBlanc as the new Finance Minister.

For Context: In late November, Trump proposed a 25% tariff on Canadian and Mexican imports until the two nations bolster their efforts to prevent the flow of drugs and unauthorized migrants into the U.S. Trudeau will be up for re-election in October 2025, and currently trails the Conservative candidate Pierre Poilievre by 21 points in the polls.

Key Quotes: In a letter to Trudeau, Freeland said she no longer enjoys his “full confidence,” and that in recent weeks the two found themselves “at odds about the best path forward for Canada.” She also warned Trudeau that Canada should take Trump’s threatened tariffs “extremely seriously” and criticized the prime minister for “costly political gimmicks.”

How the Media Covered It: Media across the spectrum highlighted Trudeau’s unpopularity and how Freeland’s resignation threatens his standing as Prime Minister.