[15] In July 1986, Côté was shuffled from Consumer and Social Services to Minister of Regional Industrial Expansion, although he retained the Canada Post role.
[16] His change of duties was part of what was billed as Mulroney's "French power" cabinet, in which ministers from Quebec held many of the most powerful roles;[17] however, Côté's political and communication skills began to face some criticism at this time, with Robert McKenzie of the Toronto Star writing that Côté "still looks petrified on TV, glancing continually sideways as if seeking the nearest exit.
[18] In summer 1987, the government announced a major reform of DRIE, converting it from a standalone ministry to a group of regionally-targeted government agencies, such as the Atlantic Canada Opportunities Agency, the Federal Economic Development Initiative for Northern Ontario[19] and Western Economic Diversification Canada,[20] under the auspices of an expanded Ministry of Industry, Trade and Commerce.
[24] Although the audit held that Côté was not responsible for the departmental mismanagement, Mulroney shuffled him later the same day from Regional Industrial Expansion to Minister of Supply and Services.
He held the role until February 2, 1988, when he was dropped from cabinet after violating conflict of interest rules by failing to disclose that he had received a $250,000 personal loan from a government contractor.