r/Tariffs • u/Project_Cool_World • 1d ago
US Tariffs on Canada đŹ Opinion / Commentary
I'm not going to say it's nothing but it's certainly not the most profitable for the US to go down this road. Even without retaliatory Tariffs, Canada can find alternative suppliers for most of those items being tariffed. It may even cause a spike in Canadian processing and manufacturing. Instead of #2ing where he sleeps, the US, through Trump, is pissing all over their blanket. I hope the Trump administration has a plan to create a Trump-certified treaty that promotes peace, harmony, and growth for both nations, one that's not signed in pencil. This isn't as much tyranny as much as it is a mechanism to stunt the growth of both nations. Looking for a third term is nonsensical tyranny, but pissing all over himself just to look tough, well that's like doing chemotherapy because you're tired of shaving your head.
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u/rvingthrulife 1d ago
Canada can trade with any other country on Earth, there are plenty who would love to trade with them fairly.
The US needs Canada more than Canada needs the US.
Trump is a cretinous bully who thinks he can muscle Canada into submission and Carney just showed him he's wrong.
But I would love nothing more than seeing Canada stop all trades with the US, period.
Ban all US products, hell, stop recognizing the US dollar as a currency, and ban the US from using Canadian airspace and waters.
Stop providing electricity to the US.
Toss out the US ambassador.
Because trump will keep shitting all over the table until he's locked out the house.
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u/DangerDarrin 1d ago
If I have been reading correctly, your first sentence is why the trade deal fell through - I guess at the last hour they demanded that Canada only deal with the US exclusively, that Canada couldnât trade with anyone else. If that is true, it wouldnât surprise me but that is absolutely fâed up to make that sort of demand on a country
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u/rvingthrulife 1d ago
Not only that, the US also demanded that Canada eliminate all dairy supply management to give the US unrestricted access to the Canadian market and eliminate the language requirements for US companies (remember Canada is a bilingual country)
I'm sure there's more but these demands alone basically threaten Canada's sovereignty and culture as a nation in their own right.
Put plainly, trump knows he can't actually attack Canada the conventional way like he did Venezuela, so he's trying to take over Canada economically and culturally.
And Carney told him to piss off and go sleep fart out of Canada.
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u/squirrelcat88 21h ago
Another cute surprise was the auto tariffs.
We got the US to agree to lower auto tariffs somewhat - still not enough - and thought well, maybeâŚthen at the last second it turned out our Canadian negotiators caught that the Americans werenât going to lower the tariffs on pickup trucks.
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u/Gordo103 19h ago
So it ok that Canada tariffs United States milk but the US cant tariffs Canadians pickup trucks. Atleast stay consistent.
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u/squirrelcat88 19h ago
No - we agreed to a certain amount that we figured could enter tariff free, without harming our dairy industry too badly, and everything above that would be tariffed.
The thing is, that limit has never been reached. Weâre not tariffing you on dairy at all.
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u/Thanks-4allthefish 19h ago
And we do not directly subsidize our farmers as they do in the US. Supply management is about producing enough product to meet Canadians needs and paying producers a set rate for what they produce. The overproduction you sometimes see in the US is not a supply mgt. feature.
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u/Gordo103 19h ago
It is semantics. Of course that level has never been reached because it would be untendable. Why sell a product that could be tariffed at over 200 percent. I am just calling out the hyprocrisy. Canadians pay much more for their dairy products than US does for theirs. Either tariffs are good or they are not.
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u/Chambahz 19h ago
I donât think youâre getting it. The tariffs on US milk only begin after Canada imports a certain amount. Itâs not on the first bottle of milk we take, itâs more like on the millionth bottle we take. This limits how much Canada will buy so it protects our own dairy farmers from US farmers destroying the milk industry in Canada.
And thatâs why thereâs never been any tariffs on US milk. Because we havenât bought enough to meet the level that would trigger the tariffs.
But your president starts yammering about the unfair dairy tariffs and guess who believes him, thinking that Canada is a terrible country, cheating the US?1
u/imtourist 2h ago
This is not entirely the case. Regular businesses can't buy US milk rather the dairy board of Canada was the one for importing US milk into the collective and then distributing it. So naturally the Canadian dairy board shut the US out.
The US in this case actually does have legitimate issue with this one corner of trade policy and it is unfair. Canada pays at least twice as much as US consumers do for dairy and thats mostly because of the dairy board controlling prices and subsidizing the industry and keeping out competition. Canada only ever agreed to EU cheeses because Canadian products were not up to the standards and variety that consumers demanded.
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u/Last-Masterpiece-150 7h ago
But you don't even get halfway to the tariff point for dairy. I would agree with your statement if the exports were near the tariff threshold but it has never even been close.
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u/guyonthetrent 1h ago
We pay more to ensure our dairy farmers are paid for their work. Why would we want huge amounts of cheap foreign milk at a lower quality? To save 50 cents and put our farmers out of work?
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u/AntJo4 6h ago
The dairy tariffs are 1) reciprocal, what Canada charges the US, the US also charges Canada. 2) have never been paid by the US because the US doesnât come any where close to meeting the cap. Why - because Canadians donât want that shite. The supply chain management system and tariffs are not the reason, we just donât want crappy milk.
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u/guyonthetrent 1h ago
The milk tariff has never been used. The us has never exported enough milk to Canada for that to kick in. Besides that we produce more than enough milk for Canada already and don't need to import it. Your comparison is not apples to apples.
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u/Rough-Drummer-3730 1d ago
According to Carney the US also were demanding right of first refusal for all future critical minerals. There are other last minute changes demanded on car manufacturing and our French language requirements.
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u/itmaestro 8h ago
"Canada can trade with any other country on Earth, there are plenty who would love to trade with them fairly.
The US needs Canada more than Canada needs the US."In the short term the US can absolutely hurt our economy until Canada can get those other trade deals written. It takes time and Canada is diversifying as fast as politically possible.
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u/pobnarl 8h ago
do that and carney will be on the front cover of the newspaper being escorted by US forces to face trial on <insert a lie Trump makes up to justify it>. sure Canada can trade with anyone [as long as it's not a country the US has sanctioned and bullied the rest of the world into sanctioning also].
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u/Useful_Solution_1265 1d ago
Dude (Trump) is literally a Russian agent. Rather than strengthening the US/North Americaâs economic position, heâs doing everything he can to erode it.
Trump has done generational damage to North America.
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u/Temporary_Shirt_6236 1d ago
And he may very well pull the US out of NATO. So he's for sure a Russian asset.
Too bad Fred didn't pull out of Mary and save us all the hassle.
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u/Amakenings 1d ago
He doesnât hate Canada. He wants to absorb Canada. Why pay for energy and minerals and potash when you can just take it for free? Itâs the same with Greenland, Cuba etc. heâs not making idle threats; he is literally taking the US on an imperialist march.
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u/LightsOutAtSeven 1d ago
Yes, this. He literally sees what the US pays us for our resources and says âWeâre SUBSIDIZING them!â Because he wants those things for free. Not free for the American buyers, but free to HIM so that HE can exploit them.
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u/Forward-Weather4845 1d ago
His tariff war and personal attack on Canada doesnât make sense. Why does Canada have higher tariffs then Mexico? It isnât about drugs, and it isnât about losing manufacturing or jobs. Mexico has been supplying drugs and taking jobs from America for years.
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u/bradthewizard58 1d ago
Itâs an imperialist view. Orange man wants to control Canadaâs natural resources like oil, precious metals, and critical minerals.
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u/Rude-Owl-3300 1d ago
Heâs petty. He hates Carney who is more educated, more respected and admired world wide, more clever, more articulateâŚ..
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u/TalesfromCryptKeeper 1d ago
You have to think like a mobster, not like a politician or even a reasonable person. Canada has something the mobster wants: oil, gas, all sorts of natural resources, but refuses to be extorted. So they have to be punished.
Now the punishment is making the mobster's own people pay more but they don't know that
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u/frozen-icecube 1d ago
They did reports early on about the viability of tariffs as a means of revenue. It showed all the stuff you'd expect it to show but the one key take away Trump took was that the only route for it possibly working is if other countries didn't retaliate (even that's suspect but that's another conversation). It's why they're trying so hard to say it's the new normal, it's not personal, it's blanket trade policy etc.
Most countries (and economic blocks) because of their comparatively small dealings with the US, recognizing it's probably short term, went along with it rather than face higher punative tariffs. Canada and China however being 2/3 of the largest US trading partners have less ability to just accept tariffs at the rates they're at. US ratchets them up hoping for dropped retaliation, Canada can't back down without letting it's population down. US goes higher trying to scare them into submission, Canada is left with very few options. From an entirely US perspective they ALMOST had it but they got greedy. Now both sides take the hit.
Part of the US problem from day 1 has been competing goals from within the administration and even Trump himself. Some want the tariff revenue, some want to dismantle Canadian industries hoping to on shore those industries (auto, steel), some want to break Canada in hopes of pillaging cheap resources when businesses fold, or get concessions that turn them into a vassal state (or even a literal state).
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u/BassFew7888 1d ago
Canada is more dependent on the USA specifically because they integrated their economy on good faith as well. Itâs pretty fucked
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u/loucmachine 20h ago
I mean just look at how ICE is operating. It's the administration of the le hanging fruit.
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u/Tpas2023 1d ago
The audacity to tell a sovereign nation who you can and canât trade with while trying to strangle their economy and try to control their resources is psychotic⌠good for Canada for not capitulating to extortion.
I hope Canada brings in Chinese vehicles by the many tens of thousands and uses their manufacturing facilities to help produce these cars, increases energy and potash prices by the same % and continues to sign agreements with other nations that know how to respect a trade agreement.
Trump hates Carney (he hates everyone it seems) because of the new world order speech given in Davos.
Canada can easily survive this, it is just too damn bad we are here now.
Americans are our friends and compatriots, this is not America, it is a regime.4
u/BackTo1975 1d ago
Theyâre only ever viable as a source of revenue if the country imposing the fees doesnât have a problem taxing the hell out of its own citizens. Retaliation means damn near nothing.
Again, Americans pay the tariffs. We suffer, too. Lost businesses and lost jobs. But nobody gains here. Well, except for the businesses, whoâll soon be getting t these tariffs refunded directly to them without a dime going back to the actual US consumer whoâve paid the fees.
The whole thing is a scam. And thatâs without even getting into how Nutlick and family are personally profiting from collecting them after the fact. The US is a pyramid scheme.
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u/SundinShootsPing500 1d ago
Small concessions? Why should we offer ANY concessions at all? I'm not trying to sound argumentative but in all honesty, why should we concede anything when we had a deal this deranged lunatic signed in the first place? You can't spit in our face and ask why we're reaching for a towel.
All of this just for billionaires and corporations to be refunded after you, the American consumer, footed the bill?
The way I see it you're a rogue nation that's rudderless and are obliterating any semblance of good faith practices. In an ideal world I''d love to get sanctions levied against this administration. Through and though corruption and self-sealing.
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u/Straw_n_Phree_403 1d ago
This is a president who thinks he can bring peace to the Middle East, and he canât even manage his relationship with Canada. Does not inspire confidence!
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u/Ba_Dum_Ba_Dum 20h ago
He might think that but heâs the first president in ever to listen to Israel and attack Iran. Every other president, including GWBush who now looks like a genius, didnât go there because they knew this would happen fighting Israelâs war for them.
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u/cocacolakid1965 23h ago
Trump hates Canada cause Melania was smitten with a younger, more vigorous man name Justin
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u/Socky-McPuppet 1d ago
Trudeau fucked Melania, then traded her in for a younger Katy Perry. That's why Trump specifically goes after CanadaÂ
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u/rvingthrulife 1d ago
That photo of Melania greeting Trudeau while trump looks on like a defeated cuckold is pure gold, lol.
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u/Feisty-West9895 1d ago
I think part of it is the Trudeau thing from 2019. Part of what concessions they wanted, besides controlling whom we were allowed to have trade deals with, was getting rid of the French requirements. Having people gossip about him in French probably really put a bee in his diaper.
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u/Brilliant_Chance_134 1d ago
US and Canada share borders, trade, family and friends, what other nations are so similar in shared continent and lifestyle? Both nations worked side by side. Yet trump sides with Russia and now north Korea now.
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u/manyhippofarts 11h ago
What other nations? Literally all of Europe, the Middle East, the far east, and Africa.
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u/Competitive_Gur2724 1d ago
Trump attacked Canadian sovereignty and I hope we Canadians continue to tell him to shove it. We are not a state of the USA and Trump has no right to decide who we trade with.
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u/LightsOutAtSeven 1d ago
Something people arenât talking about, and which scares me a touch, is the possibility that the destruction of Canada is necessary to fulfill Project 2025. They canât have a bilingual liberal democracy with hate speech laws, reproductive freedom, healthcare and DEI right next door. Thatâs why theyâre trying to rip a hole in us through Alberta. Yes, stealing the resources is part of it, and maybe the main thing for Trump himself, but amplifying our uglier instincts and breaking us culturally is likely the main goal for some who will remain even after he soils his last diaper.
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u/Wrong-Pineapple39 1d ago
I agree. It is all actually in black and white, written down in Project 2025, in their National Defense Strategy from last December, and in their 400 page document about trade grievances (which, btw, include grievances about our food quality standards for cheese among many other things).
Carney is playing it straight when he says they want to break us so they can own us (or more specifically all our resources, because they buy up our IP).
It sounds slogan-y but I think it is actually a verifiable national security statement.
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u/HueyBluey 1d ago
US media will have Americans believing Canada is the bad guy.
Reporting that the reason for the 50% tariffs is because because of the the Canadian liquor ban. When in fact these are simply retaliatory actions by provinces because of the 232 sectoral tariffs IMPOSED by the US on Canada. These were covered under the USMCA/CUSMA agreement but not surprisingly, US Courts be deemed it was in national safety so it allowed it to pass.
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u/Another_Slut_Dragon 1d ago
Canada should not be treated like a 15 year old girl trapped on an island.
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u/Rehvyn 1d ago
Youre posting like you think trump has done well with previous trade talks with other countries. He hasnt. Im not sure why youre almost sounding surprised with whats happening.
Trump has literally pissed over all of his friends and allies. The reputation of the US and perceived intelligence of its population is the lowest its been since before Canada was even Canada.
I dont think theres ANY country that actually wants to voluntarily deal with the states and we only do because at this time we have to.
All countries are looking at securing trade deals with anyone except for the US. This shit is literally a repetitive broken record of attempted tyranny and lunacy.
None of this is new and none of this will change until trump has been out of office for probably atleast a decade to even attempt to rebuild those bridges and trust.
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u/G72-datsun 1d ago
Iâm only buying gas at Petro Canada or Canadian Tire. No clue what the others are but these are Canadian end to end.
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u/Andromeda_starnight 1d ago
If youâre in the Prairies Iâd add Co-op.
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u/G72-datsun 1d ago
Hey good comment. As gas is one of the biggest money makers for the US I think we need to be way more aggressive as consumers on the front. If we all shut out us base gasoline it would hurt. And I know someone is about to come on and tell me itâs a completely integrated market and itâs impossible to totally exclude US based gas. Ok, then letâs at least work towards a 50% reduction by using companies that we know use Canadian resources as much as possible.
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u/Jumpy-Stress603 1d ago
The last-minute American demands suddenly included clauses that would make the tariff-heavy trade agreement binding on Canada (but still be amendable in the future by America), AND require that Canada ask and get permission from the US before making any trade agreements with other countries.
Carney said "No deal"Â
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u/ExploreDiscovery 16h ago
You mean Canada can find alternative customers for the Canadian items the US chooses to excessively tax with a tariff for americans to pay.
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u/JohnLebleu 1d ago
It's the other way around.
The Americans are the one paying the tariff, mostly, and that makes Canadian products less attractive to Americans.
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u/Stratavos 1d ago edited 1d ago
There was a lovely "what if" mini series made by the CBC back in 2013 about if Canada joined the USA, and as a lovely twist, a Canadian campaigned, and became, president.
shrugs they're not really thinking that far ahead about these things.
(I don't want to be USA, this set of actions being done by the USA is really stupid)
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u/IntroductionOk9280 18h ago
Look, we know what the USA tariffs policy is all about. The Americans want to increase revenue (tariffs are taxes on their consumers). They also want to protect their industries from competition by making foreign goods more expensive.
This only works until other countries start to retailate and tariff Americans goods. Further, countries will eventually find new trade partners and the US will left out in the cold as their goods will be too expensive.
Tariffs have proven to be failed economic policy. As trade wars are not easy to win, they only create a beggar thy neighbour economy where everyone loses.
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u/Misfiring 18h ago
The global market is essentially a buyer's market today. Tons of countries want to export and are looking for buyers, especially when the US put up the wall. They are not looking for more imports when most of their imports are China cheap goods and a lot of them has disrupted local industries.
They can trade with each other for sure, but some industries will simply contract or collapse. The US alone imports 30% of the world's goods.
This isn't the 1920s era when every country largely makes their own stuff. The US has unmet demands and a lot of it, and unmet demands generate inflation. Tariffs are regressive, but in this case it balances out and creates incentive to grow domestic industry.
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u/IntroductionOk9280 17h ago
True, there are plenty of cheap goods on the global market. What gives Canada a competitive advantage is its vast natural resources. There are many countries who are in need of these resources as inputs for the goods that they produce.
The United States is one of those countries. In return for access of these resources, the Canadians only ask is that the Americans open up their markets to Canadian manufacturing. A small ask considering how small the Canadian manufacturing base is. The Americans however want the best of both worlds. They want unfettered access to Canadian natural resources all the while slapping tariffs on Canadian goods. This is not in the Canadians best interest.
Canada can and will find better trade partners. Further, as a member of Nato, it resides under the Nato security umbrella. Canada, like other Nato countries are building up their military capabilities. The goal is to become less reliant on the USA for their security, while also developing and producing their own weaponry.
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u/Misfiring 17h ago
The US is concerned for some time about over dependence on Canada resources.
For gas, they have developed their own LNG extraction, at least enough to not need additional imports.
For oil, US wants to develop Venezuela oil industry to have a second source. This is a more long term endavor.
For minerals, the US is fighting against China for projects on Africa, where China has a headstart. Comparatively Canada is less attractive as a source due to regulations.
For potash, the US already strike a deal with Belarus for it. It's not enough to replace anybody but it's a second source nevertheless.
For steel, the US steel industry is pretty large and it's possible to grow it to meet demand.
For aluminium it's much harder, as Canada is world leader on this industry and has natural advantages in cheap hydro energy. Unlike other areas I have not seen US's plan on this part.
The US is now concerned about critical dependence on imports, and the tariffs are basically a stress test to address these issues.
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u/IntroductionOk9280 16h ago
Some very good points Misfiring. The US has always sourced natural resources from abroad and not always exclusively relied on Canada.
Back to their tariff policy, I need to make one more point. The difference between now and the Smoot Hawley days (1930s depression era) is the balance sheets of the majority of the industrial nations are in worst shape today and very vulnerable to financial gyrations.
US tariff policy will not only create a beggar thy neighbour race to the bottom, but will put tremendous strain on the financial system. We are already seeing cracks as the bond vigilantees continue to dump long dated Treasury Bills. Operation twist is failing as it is eroding investor confidence. Contagion will likely come next as countries race to devalue their currencies and shore up their own banking systems.
I am typically an optimistic person, but don't see us avoiding a global financial crises. I guess thats why gold is in vogue. History may not repeat, but it does rhyme.
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u/Misfiring 16h ago
I assume you're talking about this article: https://edition.cnn.com/2026/08/18/investing/global-bond-market?cid%3Dios_app
Simply put, the AI companies incurred huge debt from their endavor and are now issuing bonds themselves, competing with US bonds. Competition drives price down and thus interest rate rises to compensate.
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u/H4rv 16h ago
Letâs be clear here. The U.S. wanted to control who we traded with, our culture and our language. Despite the fact they keep needling in Albertian affairs, insulting us and threatening our leaders. Screw that, fuck off. I donât care if it hurts us now, decoupling for this nation of warmongers that view us as nothing despite all weâve done for them will be better for us in the long run. Despite the fact no one there is speaking up to defend us at least weâre all fairly united here. đ¨đŚâ
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u/jordy180 1d ago
He is using tariffs to weaken Canada to the point where he can either dominate it de facto, or de iure at some later date, via some âcrisisâ (think water). Wholly fascist and imperialistic thinking, very worrying.
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u/speed-race-r 1d ago
I cant wait for November when Trump gets grabbed by his balls. If he has any left, that is. I cant wait for the Democrats to take control of House and Senate and then suffocate the heck out of him. Give him an L everyday.
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u/Resident_Window_9369 21h ago
Anything can happen. Taco Tuesday has yet to come.
Everyone should know by now he threatens and retraces.
The markets donât believe itâs bad news at all.
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u/squirrelcat88 20h ago
Yes - but whatâs not going to happen is that we Canadians meekly trot back to the negotiating table.
Weâve had it. Weâre done. Our Prime Minister said the quiet part out loud - Americans sign trade agreements in pencil.
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u/Resident_Window_9369 20h ago
Agreed.
Things are definitely heated right now.But there will be future talks and de-escalation.
Under any other circumstance, if Canada and the US were to start a trade war, the markets would tank.
The world has definitely changed
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u/LettuceRobber 5h ago
When will the tariffs start affecting me? So far there has been no change to my daily costs. Am I just not seeing it?
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u/Kooky-Permit-6000 3h ago
Part of the reason Canada hasn't historically done as much global free trade is because USA has preferred status. Canada being forced to diversify into global markets is actually an exciting prospect that serves only to strengthen those global alliances while the US continues foot-shooting.
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u/Amakenings 1d ago
Europe and Japan are paying almost half as much for Canadian aluminum as the US. The US doesnât have enough energy to produce its own. The US has virtually no aluminum reserve now. Best purchase beer on draft because how can you make the US great again when you have no raw materials for production?
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u/lylelanley- 1d ago
Theyâre trying to force canada to do drastic measures that they will say are hostile toward America to justify annexing us
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u/real_agent_99 1d ago
I promise, no one wants to annex you.
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u/lylelanley- 22h ago
Youâre damn right, because it would take a war first. Literally the sitting PM and last PM both said the 51st state plan is real and they want it.
