N.L. holding $200M in contingency to soften impact of U.S. tariffs

Newfoundland and Labrador is preparing for U.S. tariffs by holding $200 million in contingency money to soften any potential blows to industry and labour. 

Finance Minister Siobhan Coady said the province has its "elbows up," and there has to be some "flexibility with liquidity for companies who will have some challenges in inventory."

"They may need some assistance in inventory. We may have to help in the fisheries if the bottom goes out of the buying market," Coady said.

United States President Donald Trump imposed 25 per cent tariffs on Canadian goods on Tuesday morning, after a month-long delay from his original threat.

In addition to the $200 million contingency, Coady said the province is considering diversifying its economy and strengthening its trade relationships with other countries, including Japan.

She said Fisheries Minister Gerry Byrne is traveling to Massachusetts in less than two weeks for the Boston Seafood Expo, and called the trip as a trade mission.

But tariffs and contingency plans didn't take centre stage during the majority of question period in the House of Assembly on Tuesday.

The provincial Tories, who have the majority of the time to challenge the governing Liberals in the legislature, didn't ask a single question related to tariffs. Instead, the party again focused primarily on the province's controversial land deals.

This earned the provincial NDP some praise from the Liberals, after Jordan Brown, MHA for Labrador West, used his time to ask the province about its plans to push back against the United States.

Coady said the PCs missed the moment by avoiding tariffs.

"It's very concerning that the opposition didn't think that this was the most important issue of the day. It certainly is," she said.

When the House is in session, the NDP waits its turn behind the opposition Tories to question the provincial government.

Brown said it was shocking to be the only person to stand up and ask about tariffs on the day the measures were imposed.

"It was very just surreal to know that the Conservatives, the party that's supposedly for business, never mentioned it once in the House of Assembly, and this was announced midnight last night," he said. "It just blows me away to think that this is where we're to."

PC Leader Tony Wakeham didn't explicitly explain why the party didn't ask the governing Liberals about tariffs on Tuesday.

"We've acknowledged the issue with tariffs before. I've spoken about the significant impact tariffs will have on our industries before, but I've also spoken about the need for plans and the fact that the government hasn't got a plan," Wakeham said.

He added that his party is aware of the removal of United States liquor from store shelves and the province's buy local campaign. 

"There was nothing that we've heard yet from the minister," Wakeham said, pointing to a statement the party released Tuesday morning, which asked for a plan to be tabled to help mitigate uncertainty in the fishery.

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