OTTAWA (Reuters)

Canada's new Finance Minister, Dominic LeBlanc, assures that the financial reserves are adequate to support businesses and individuals if the U.S. imposes significant new tariffs.

U.S. President-elect Donald Trump plans to impose a 25% tariff on imports from Canada and Mexico unless those nations address illegal migration and drug flow issues at borders.

> "I am reassured that the government has the fiscal room if there's a decision that has to be made to intervene significantly," LeBlanc stated in a podcast, discussing his conversations with Finance Ministry officials.

LeBlanc took over the role after Chrystia Freeland resigned, expressing concerns regarding fiscal reserves to mitigate the impact of potential U.S. tariffs.

> "I don't think any responsible government would allow the economy of the country to be permanently scarred by what is a decision of another government," LeBlanc emphasized. He plans to meet with Bank of Canada Governor Tiff Macklem and commercial bank CEOs soon.

Though specific government support details weren't shared, LeBlanc, also serving as public safety minister, discussed border issues with Trump's designated Commerce Secretary, Howard Lutnick, and hopes for further communications before the year ends.

Earlier announcements included plans to strengthen the U.S.-Canada border security using helicopters, drones, surveillance technology, and a joint strike force to combat transnational organized crime.