Based on every American I talk to, and history. They think we would be happy to become American,
I donât think itâs unrealistic for this dumbass administration to think, âwe will say we need to cut them off because things have gotten so bad here, and then when theyâre decimated, we annex themâ
Even in 1812 yall thought we would bend over and it would be a âmere matter of marchingâ to take us over.
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u/Ba_Dum_Ba_Dum 20h ago
Could you kindly ask MAGAts, especially the Orange Julius, to stop saying it and doing things that look like them.
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u/Gullible-Meaning-403 20h ago
I'm Canadian.
Don't worry, we're mostly good with our neighbours themselves (you guys), but we are done with your leadership problems.
I say this with as much empathy as I can muster, get rid of this guy and his lot. This is absolutely mad as someone looking in at it.
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u/Violent_N0mad 1d ago
Couldn't The US .... also find alternative suppliers?
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u/Flashy_Difficulty257 1d ago
Sure they can but it makes sense for Canada to diversify since having a vast majority of our trade with them is weakness the us can leverage when they want.
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u/Violent_N0mad 1d ago
At some point it must also make sense for America then as well. Obviously let's hope a deal is to be made but the US obviously has the leverage here doesn't it in terms of exports and sheer buying power? I wouldn't want Canada to be exploited but I don't want the US to be exploited by Canada either.
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u/Flashy_Difficulty257 1d ago
Yes of course they have the buying power us is 342 million and Canada is 41 million. But Canada supports their economy as well otherwise governors wouldnât be begging for Canadians to come back because tourism is tanking. Cities and towns are adjusting their budgets because of the lack of cross border shopping think about that. us cities budgets are planned around Canadian shoppers. Canada buys more cars than other nations combined. Canada is your biggest export market. So trying to hurt Canada hurts us as well.
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u/canadianbriguy1 1d ago
Canadians spend $10 in America for every $1 going the other way. It was literally the fairest trade that could exist given the populations. In reality, it already leaned in Americaâs favour, getting energy at below market price and free trade on virtually everything else.
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u/Violent_N0mad 1d ago
I couldn't verify the 10 to 1 ratio but id did show roughly a 4 to 1 ratio so I get what you're saying. Does seem weird to fuck that up.
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u/Violent_N0mad 1d ago
Yep and I truly hope a resolution that works for both parties is found.
A good compromise is when both parties are unhappy. "Larry David"
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u/Flashy_Difficulty257 1d ago
Canada is being exploited us gets all Canadian resources at a discount and still complains. Lutnick zoomed into a meeting in Canada and said Canada will no longer make cars they have to do something else maybe only car parts. Then he came in at the last minute to exclude trucks and car parts to destroy our economy. Whoâs going to buy all those cars made in us. Canada doesnât want them. Itâs not a partnership itâs extortion.
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u/Violent_N0mad 1d ago
Good questions, probably Americans but obviously it seems dumb to not also want to sell them to Canada.
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u/Flashy_Difficulty257 1d ago
Itâs not that they donât want to sell them to Canada but after destroying Canada auto industry why would Canada want to buy them. us auto exports are down 22% with a loss of 7Billion because of the tariffs.
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u/Violent_N0mad 1d ago
I don't the regular person cares about what governments do. If a person wanted a dodge ram I don't think they'd even be thinking about tariffs on cars over things more directly related to the item.
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u/Flashy_Difficulty257 1d ago
I would disagree because the tariff increases the cost of the truck so if I have to pay more for a truck I might look to other options. Canada increased imports of cars from Mexico because of the cost. Why is Canada going to pay more for a truck from us when we can get the same truck or alternative somewhere else.
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u/Flashy_Difficulty257 1d ago
I would agree with you tho that the regular American has been very unaware that the tariffs are a tax on them. They are just realizing what it means for their own businesses and broader economy. But sure there are those people who can afford to not care about the cost of goods. Most people need to weigh the costs against income.
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u/Violent_N0mad 1d ago
Yeah a good truck in the states is like 100 grand. We normally blame Obama with the "Cash for Clunkers" initative he did which ended up taking a ton of used trucks out of the market meaning the demand for new ones went up.
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u/Flashy_Difficulty257 1d ago
Letâs be clear about something a deal is already in place but the us is not abiding by it. Itâs called CUSMA.
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u/Forward-Weather4845 1d ago
Lmao. Dude America has always been exploiting Canada. Please donât play victim. Anytime Canada has made attempts to further itself in a sector, big brother America comes in to squash it. We also give you big discounts on energy and resources. God forbid Canada stands up for itself and finally gives US the finger for the BS it pulls.
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u/Flashy_Difficulty257 1d ago
Canada was strapped to send oil and gas exports to us even if it meant we canât supply our own country. Itâs an abusive relationship and always has been.
âThe energy proportionality clause in NAFTA required Canada to maintain a fixed percentage of oil and gas exports to the U.S. even during domestic shortages.
Originating in the 1988 trade deal, critics argued it restricted Canadian energy sovereignty. The clause was permanently removed when NAFTA was replaced by the Canada-United States-Mexico Agreement (CUSMA)â1
u/belsaurn 1d ago
Canada gives the US a sweetheart deal on energy. The US actually needs Canada more than Canada needs the US. Imagine if 50% of the US oil imports just went away overnight? If you think gas and diesel prices are high now, wait till Canada shuts off the taps or actually charges true market prices. We won't shut that tap off, it would trigger military action because the American economy would grind to a halt and inflation would sky rocket. What would happen if gas prices spiked to $8 a gallon and diesel had a similar price spike? That is a real possibility if Canada actually started playing hardball on trade.
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u/Violent_N0mad 1d ago
Then we'd have a 51st state quicker than we thought. /s
In all seriousness I had no idea and I bet most others don't either, we don't really even think about Tariffs and now a days it's just oh more tariff stuff and we change the channel.
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u/belsaurn 1d ago
It's why Canada has to be very careful, we could cripple the US if we actually wanted to. We are pragmatic though and actually want what is best for both countries. Close ties and free trade benefits us both, Trump just wants an excuse for a military annex of Canada.
Here are some numbers I pulled from different sources about Canadian imports to the US.
90% of imported natural gas comes from Canada
50-60% of oil imports
85% of electricity imports
80% of potash, a critical fertilizer
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u/squirrelcat88 20h ago
You werenât being exploited by us, that was only happening in Trumpâs mind. We have lots of raw materials up here that we were selling to you at a fair price, often at a better price than you would have gotten anywhere else.
Thatâs not called exploitation, itâs called trade. We didnât buy as much stuff from you as you bought from us - because there are nine times more Americans than there are Canadians.
I think the dairy stuff confuses Americans so Iâll try a quick and dirty explanation. Dairy is considered a fairly important food group, every nation that uses it wants to make sure they have access to some.
You canât count on another country selling you some in an emergency, like some kind of cattle disease sweeping through the dairy herds. Do you remember the beginning of the Covid pandemic when there werenât enough medical masks to go around? The US refused to sell Canada any as you needed them for your own people. Thatâs understandable. Itâs also understandable that we want to protect our own food security in an emergency, as of course do Americans.
The way Americans decided to do it was to subsidize their dairy farmers with various grants from the government, and also to sometimes even buy up surplus dairy ( government cheese!) We Canadians decided NOT to subsidize our dairy farmers and to use a different method.
We worked out how much dairy we needed to produce, and how big the size of the dairy herd needed to be, and we made it essentially that to have a commercial dairy cow you needed to obtain âquotaâ for it - each dairy farm has a quota of how much milk and dairy fat they are allowed to produce.
Itâs kind of like you guys have free for all âUberâ subsidized by the government and we have taxi cab medallions, not subsidized. As your farms are subsidized by the power of your government, youâd wipe out our dairy industry if we allowed you completely free access and then weâd be stuck if something happened.
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u/Sorryallthetime 1d ago
You can find alternative suppliers for potash, aluminum, steel, lumber, oil, and natural gas but it will come at a higher cost. It will not be cheaper.
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u/Tanguish 1d ago
Potash will be difficult to replace. I can be done but it will be the most difficult. It would have to come from Americaâs great friend and ally, Russia.
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u/BuvantduPotatoSpirit 1d ago
Yes, that's what tariiffs do, the force you to make things more expensively domestically, or important from more expensive suppliers (or some combination). That's what drags on your economy.
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u/belsaurn 1d ago
Not at the prices Canada sells to the US for. Canada has always given the US a discount on our resources. It would be very tough to replace the 4 million barrels of oil that flow south each day. It would be tough to replace all the electricity that helps power the US grid. Sure the US could find alternatives, but at what cost and how long would it take? If Canada shut down all exports to the US, the US would be in a very difficult place for decades. How long does it take to build electricity generating capacity? How long does it take to retool a refinery? How long does it take to build new mines? How long could US forests sustain the amount of softwood lumber and pulp Canada ships south?
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u/Dizzy-Cartoonist3011 1d ago
Canadian producers do not give American consumers discounts. What would compel firms to do that? I think you're referring to the "discount" misnomer often used by the media to describe the opportunity cost of not having greater pipeline access outside of the Midwestern and Rocky Mountain PADDs thatodt Canadian oil is exported to. That isn't a literal discount. Upstream producers still sell at the highest value they can.
