As officials in Ottawa, Washington, and Mexico City prepare to renegotiate the Canada-United States-Mexico Agreement (CUSMA), Alberta Premier Danielle Smith highlighted the strategic importance of critical minerals, particularly lithium, for the province's trade future.
New North America Initiative Summit
Smith delivered a keynote address at the New North America Initiative summit, hosted by the University of Calgary's School of Public Policy at the BMO Centre in Calgary. The initiative, launched last year in partnership with the Alberta government, is a $6.5-million think tank focused on the evolving trade relationship among the three North American nations.
Lithium as a Key Asset
During her speech, Smith underscored that free trade has been central to North America's economic success. She described the Canada-U.S. relationship as one of the most successful international partnerships in history, noting that Alberta exported over $150 billion worth of goods to the United States last year. However, she warned that recurring tariffs are harming businesses and workers on both sides of the border, driving up costs for food, fuel, vehicles, housing, and other products.
Smith argued that critical minerals like lithium can play a pivotal role in securing Alberta's trade prosperity and strengthening North American supply chains.
Uncertain Future of CUSMA
The summit comes just two weeks before a July 1 deadline for the three countries to decide whether to extend CUSMA for an additional 16 years. Since returning to the White House in early 2025, U.S. President Donald Trump has been critical of the agreement, despite its ratification during his first term. His protectionist agenda has included tariffs on many Canadian goods, though CUSMA-covered products have so far been exempt.
Trump recently indicated he is indifferent to renewing the deal, which could lead to annual reviews instead of a long-term extension.
Understanding American Perspectives
Martha Hall Findlay, director of the University of Calgary's School of Public Policy, emphasized the need to understand American views on the relationship with Canada. “We are not going to solve what's going to happen next month or even next year, but what we can do is really work hard at understanding — and this is key to this initiative — what Americans think about the relationship with Canada,” she told reporters. “It's only when we can really understand that, that we can engage in new fruitful conversations.”
The two-day summit aims to explore pathways for a healthy future relationship in North America amid ongoing trade tensions.
