Jason Kenney says oil needs to be on the table in U.S. tariff war

Former Alberta premier Jason Kenney is questioning why the province is taking oil and gas off the table in the high-stakes tariffs war with the United States.

Kenney, in an interview Tuesday, said Canada has the power to really put the squeeze on the U.S. through oil and gas exports.

“You don’t deal with an aggressive attack on your economy by starting with listing all the things you will not do in reprisal by limiting your options, by weakening your position.

He said cutting off exports isn’t feasible, partly because central Canada relies on oil shipped through the U.S.

But he said the Americans would be extremely sensitive to export taxes on things like fuel and potash amid a cost-of-living crisis.

“(That) would affect Republicans who drive F-150s and lay fertilizer on their farm fields,” he said.

“They should be mindful that if they really want to escalate, it will not end well for the American economy two months before mid-term elections.”

The mid-term election on Nov. 3 will see votes for all 435 U.S. Congress seats and 35 of the 100 seats in the Senate.

If Democrats regain control of either chamber, they will be empowered to block U.S. President Donald Trump’s agenda and launch investigations into his administration for the final two years of his term.

Kenney said he’s only suggesting export taxes be levied if the administration intensifies its threats — but the possibility ought to be signaled.

His comments come as Prime Minister Mark Carney’s government has announced a string of counter-tariffs to battle punishing U.S. import fees on about $28 billion worth of Canadian goods.

Premier Danielle Smith has long asserted that oil and gas will not be part of the fight.

She has said cutting off energy exports would end up hurting Canadians and deprive Canada of money it could use to buttress other sectors that will feel the brunt of U.S. President Donald Trump’s tariffs.

In a statement Tuesday, she said counter-tariffs increase costs, and hurt businesses and workers.