Thank you for the history refresher. I think that Canadians prefer to go through the transition to find new markets for what is imported by the US, leaving 15-20% in this export market, because the unsavoury US administration people are lost in their arrogance. Why negotiate when the other side insists on colonizing our country? The actions of those is the US administration’s positions of power, have presented clearly their intentions. Yes, they will do their best to punish Canada. We must realize this fact, as well as learn how to prosper through intelligent economic & social choices. I find PM Carney’s guidance is invaluable for the reorganization required for Canada to hit its potential.
Let’s hope we acquire the minimum number of F35 aircraft to satisfy NORAD requirements and acquire other fighters for national defence and NATO operations. We can’t rely on acquiring one aircraft type that essentially is a rental from the owner.
Good for Canada. We need to push back and not let them bully us even if there is a cost for us. Otherwise they will keep coming back with more shakedowns. Instead of retaliating dollar for dollar we can even put an export tax on potash and squeeze him ahead of the midterm elections.
Would you be willing to share the economic costs through lower pensions and healthcare funding?
An export tax on potash would be as stupid as one on energy as it would.be borne entirely by the producer. Canada lacks the export infrastructure to ship potash in meaningful quantities to markets other than the US. That means an export tax of $X would simply lower the selling price by $X.
Canada is in this predicament due to the NGOs, activist groups, lawyers and politicians who stand in the way of building infrastructure, and economic development in general. They should be vilified as bad Canadians.
Will have to share the burden but why is it implied this should come from healthcare and pensions…what about the mostly useless defense spending or stupid subsidies. The US has to import Canadian potash so the export tax will be largely passed on to them + a small hit to a couple of companies margins (can be calibrated to not cause much job losses). Not sure how NGOs block most of Canada’s economy which is services oriented! Maybe the resources sectors but there has been some good change there…just keep in mind O&G and mining will not save Canada on its own. On the tech side we are behind countries like Sweden in terms of tech growth (and they have lots of “NGOs”). It is more complicated than one group of lefty Canadian blocking progress or lazy corporate monopolies. Otherwise yeah we need to take it on the chin to secure our sovereignty otherwise you will pay more either way…just to an increasingly extractive US.
The Elbows Up crowd tends to favor retaliation because it is insulated from the effects through its secure public sector employment and pension income.
Services are irrelevant because they aren't targeted by trade action such as tariffs.
In monopsony markets such as those for Canadian energy and potash exports, the producer would bear the cost of an export tax. The real motivation of such a tax is probably to use that revenue to compensate the steel and auto industries, which coincidentally would help Liberal Party fortunes.
“The Elbows Up crowd tends to favor retaliation because it is insulated from the effects through its secure public sector employment and pension income.”
I work in finance and I am invested in Canadian stocks…it is more about your priorities and time horizon…hard to build Canada better if your sovereignty is diluted and every year you have to pay more to the US. Also look at their international relations and what is working. Japan is a good example of a country looking to ramp up investments like Canada but is now increasingly held back by the US (a very lopsided trade deal, and currency intervention designed to limit US debt yields).
Canada may have discovered its secret weapon in the trade war with the United States: potash—the potassium-rich fertilizer American farmers need to grow corn, soybeans and other crops. The United States gets roughly 88% of its imported potash from Canada, Canada could try a 50% export tax, or export duty, on potash headed south.
Suddenly, farmers across the Midwest would discover that the trade war has arrived at the local fertilizer dealer. This tariff will hit US right in the middle of the Trump heartland. Who ever thought that potash would be a new chapter in “Art of the Deal.”
Still can’t wrap my head around what could prevent Canada from making up the financial losses from the U.S. by increasing trade volume with Europe—especially given that Russia has essentially kicked itself out of the equation.
USA asked for too much or Canada walked away? Knowing what and who we are dealing with, I'll go with Carney. We will just have to wait for another president hopefully a Democrat. Will it be difficult, yes but being 51st state or the US telling us which laws we have to pass or delete and who we trade with. And excellent history lesson.
The trade war with Canada is on. Canadian trade experts have been searching for their version of China’s “rare earth minerals”—the one commodity so essential to America that Trump would have no choice but to surrender. They found it: Canadian hockey players.
Canada is threatening to prohibit Canadian hockey players from playing for American NHL teams. This will be the end of professional hockey. The Stanley Cup will become a museum piece. How long can Trump deny hockey fans their true passion? How long before Trump needs to call Prime Minister Carney to end this silly trade war ?
We are still far more internally fragmented than we should be while of course also respecting provincial and territorial sovereignty
And then consider our hyper gdp dependence on housing /banking and gdp. Is that the real reason that one dwelling format known as the condominium/strata keeps getting sidelined on a menu of cost mitigation’s other dwelling format can harvest be they commercial eg tax write off for pbr corporate landlords. Or the eco retrofit grants to freehold but condos especially mid and high rise keep being partially or wholly sidelined from despite the lurking automatic liens and that approval of mortgages uses one set of data but the defacto eviction pressure comes from a completely different format
First Nations issues still need addressing but has anyone bothered to notice that there are other inequities that also need fixing if we wish to be a strong nation ?
And our human rights bodies look elsewhere as apparently their priority due to abnormally really tight budgets depends on number of files closed rather than delivering on their codes mandate despite the mantra of housing being a human right ?
So yes we need to stand up for ourselves and negotiating under threat of worse is hardly “free” so now the decision to “just let them” has been made and maybe during this interval Canada can focus on doing right and integrating a more equitable approach to how it does to its own
The us was desperate for a deal or why the intimidation and last minute add ons Presuming and hoping we would continue to cave
The article providing historical context was excellent but now to make Canada robust we need to address some pressing internal inequities that we can address but only if the political will to do so does as well.
I trust Carney did what was in our best interest. Full stop.
Thank you for the history refresher. I think that Canadians prefer to go through the transition to find new markets for what is imported by the US, leaving 15-20% in this export market, because the unsavoury US administration people are lost in their arrogance. Why negotiate when the other side insists on colonizing our country? The actions of those is the US administration’s positions of power, have presented clearly their intentions. Yes, they will do their best to punish Canada. We must realize this fact, as well as learn how to prosper through intelligent economic & social choices. I find PM Carney’s guidance is invaluable for the reorganization required for Canada to hit its potential.
This was certainly a good read.
I think the author made the point that our markets and economies are inextricably linked.
It just isn’t possible to replace our access to U.S. markets.
Act 3 ends. Maybe Act 4 gets us out of buying any more F35s?
Let’s hope we acquire the minimum number of F35 aircraft to satisfy NORAD requirements and acquire other fighters for national defence and NATO operations. We can’t rely on acquiring one aircraft type that essentially is a rental from the owner.
Good for Canada. We need to push back and not let them bully us even if there is a cost for us. Otherwise they will keep coming back with more shakedowns. Instead of retaliating dollar for dollar we can even put an export tax on potash and squeeze him ahead of the midterm elections.
Would you be willing to share the economic costs through lower pensions and healthcare funding?
An export tax on potash would be as stupid as one on energy as it would.be borne entirely by the producer. Canada lacks the export infrastructure to ship potash in meaningful quantities to markets other than the US. That means an export tax of $X would simply lower the selling price by $X.
Canada is in this predicament due to the NGOs, activist groups, lawyers and politicians who stand in the way of building infrastructure, and economic development in general. They should be vilified as bad Canadians.
Will have to share the burden but why is it implied this should come from healthcare and pensions…what about the mostly useless defense spending or stupid subsidies. The US has to import Canadian potash so the export tax will be largely passed on to them + a small hit to a couple of companies margins (can be calibrated to not cause much job losses). Not sure how NGOs block most of Canada’s economy which is services oriented! Maybe the resources sectors but there has been some good change there…just keep in mind O&G and mining will not save Canada on its own. On the tech side we are behind countries like Sweden in terms of tech growth (and they have lots of “NGOs”). It is more complicated than one group of lefty Canadian blocking progress or lazy corporate monopolies. Otherwise yeah we need to take it on the chin to secure our sovereignty otherwise you will pay more either way…just to an increasingly extractive US.
