Tariffs, trade wars loom large as finance minister prepares to deliver Saskatchewan budget

As with tradition, Saskatchewan Finance Minister Jim Reiter slipped on a pair of new black shoes Tuesday that he will wear when delivering the provincial budget Wednesdayafternoon.

"I'll let you read into that what you will," he told reporters.

This will be Reiter's first budget, titled "Delivering for you," and he'll deliver it beginning around 2:15 p.m. CST.

The gross provincial debt sits at more than $35 billion, including debt from Crown corporations, Treasury Board, Crowns and entities that rely on government funding.

The government's mid-year financial report said this year's deficit is projected to be $743.5-million.

Reiter says it's tough to build a budget with the threat of tariffs and trade wars.  

"It adds so much uncertainty," Reiter said. "So what you're going to see tomorrow in the budget speech — sort of first thing out of the gate — is a discussion on tariffs. You're also going to see as part of the budget, and some analysis work that was done by the Ministry of Finance on that as well."

U.S.. President Donald Trump has imposed 25 per cent tariffs on Canadian steel and aluminum. Elsewhere, China plans to hit Canada with retaliatory tariffs of 100 per cent on canola oil, meal and peas in response to Canada applying levies on Chinese-made electric vehicles, steel and aluminum.

Saskatchewan produces more than half of the canola grown nationally.

Last week at the annual Saskatchewan Association of Rural Municipalities convention in Saskatoon, Premier Scott Moe said the provincial budget will focus on health care, education and crime.

Moe said more money will be targeted at reducing surgical wait times, giving everyone access to a primary health-care provider, improving student reading skills and hiring police officers.

The 2024-25 budget earmarked $7.6 billion for health care and $2.2 billion for school divisions.

The Sask Party also committed tax relief to reduce personal income taxes, an expansion to the graduation retention program, and additional rebates for families with children in sports and arts.

"This won't surprise you when you see it tomorrow," Reiter said. "It's priority areas that we heard from people during the election campaign where they expect government to focus.