Canada’s Liberal Party will pick a new leader on Sunday to replace Justin Trudeau as prime minister and address challenges arising from US President Donald Trump’s policies.
Trudeau, who led the Liberals since 2013 and became prime minister in 2015, announced his resignation in January following declining approval ratings and internal party divisions. His departure set off a leadership race, with the winner set to assume the role of prime minister.
Four candidates—Mark Carney, Chrystia Freeland, Karina Gould, and Frank Baylis—qualified for the race, but Carney and Freeland are seen as the main contenders.
Mark Carney, the frontrunner, is a former Bank of Canada governor who later became the first non-British head of the Bank of England. His chief rival, Chrystia Freeland, previously served as Trudeau’s finance minister but resigned in December after a critical letter that contributed to Trudeau’s decision to step down.
Both candidates have focused their campaigns on countering Trump’s economic policies.
The new Liberal leader will be selected through a secret ballot by roughly 140,000 party members, with results to be announced on Sunday. The new prime minister may call for an election soon, or opposition parties could trigger one through a no-confidence vote.
Leading Candidates
Mark Carney: At 59, Carney is the leading candidate in the Liberal leadership race and is poised to succeed Trudeau as prime minister. A former Goldman Sachs banker, he has strong backing from Liberal members, including much of Trudeau’s cabinet. He is seen as best equipped to handle what many view as Canada’s most significant challenge in years—a potential US-led trade war under President Trump.
Respected for his expertise in managing economic crises, Carney played a key role in shielding Canada from the worst of the 2008 financial crisis during his tenure as Bank of Canada governor. Later, as the head of the Bank of England, he earned bipartisan support for his leadership in turbulent economic times.
Polls suggest Carney is the most trusted candidate to manage Canada’s economy and navigate relations with Trump. If he secures the leadership, he will need to decide when to call the next federal election. While the election is scheduled for October, he could call a snap vote within days of taking office to secure a strong mandate amid growing concerns over US tariffs.
Chrystia Freeland: The former deputy prime minister and finance minister is Carney’s main competitor. Trudeau initially offered to retain her as deputy prime minister after replacing her as finance minister, but she chose to resign instead, releasing a letter criticizing the government—a move that played a role in Trudeau’s resignation.
Political analyst Nelson Wiseman from the University of Toronto notes that three factors favor Carney in the leadership race: Freeland’s close ties to the unpopular Trudeau, Carney’s strong support from Liberal MPs, and concerns over Trump’s trade threats.
“Liberal MPs were worried about losing their seats and believed Carney had a better chance of winning a general election than Freeland,” Wiseman explained.
Freeland has emphasized her experience in negotiating trade agreements with Trump during his first term, while Carney has positioned himself as the candidate best suited to handle the current economic challenges.
Karina Gould: The youngest woman to serve as a minister in Canada, Gould has positioned herself as a representative of a “generational shift” in politics. Launching her campaign in January, she stressed that the Liberal Party must embrace this change.
Her platform includes increasing corporate taxes on companies earning over $500 million annually, encouraging reinvestment in business and productivity. If elected, her primary goal would be resolving trade disputes with the US before calling a general election. Like her rivals, she has taken a firm stance against Trump’s policies.
Frank Baylis: A businessman and former lawmaker from Montreal, Baylis served in Parliament from 2015 to 2019. In February, he proposed building two pipelines to transport natural gas to Europe and Asia, aiming to reduce Canada’s reliance on the US.
Baylis has warned against economic dependence on a single country and advocates for diversifying trade partnerships.
