Summary
Donald Trump initiated controversial tariffs, formally launching a trade war despite opposition from allies and widespread criticism among policy experts.
He imposed a 25% tariff on Mexican and Canadian imports, with additional charges on Canadian energy and Chinese goods under emergency powers.
Critics and experts lambasted the decision, arguing that the tariffs severely penalize American industries, undermine trade agreements, and reflect poor economic judgment.
Observers predict lasting repercussions for international relations and domestic markets.
If you are a Canadian or Mexican please contact your representatives and have them do a more targeted tariff plan. Target American red states directly! Oil tariffs should be universal but anything made in red states and counties should have a 100% tariff. Force industry and goods to flow through blue areas and Trump’s support will crumble.
As a Canadian, I’m all for targeting red states where possible but I fully expect the blow back to hit all Americans. Tariffs are a relatively blunt instrument. If we put a 25% tariff on softwood lumber for example, I don’t think we get to say that only purchasers in red states have to pay it. Every American purchaser has to pay an extra 25% for those 2x4s, or car parts, or potash, or crude oil, or electricity, or aluminum, or steel, or raw minerals. Those purchasers will inevitably download that cost onto their customers, which means that ultimately American consumers collectively are going to foot the bill.
Some of these Canadian response measures will even come back to harm Canadians! There are plenty of instances where Canadian companies sell raw materials to US companies and then Canadian consumers buy back finished products that incorporate some of those materials. As such, some of the added cost of Canadian tariffs is going to be paid by Canadian consumers. Regular citizens on both sides of the border are in the some boat, and Trump put us there with his stupid, stupid choice. Canadian or American, we would all do well to remember that because I’m sure that Trump would love nothing more than to see us divided and hating one another.
I’m sorry for the economic damage that this fight is going to cause all of us, on both sides of the border. Please remember that Trump started this fight, and Canada will not roll over. I think Liberal leadership candidate Mark Carney summed it up best in this BBC interview. The whole interview is worth a watch, but the link goes to the highlight to which I’m referring. Here’s the transcript of that highlight: