OTTAWA, Canada — Canadian Prime Minister Justin Trudeau is set to announce his resignation as leader of the ruling Liberal Party on Monday, January 6, 2025, but will remain in office until a successor is chosen, according to a source close to the Prime Minister.
The announcement is expected at a news conference scheduled for 10:45 a.m. ET.
The decision comes as Trudeau faces escalating political and economic challenges, including plummeting poll numbers, internal party dissent, and rising tensions with the incoming U.S. administration under Donald Trump.
Trudeau’s resignation is widely viewed as a preemptive move to step aside before potentially facing defeat in a general election later this year.
A Decade in Power
Trudeau has led the Liberal Party for 11 years and served as prime minister for nine, taking office in 2015 on a platform of progressive change and promises of “sunny ways” for Canada.
His government championed climate action and reconciliation with Indigenous communities but has recently struggled to address growing economic discontent.
The Prime Minister’s popularity has waned amid rising inflation, a worsening cost-of-living crisis, and criticism of his government’s economic policies.
A viral exchange with a steelworker who accused Trudeau of inaction on affordability encapsulated the frustrations of many Canadians.
“You’re not really doing anything for us, Justin,” the worker said, a sentiment echoed across the country.
Trudeau’s Liberal Party is trailing the opposition Conservative Party by more than 20 points in national polling averages.
Conservative leader Pierre Poilievre, known for his fiery rhetoric, has capitalised on voter discontent, positioning his party as the frontrunner in the upcoming election.
Liberal Party in Crisis
Trudeau’s resignation comes just days after the abrupt departure of Deputy Prime Minister and Finance Minister Chrystia Freeland, who stepped down hours before delivering the government’s fiscal update.
In a scathing resignation letter, Freeland criticised Trudeau’s “political gimmicks,” referencing pre-election measures such as a two-month sales tax holiday and rebates for workers.
She warned that Canada “could ill afford” such policies amid growing economic uncertainty.
Freeland’s exit underscores internal divisions within the Liberal Party, which now faces the daunting task of selecting a new leader before a general election that must be held by October 20.
The party’s national executive is expected to meet this week to address leadership issues.
Trump’s Tariff Threats Loom
Adding to Trudeau’s challenges is the incoming Trump administration’s promise to impose a 25% tariff on all Canadian imports.
Trump, set to return to the White House on January 20, has frequently targeted Trudeau on social media, mocking him as the “governor” of the “Great State of Canada.”
The threat of tariffs has heightened economic anxieties in Canada, where businesses and workers fear significant disruption to cross-border trade.
Trudeau’s government has struggled to counter Trump’s rhetoric, which has further strained relations between the two countries.
The Road Ahead
Trudeau’s departure marks the end of an era for the Liberal Party, which now faces an uphill battle to rebuild its support base.
Analysts suggest that Trudeau’s resignation is aimed at giving the party a fresh start under new leadership ahead of the election.
As Trudeau prepares to step aside, his legacy remains a subject of debate.
While he is credited with advancing key social policies, critics argue that his government failed to adequately address the economic concerns of everyday Canadians.
For now, all eyes are on the Liberal Party’s next steps—and whether a new leader can reverse its fortunes before Canadians head to the polls.