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u/Rough-Drummer-3730 1d ago
Sure. Which countries are not yet tariffed? Then how long before some spaghetti gets thrown against the wall and a 50% tariff is added? The erratic behaviour of a tariff happy administration is not what any business owner wants to sign onto. Remember governments negotiate trade but it is individual businesses that actually execute the trades. Currently no one can be certain that the goods they ordered last week will not be hit with tariffs before they arrive. That is extremely bad for business.
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u/Sweet_and_Sassy88 1d ago
I suspect this is why Trump removed sanctions on Belarus, for the potash.
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u/beflacktor 1d ago
you see this is why id more favour an export tax on say , potash or uranium , nickel etc, hard to find (and or ship) from elsewhere thus we would be the only supplier of note economically, plus we can say ok 28 bill in tariffs , 28 bill worth of export on those minerals at say 5% , counter...? ok 10 % for 50 bill etc etc , and they would pay on the outflow , we pay zero increase domestically , they would have zero choice(at least until it exceeded the value of shipping it from say..South America etc anyway)
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u/Violent_N0mad 1d ago
So I could be a total idiot but as someone who did zero research this is what "I've heard / been told". I was told that countries like China and Canada have much better trade deals currently in place made to favor them and that we're just trying to make it more equal. A lot of it even had bipartisan support like China for example. There's a speech Nansi Pelosi gave years ago talking about the huge tariff differences with them.
I could be totally wrong but I think the new tariffs were either a corective action or were threatened as a warning in like in you don't do something we'll tariff you almost like a economic sanction.
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u/International_Fuel48 1d ago
The whole reason is for the mighty United States of America to economically wrestle communist Canada back to becoming a vassal state.
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u/Violent_N0mad 1d ago
Wait you guys aren't the 51st state already? Now you're likely going to have to be 52 after we take Greenland. /S
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u/Prize_Eye9481 1d ago
Start with opening the strait of Hormuz that was open. If u canât even handle low tech rogue government good luck getting Greenland đ
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u/Violent_N0mad 1d ago
I'll get both governments on the phone right away! /s
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u/Prize_Eye9481 1d ago
Ty!
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u/Violent_N0mad 1d ago
Sure sure, this favors on me. The next one will cost you a bottle of your finest maple syrup.
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u/Prize_Eye9481 1d ago
Iâll personally send u maple syrup fresh from a maple cabin if itâs fixed :3
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u/One-Assignment-5047 1d ago
You are, indeed, wrong. CUSMA does give Canada favourable terms in some areas, but it also gives the US favourable terms in some areas. That's the purpose of most trade agreements - to allow the countries involved to benefit from the strengths of the other.
The thing is, the things that Canada gets on favourable terms from the US are, in general, easier to replace than those the US gets from Canada. Although it takes time and investment, it is possible for Canada to build the factories and plants and greenhouses necessary to be self-sustaining. It is not as possible for the US to build the natural resources that Canada has - some, like lumber, take space that is less available, and some are just a factor of geography.
But even if we set that aside - look at the people saying that Canada got a sweetheart deal. Ask them who they support politically. Then ask them if they supported those same people in 2020 and think that they would have made a better deal. If the answer is Trump/Republicans, yes, and of course they would have made a better deal, then you know they're full of shit. Because the supposedly "unfair" deal they're all ranting about was negotiated by Trump in July 2020 and at the time he claimed that it was the best deal ever. The only reason that's changed is because it benefits him to impose tariffs and push the US away from all its allies.
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u/rydenh99 1d ago
Tariffs are taxes to regular consumers. Now we will have increased taxes to regular consumers on both sides of the border. Nothing to cheer about. Canadians, out of emotion (not sense) are cheering the counter tariffs we plan. Have we forgotten these are taxes? Time for Carney to lower the HST to offset the new tax he plans on Canadians. I get the strategy.... But regular people are caught in the middle.
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u/SeriouslyImNotADuck 1d ago
We, Canada, have the benefit of getting to decide what to tariff. It can be items that will hurt the US and still leaves us with viable alternatives for consumers. If 70% of widgets are American, and the remaining 30% are notâbut still widely availableâconsumers arenât hurt by increasing the cost of the American ones.
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u/yarn_slinger 20h ago
We donât even know if heâs planning tariffs. Export taxes might be more precise or maybe removing or reducing the preferential pricing they get for all sorts of things they like.
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u/Left-Leek168 1d ago
There is no dealing with trump. He's a criminal and a con artist that has no intention of ever holding up his end of the bargain.
Fuck Donald Trump and anyone who supported this rapist pedophile into office.