Alberta Premier Danielle Smith says the provincial government will avoid purchasing U.S. goods and services and launch an advertising campaign to help shoppers buy Canadian products while U.S tariffs persist.

“This economic attack on our country, combined with Mr. Trump’s continued talk of using economic force to facilitate the annexation of our country, has broken trust between our two countries in a profound way,” Smith said at a news conference in Medicine Hat, Alta., about 145 kilometres from the U.S. border.

“It is a betrayal of a deep and abiding friendship.”

Smith said she has directed cabinet to change government procurement — including by school boards, Crown corporations and municipalities — to prioritize purchasing from suppliers in Alberta, Canada and countries that are honouring Canadian trade agreements.

It’s unclear if provincial entities will be banned from purchasing U.S. goods or services. A spokesperson for the premier’s office said “the specifics of the implementation details will be provided in the coming days.”

Smith said Alberta’s liquor and gaming agency would facilitate no further purchases of American alcohol or video lottery terminals. “We’ll just have to drink a bit more B.C. wine and Alberta craft beer and spirits and that’s just fine with me,” she added.

The premier said $292 million worth of U.S. liquor was sold in Alberta last year. She estimated the province foregoing U.S. products could cost that country’s economy at least $2 billion dollars a year.

Other provinces and territories have taken similar countermeasures since the U.S. government imposed tariffs Tuesday.

Alberta oil and gas a ‘trump card’ in dispute

U.S. tariffs came into effect Tuesday morning — 25 per cent on most Canadian goods, but 10 per cent on oil and gas products. It has signalled a tit-for-tat dispute over billions in cross-border trade between the allied nations. 

The federal government is imposing 25 per cent retaliatory tariffs on $30 billion worth of American products and plans to expand them to cover another $125 billion in goods in 21 days. Trump has pledged to impose counter-tariffs in response.

Smith says she supports the federal government’s retaliatory tariffs, but stated on Wednesday that she would not back export taxes on Canadian oil and gas companies, saying it would hurt Canadians more than Americans.

She said aid programs in response to tariffs should come from the federal government, which would collect any extra revenue from retaliatory tariffs.

Smith called Canadian oil and gas products a “trump card” and a “secret weapon” in the trade dispute, saying that the U.S. will need to import Alberta products to meet its goal of energy dominance.

Alberta government officials will work with grocery stores to help label Canadian products and ask shops to purchase from Canadian vendors where possible, Smith said. As well, there will be a “substantial advertising campaign” encouraging consumers to buy Alberta products.

A spokesperson for the premier’s office said the campaign would cost about $250,000 and would be led by the Ministry of Agriculture, “to assist Albertans to more easily access information about where various products on store shelves are from.”

The premier said Alberta’s government will also work to further eliminate interprovincial trade and worker mobility barriers, and develop new markets for Alberta oil and gas products other than the U.S.

Smith also spoke directly to Albertans, noting the road ahead would be bumpy, lined with job losses, inflation and potentially big provincial deficits if tariffs remain in place for a prolonged period.

The province unveiled a budget last week with a projected $5.2-billion deficit and a $4-billion contingency fund to respond to tariffs and other disasters.

U.S. President Donald Trump has shown no sign of softening his stance and has now pledged to impose additional, reciprocal tariffs on America’s trade partners.

He has said one rationale for the tariffs is to force Canadian officials to stop the flow across the border of fentanyl and chemicals used to produce the deadly drug.

On Wednesday, Trump posted on his social media site, Truth Social, that he told Canadian Prime Minister Justin Trudeau this morning nothing has convinced him the flow of fentanyl across Canadian and Mexican borders has stopped.

“He said that it’s gotten better, but I said, ‘That’s not good enough.’ The call ended in a ‘somewhat’ friendly manner!” Trump’s post said. 

WATCH | Trump says tariffs are part of the ‘soul’ of America:

U.S. President Donald Trump showed little sign of backing down on his tariffs during an address to Congress on Tuesday, defending the crushing levies that just kicked in for Canadian goods and repeating his promise for another set next month.

Smith and other Alberta cabinet ministers pushed back on Wednesday, saying a provincial border interdiction team launched earlier this year has caught human traffickers and cocaine being smuggled into Canada.

Public Safety and Emergency Services Minister Mike Ellis said that while Canada is a net exporter of fentanyl, there are illegal weapons, cocaine, crystal meth and migrants entering Canada from the U.S.

“In Alberta, we are doing our part to secure the border,” Ellis said. “I would certainly ask that the president do his part to secure the border as well.”

Smith said the U.S. needs a “reality check” if citizens think Canada alone can stop Americans dying from drug poisonings.

“I can’t stop all the deaths from from happening in the United States,” she said. “They’ve got to do some of the work on that, too.”

NDP Leader Naheed Nenshi said Smith is too congenial and forgiving of Trump. which he said is a mistake, because premiers who have taken more aggressive retaliatory measures have had more success. Nenshi pointed to Ontario Premier Doug Ford pledging to cut off electricity to the U.S.

On Wednesday, the U.S. government announced a one-month pause on automobile tariffs.

“We have to use the best tools we have,” Nenshi said. “That means taking nothing off the table. That means showing our teeth when we need to show our teeth. It means threatening when we need to threaten. It means giving up concessions when we need to give up.”