End of the road for Justin Trudeau? 5 reasons why Canadian PM is facing his worst crisis

1) Caucus revolt: Several leaders from the Liberal Party have been publicly demanding Trudeau's resignation for months. In October 2024, over 20 Liberal MPs signed a petition urging him to resign and not seek a fourth term. Moreover, Trudeau and his party have been facing dismal public opinion polls that show Liberal Party will likely be swept out of power by Pierre Poilievre’s Conservatives in a landslide victory if the elections are conducted now. This has raised alarm bells among the lawmakers, who are seeking a course correction ahead of the polls.

2) The big blow: The crisis against Trudeau escalated on December 16 when Finance Minister Chrystia Freeland tendered her resignation. Effectively, this was seen as the last nail in the coffin. There had been reports of uneasiness between Trudeau and Freeland for weeks. Freeland, once his closest ally, reportedly opposed Trudeau's proposal for more spending. She wrote a scathing letter accusing the Canadian PM of "political gimmicks" rather than focusing on what was best for the country.

3) What ails Trudeau: The Canadian PM has been in the dock for his handling, or rather mishandling, of multiple issues including inflation, immigration and relations with the incoming US President-elect Donald Trump. According to a report in Reuters, Trudeau, who came to power with lofty promises, was weighed down by everyday realities and the effects of the pandemic. It said that a botched immigration policy led to hundreds of thousands of arrivals, straining an already overheated housing market. Despite spending heavily and racking up record budget deficits, Canadians saw little relief as prices kept soaring.

Trump's re-election has also made matters worse for Trudeau since the President-elect has often made snarky remarks at the Canadian PM. Trump attacked Trudeau over high taxes in Canada and suggested that if the country becomes the 51st US state, its taxes would be slashed by over 60% and businesses would grow in size. He has also started referring to Trudeau as "Governor Justin Trudeau of Canada".

4) No support from Canadians: In 2015, Trudeau had an approval rating of 63% when he first took office. Now, it has fallen to a dismal 28%, as per a poll tracker. The decline in approval rating reflects how Canadians have gradually lost faith in Trudeau over the years. A recent Ipsos poll shows just 28% of Canadians believe Prime Minister Trudeau deserves re-election, while only 26% support the Liberal Party. Angus Reid Institute revealed a drop in approval rating from 51% to 30% in 2024. A tense exchange with a local worker highlighted how the people of Canada view Trudeau. In an interaction that went viral on social media, a steel worker refused to shake hands with Trudeau and confronted him over high taxes and medical expenses.

5) Loss of allies: New Democratic Party (NDP) leader Jagmeet Singh, a key ally of the Liberal Party, has also turned his back on Trudeau. Last year, Singh promised to introduce a motion to topple the minority Liberal government. In an open letter, Singh, whose party has been helping keep Trudeau in office, announced that he would declare a loss of confidence in the Trudeau-led Liberal government next year, a move that would trigger an early election if other opposition parties support his move.

What's next?

It is unclear whether Trudeau will exit immediately or stay on as prime minister until a new Liberal leader is selected, the Globe and Mail report said.

The party has two options:

• Appoint an interim leader on the recommendation of the national caucus


• Hold a shortened leadership contest. However, a leadership contest would require the Prime Minister to request that Governor-General Mary Simon prorogue Parliament, which constitutional experts say is not guaranteed, the paper said.