The Elbows Up crowd tends to favor retaliation because it is insulated from the effects through its secure public sector employment and pension income.
Services are irrelevant because they aren't targeted by trade action such as tariffs.
In monopsony markets such as those for Canadian energy and potash exports, the producer would bear the cost of an export tax. The real motivation of such a tax is probably to use that revenue to compensate the steel and auto industries, which coincidentally would help Liberal Party fortunes.
“The Elbows Up crowd tends to favor retaliation because it is insulated from the effects through its secure public sector employment and pension income.”
Bingo!!
Great post, Doug.
I work in finance and I am invested in Canadian stocks…it is more about your priorities and time horizon…hard to build Canada better if your sovereignty is diluted and every year you have to pay more to the US. Also look at their international relations and what is working. Japan is a good example of a country looking to ramp up investments like Canada but is now increasingly held back by the US (a very lopsided trade deal, and currency intervention designed to limit US debt yields).
In the essay, I think the author did a good job of saying protectionism and tariffs are good for no one.
There is no winner. We just make things worse when we retaliate.
Canada may have discovered its secret weapon in the trade war with the United States: potash—the potassium-rich fertilizer American farmers need to grow corn, soybeans and other crops. The United States gets roughly 88% of its imported potash from Canada, Canada could try a 50% export tax, or export duty, on potash headed south.
Suddenly, farmers across the Midwest would discover that the trade war has arrived at the local fertilizer dealer. This tariff will hit US right in the middle of the Trump heartland. Who ever thought that potash would be a new chapter in “Art of the Deal.”
Still can’t wrap my head around what could prevent Canada from making up the financial losses from the U.S. by increasing trade volume with Europe—especially given that Russia has essentially kicked itself out of the equation.
Don't sleep, take the sweet spot!
USA asked for too much or Canada walked away? Knowing what and who we are dealing with, I'll go with Carney. We will just have to wait for another president hopefully a Democrat. Will it be difficult, yes but being 51st state or the US telling us which laws we have to pass or delete and who we trade with. And excellent history lesson.
This article just proves that if we don’t learn from the past, we are doomed to repeat it.
The trade war with Canada is on. Canadian trade experts have been searching for their version of China’s “rare earth minerals”—the one commodity so essential to America that Trump would have no choice but to surrender. They found it: Canadian hockey players.
Canada is threatening to prohibit Canadian hockey players from playing for American NHL teams. This will be the end of professional hockey. The Stanley Cup will become a museum piece. How long can Trump deny hockey fans their true passion? How long before Trump needs to call Prime Minister Carney to end this silly trade war ?
We are still far more internally fragmented than we should be while of course also respecting provincial and territorial sovereignty
And then consider our hyper gdp dependence on housing /banking and gdp. Is that the real reason that one dwelling format known as the condominium/strata keeps getting sidelined on a menu of cost mitigation’s other dwelling format can harvest be they commercial eg tax write off for pbr corporate landlords. Or the eco retrofit grants to freehold but condos especially mid and high rise keep being partially or wholly sidelined from despite the lurking automatic liens and that approval of mortgages uses one set of data but the defacto eviction pressure comes from a completely different format
First Nations issues still need addressing but has anyone bothered to notice that there are other inequities that also need fixing if we wish to be a strong nation ?
And our human rights bodies look elsewhere as apparently their priority due to abnormally really tight budgets depends on number of files closed rather than delivering on their codes mandate despite the mantra of housing being a human right ?
So yes we need to stand up for ourselves and negotiating under threat of worse is hardly “free” so now the decision to “just let them” has been made and maybe during this interval Canada can focus on doing right and integrating a more equitable approach to how it does to its own
The us was desperate for a deal or why the intimidation and last minute add ons Presuming and hoping we would continue to cave
The article providing historical context was excellent but now to make Canada robust we need to address some pressing internal inequities that we can address but only if the political will to do so does as well.
I could have asked AI to write this myself, whats the point?