Canada's Deputy Prime Minister Chrystia Freeland steps down citing rift with PM Trudeau, says 'Nation facing grave challenge'

PTC News Desk: Amid political turmoil in Canada, the Deputy Prime Minister Chrystia Freeland has resigned from her position on Monday citing rift with Prime Minister Justin Trudeau. 

Chrystia Freeland has also stepped down as finance minister. The move follows after her disagreement with Prime Minister Trudeau over US President-elect Donald Trump's tariff threats.

"Our country today faces a grave challenge," Freeland said in her resignation letter, pointing to Trump's planned 25 percent tariffs on Canadian imports. Freeland's resignation comes as a first open dissent against Justin Trudeau within his own cabinet. The decision could further sway her hold over power.

Freeland accused Trudeau adminsitration of adopting an aggressive economic policy which also makes the Canadian raise doubts over their lawmakers. "The incoming administration in the United States is pursuing a policy of aggressive economic nationalism, including a threat of 25 per cent tarriffs," she said in her resignation. 

"We need to take that threat extremely seriously. Tha means keeping our fiscal powder dry today, so we have the reserved we may need for a coming tarriff war. That means eschewing the costly political gimmicks, which we can ill aford and which make Canadians doubt that we recognise the gravity of the moment," she added further. 

Freeland was first elected to the Parliament in 2013, and joined Trudeau's liberal party two years after they assumed power. The former journalist held key positions including trade and foreign minister, and leading free trade negotiations with the EU and the United States.