The tariffs have been met with deep anxiety in Canada, whose majority of exports are sold to companies and clients in the US. Officials predict up to a million job losses if a 25% across the board levy went ahead, while economists warn that a recession is imminent if they persist.
Even with the tariffs being scaled back temporarily, the uncertainty alone is hurting both American and Canadian economies, says Rob Gillezeau, an assistant professor of economic analysis and policy at the University of Toronto.
“The most sensitive thing to uncertainty is business investment,” Prof Gillezeau says, adding that firms are “not going to want to spend a dime anywhere” until they have some clarity.
That trepidation is also seen in the stock market, which had erased virtually all its gains since Trump won the presidency in November.
million job losses if a 25% across the board levy went ahead, while economists warn that a recession is imminent if they persist.
Obviously this will harm the economy initially, probably much like when Finland lost most of Nokia. (Nokia was a huge part of Finish economy and jobs)
But Finland rose again quickly, and Canada will too, because Canada is a country that is very well liked in most of the world, and will have no problem increasing trade elsewhere.
There will be a transitional period, but on the upside also greater independence from USA.
Luckily Canada does not suffer from Dutch disease like Finland did. So Canada will be more flexible in the ways it can recover quickly.
USA on the other hand, will not be in similar position to recoup their trade losses with, Mexico, Canada, EU, UK and China.
So USA will probably face a harder recession than Canada.
And that’s probably Trump’s plan, to weaken the entire west, including USA, NATO and of course Europe to benefit Russia.
On top of that, I think Canada could make a trade agreement with UK. After Brexit, UK has been looking for ways to mitigate their economic predicament, so old colonies like Canada seem like a good place to start. UK really needs the deal too, so Canada could be in a good position to set some conditions.
If Canada manages to get well connected, this isolation nonsense is only going to hurt USA in the long run. Future presidents sure have their work cut out for them. Repairing this kind of damage could take decades.
These sorts of preparations speak about the uncertainty mentioned in the article. That kind of uncertainty also hurts both countries. I don’t think there’s any net benefit to anyone.
I know you’re talking “net benefit” in terms of money, but your comment made me think. Not trying to be oppositional with mindless toxic positivity here, but I find myself really hopeful that it’ll reduce restrictions of trade between our provinces and territories, and help free us from the fuckup of NAFTA. Obviously nobody with a lick of sense and humanity wanted this, but it’s what we’ve got to deal with. So until the USA smartens up I figure we have to look for how all this disaster capitalism can possibly be siphoned to the common good.
I’m hopeful that Canada’s trade relationships with countries that are committed to improving their human rights records can be strengthened.
I’m relieved our politicians are talking about the responsibilities and trade agreements we already have with Indigenous nations up here, as well as our obligations to be better neighbours working in a better way for reconciliation.
I’m heartened that this is laying ground for Canadians to loudly claim an anti-nazi, pro multiculture, pro socialist identity, especially after all the “Canada is Broken” Russian convoy nonsense. The traitors new “Canada First” dogwhistles are gonna get amplified again real soon, so a reality reminder before the next onslaught is really helpful.
The trick will be paying less attention to the hourly USA tweetstorms and more to the big business bully boys who’ll absolutely line up to wave the maple leaf and bleed our public funds into their private purses like they did with all that covid funding (looking at Ford).
Some highlights I found interesting:
Obviously this will harm the economy initially, probably much like when Finland lost most of Nokia. (Nokia was a huge part of Finish economy and jobs)
But Finland rose again quickly, and Canada will too, because Canada is a country that is very well liked in most of the world, and will have no problem increasing trade elsewhere.
There will be a transitional period, but on the upside also greater independence from USA.
Luckily Canada does not suffer from Dutch disease like Finland did. So Canada will be more flexible in the ways it can recover quickly.
https://en.wikipedia.org/wiki/Dutch_disease
USA on the other hand, will not be in similar position to recoup their trade losses with, Mexico, Canada, EU, UK and China.
So USA will probably face a harder recession than Canada.
And that’s probably Trump’s plan, to weaken the entire west, including USA, NATO and of course Europe to benefit Russia.
On top of that, I think Canada could make a trade agreement with UK. After Brexit, UK has been looking for ways to mitigate their economic predicament, so old colonies like Canada seem like a good place to start. UK really needs the deal too, so Canada could be in a good position to set some conditions.
Absolutely, I have no doubt they will make a trade agreement soon. Canada and EU already has one, but maybe it can be expanded?
If Canada manages to get well connected, this isolation nonsense is only going to hurt USA in the long run. Future presidents sure have their work cut out for them. Repairing this kind of damage could take decades.
Proof that the rug can be pulled out from under you is a good sign that you need to prepare for that.
These sorts of preparations speak about the uncertainty mentioned in the article. That kind of uncertainty also hurts both countries. I don’t think there’s any net benefit to anyone.
I know you’re talking “net benefit” in terms of money, but your comment made me think. Not trying to be oppositional with mindless toxic positivity here, but I find myself really hopeful that it’ll reduce restrictions of trade between our provinces and territories, and help free us from the fuckup of NAFTA. Obviously nobody with a lick of sense and humanity wanted this, but it’s what we’ve got to deal with. So until the USA smartens up I figure we have to look for how all this disaster capitalism can possibly be siphoned to the common good.
I’m hopeful that Canada’s trade relationships with countries that are committed to improving their human rights records can be strengthened.
I’m relieved our politicians are talking about the responsibilities and trade agreements we already have with Indigenous nations up here, as well as our obligations to be better neighbours working in a better way for reconciliation.
I’m heartened that this is laying ground for Canadians to loudly claim an anti-nazi, pro multiculture, pro socialist identity, especially after all the “Canada is Broken” Russian convoy nonsense. The traitors new “Canada First” dogwhistles are gonna get amplified again real soon, so a reality reminder before the next onslaught is really helpful.
The trick will be paying less attention to the hourly USA tweetstorms and more to the big business bully boys who’ll absolutely line up to wave the maple leaf and bleed our public funds into their private purses like they did with all that covid funding (looking at Ford).