No. of Recommendations: 14
We haven't banned any Canadian products. Not a single one.
Can they say the same?
But we just unilaterally imposed 50% tariffs on a whole lot of their products. Itself also a hostile trade action. The alcohol bans were themselves imposed in reaction to Trump unilaterally jacking up tariffs on Canadian goods during Liberation Day.
Again, if we launch massive tariff increases against other nations, they're going to respond in turn.
There's a lot of confusion around oil imports. You're aware we don't burn up all the oil we import, I assume: much of it is processed into something else and then sold right back to whoever sent it to us or somebody else. Much of the Canadian oil that we "import" heads right back up into Canada in the form of gas and diesel.
Not "much" of it. About 15% - U.S. exports of finished petroleum products to Canada are about 0.5 million bpd, compared to the 4-4.4 million bpd we import from them. The overwhelming majority of it either gets consumed in the U.S. or exported to countries other than Canada.
We also don't want steel dumping into the US market; we have the "Melt and pour" rules for a reason. Steel is another thing that it's hard to tell whether Carney is a rogue or a fool: import cheap Chinese steel, lose your mills - by the effects of cheaper competition, not by anything that we would do (other than refuse to buy it).
Yeah, there's no indication that this is something that the Canadian government is promoting, abetting, aiding, or even tolerating at any kind of systemic level. It's hardly shocking that a private business might commit fraud in order to avoid paying their required import duties - that will happen from time to time, and smuggling/customs fraud has been going on for centuries, if not millennia.
And Carney is neither a rogue nor a fool: he wants to maintain the ability to decide whether Canada will import cheap steel from China or Europe or wherever, or import cheap steel parts from said countries, as per the needs of his country's economy. Because steel is a factor of production, and Canada only produces about half of the steel they use, Canada appropriately wants to be able to shop the global market to get a good deal on the steel they do import. They're not signing on to Lutnick's "you can only buy from us" rule.
Conflicts in general are stupid and counterproductive, as this one is. No one wins.
My sole point is that Canada is hardly innocent in all this.
This all started because Trump marched into office believing that "tariff" was the most beautiful word in the English language, and within less than two weeks after taking office signed an executive order imposing a 25% tariff against everything Canadian (except oil and energy, taxed at 10%). Canada hadn't done anything at all at this point to spark this. They were just our friends and allies. Until Trump marched in and declared them to be bitter economic rivals who had been villainously cheating us for decades. Those alcohol prohibitions didn't just spring out of the blue...impose a 25% across the board tariff out of nowhere against a nation that thought they were a welcome trading partner and trusted ally, and those "conflicts" you think are stupid and counterproductive will have a way of materializing.
Play trade war games, win trade war prizes. But trade wars are easy to win...not things that "no one wins," as you suggest. At least in the words of our President...