Premier Danielle Smith has opposed using energy as a weapon against the United States and argued Canada should seek a mutually beneficial trade agreement instead of escalating retaliation.

 

As Canada's trade confrontation with the United States continues, Albertans have good reason to question why their economic interests should be sacrificed for retaliation strategies designed around the priorities of other provinces.

The numbers demonstrate just how different Alberta's relationship with the U.S. is.

In 2025, Alberta exported roughly $152 billion worth of goods to the U.S., representing nearly 86% of all Alberta international merchandise exports. Alberta was Canada's second-largest provincial exporter to the U.S., behind only Ontario.

Energy dominates that relationship. About $125 billion, or more than 82%, of Alberta's U.S.-bound exports were energy products.

That makes the U.S. not merely another customer for Alberta. It is overwhelmingly Alberta's largest export market, geographically close and connected to the province through decades of pipelines, refineries, power infrastructure and integrated supply chains.

Yet Ottawa's trade policy is national, meaning Alberta doesn't control negotiations over the commercial relationship that matters most to its economy.

That's particularly important because the current tariff fight does not affect every province equally.

University of Calgary economist Trevor Tombe estimated that only about 1.2% of Alberta's exports would be caught by the latest round of 50% U.S. tariffs, compared with 13.7% in British Columbia, 10.8% in Ontario and 9% in Quebec. A more detailed analysis put Alberta's exposure at just 0.8%.

Despite this, Alberta can still be caught in retaliatory measures imposed by Ottawa in response to problems concentrated elsewhere.

Alberta has already pursued a different strategy. Premier Danielle Smith has opposed using energy as a weapon against the United States and argued Canada should seek a mutually beneficial trade agreement instead of escalating retaliation. Alberta and Saskatchewan also broke with other provinces by restoring American liquor to store shelves. 

There is a legitimate argument for diversifying Alberta's export markets. The Trans Mountain expansion has already helped increase Alberta energy shipments to Asia. But diversification doesn't change the reality that the United States remains, by an enormous margin, Alberta's most important customer.