The reality of the U.S-Canada economic relationship and the position of President Donald Trump is not that difficult to understand if you take all the disparate datapoints and quotes from Trump and put them into context.
During a White House meeting with Mark Carney, President Trump essentially told the Canadian Prime Minister why he was in no hurry to get to a deal with Canada.
The 35% tariffs on non-USMCA goods are going to trigger on August 1st, because the main priority of Trump -looking toward Canada- is to dissolve the USMCA.
During the May 6th oval office meeting with Carney, President Trump was discussing the USMCA and said: “As you know it terminates fairly shortly. It gets renegotiated fairly shortly.” … “This was a transitional deal, and we’ll see what happens, we’re going to start renegotiating that” … “I don’t know if it serves a purpose anymore.” …. “And the biggest purpose it served was, we got rid of NAFTA.”
To understand why President Trump wants to dissolve the USMCA {SEE HERE}. To understand the technical value of dissolving the USMCA {SEE HERE}. It’s not a complicated economic analysis; it’s common sense.
Currently, approximately 60% of the traded goods and services between the U.S. and Canada are covered by the USMCA; the remaining 40% will be hit by tariffs on August 1st at a 35% rate.
When the USMCA is renegotiated, predictably dissolved in favor of two bilateral trade agreements – one for Mexico and one for Canada, all of the U.S-Canada trade sectors will be part of the enlarged free trade negotiation. As a result, there is absolutely no motive to engage in trade discussions now.
♦ President Trump’s position is essentially to talk about the details when the USMCA is dissolved; hence, the ambivalence.
Politico is noting the Canadian trade team simply doesn’t understand this. “[D]espite months of back and forth, the terms for a deal have not yet been set, a senior government source said, with the White House informing the Canadian side that Trump is more focused on securing deals with other partners like India.”
(Politico cont..) […] Earlier this month, Canada conceded that any deal with Trump is likely to include tariffs.
Carney’s government wants stability around the tariffs Trump invoked using Section 232 of the Trade Expansion Act.
They are crushing Canada’s auto, steel, aluminum and forestry industries. Trump also plans to hit imported copper with 50 percent tariffs starting Aug. 1 — with semiconductor and pharmaceutical imports likely to follow.
Canada ultimately wants the tariffs eliminated or lowered to a fixed level that doesn’t fluctuate, the senior government official said. “If we know what world we’re going into, then we can have better plans and policies to attract investment.”
Canada’s premiers say the unpredictability is punishing the economy.
“Private investment is not growing because everybody’s on pause,” Quebec Premier François Legault told reporters last week. “They are waiting to see what will happen. I’ve been in business — it’s about the worst thing you can have is uncertainty.” (read more)
The certainty the Canadians are looking for can be found easily if they stop pretending.
(1) U.S. tariffs against non-USMCA products from Canada will go into effect on August 1st. (2) As soon as the USMCA is reopened, it will be dissolved. (3) After the USMCA dissolution, a bilateral free trade agreement between the USA and Canada will be negotiated.
Every current effort by Canada to change the nature of the trade system, between now and the reopening of the USMCA (to dissolve it), is futile.
Again, I’m not exactly sure why this reality is so challenging for the Canadian govt to understand.
“So, you’re saying there’s a chance.”
Get in the long trade line Canuks,… The Prom Queen gets loads of date offers,… so go adjust your weggie and sit down, Socialists.
If the Pretenders rock band wasn’t from Britain you could have guessed Canada without blinking an eye. The sinking of the Titanic is what’s coming and you still have the band playing on the main deck. To our fellow Canuck Treepers God Bless. AT least you all know to be orderly, grab a vest and get into the lifeboats.
The Pretenders weren’t all from Britain. Chrissie Hynde, their lead singer was from Akron.
“I went back to Oh-io,,,,” .
She even let Rush use her song as an opener, because her folks liked his show. She
probably disagreed, but was gracious about it.
wonderful band……….
I’m Canadian, went to the grocery store the other day for pickles, on the shelf was one Canadian brand with a sign stating due to tariffs these products are no longer available. So why didn’t they just raise the prices to include the tariff instead of blocking the sale of said products? It appears the future could only include made in Canada products but that is a shell game because Canada only requires 30 percent of a product contain Canadian material including labels, jars, boxes etc.
Easy,…. The Canada Govt Assures us “This time, Socialism will work fine!”
You bet, for Them alone, and not for very long.
Yep, we are blessed with three choices only via banking, internet/cable etc. Then we have the dairy cartel out of Queerbec, we are not a free people we are wards of the socialist state.
I feel for ya, Monica. I was once a “ward” of the California socialist state. I was born a free American, and ended up in an authoritarian socialist (a.k.a. Communist, but socialists are always, ultimately, authoritarians, because socialism only “works” via force) nightmare.
After trying to revert California back to it’s republic origins for 20+ years, I had to leave it for the free US state of Idaho. Now I’m fighting that same fight, here in Idaho. The fight never ends, because the socialist “true believers” (i.e. those who feel entitled to others assets, and who are certain they know how to spend them for the “betterment” of all – particularly themselves) never quit. Their “ends” FEEL so good, they just gotta be true. Their hope for a utopian world must absolutely justify any “means” they use to get there, including stomping on the poor serfs, like you and me.
God bless ya, and I mean that honestly. I hope to see a free Canada in my lifetime, and .. uhh .. I’m pretty old already. 😁 Canadians deserve freedom, and that their God given human rights, not be trampled by “well-meaning” despots. Keep fighting. Never give up. Never give in. (And … uhh… run to some place like Idaho when the battle is lost. 🙄😖)
I feel for you too. I’m stuck in communist NY. I’m rural and they double our prices and choices mean driving to the city. Stores gouge too. It took a good 20years just to get a different internet provider that didn’t shove CNN down our throats and charge us double for what I get now. Solar and wind are still taking over our beautiful landscape and electric is a conglomerate that doubled prices in less than 4 years, even worse for those who got smart meters.The were sneaky about installation but couldn’t find my house, so I opted out before they could! Paying a fee for that. Now we have our mortgage fraud Leticia James trying taking our President to court to keep him out of the food stamp fraud database for illegals and a commie running for mayor. It’s a sh’tshow here too!
I was at NoFrills. Only pickles from India available. Food prices are insane. Orange Juice from Florida absolutely insane because the elbows up crowd stands firm in fighting back with our own tarrifs not realizing that they are only hurting themselves.
I firmly believe that we are watching God “give them over to a reprobate mind.” Canadians can’t see the truth because God is intentionally blinding them.
God was so clear that He would bless the nation that blesses Israel. I knew that when Trudeau began his campaign against Israel we were heading for poverty.
If I could scream from the house tops to my US brothers it would be “Watch Out!!!” Moral decline in a nation always produces leaders that seek destruction. It is God’s way of pouring out His wrath. Such leaders always seek immigration to destroy the culture and prosperity.
Invariably they are either by choice or demographic called to denounce Israel. Then God pulls out all of the protective hedges. That nation plunges into poverty and chains.
DD
the Talmud cultists were never Israelites.
Antipater the Edomite created Judea, after killing King John Hyrcanus II, installing Herod as the illegitimate king and giving the Edomite Pharisees control of the Sanhedrin.
Special Dispensation is a branch of the identity theft scam begun by Antipater and Herod.
We are cursed now because we are supporting the Synagogue of Satan, the Talmud cult, which say they are “chosen” but were never Judahites.
That’s an interesting summation. I could never follow all those people in the Old Testament. I remember Herod but that’s it. It would take serious dedication and years of study to understand your indication, but is it subject to interpretation?
what interpretation?
it’s a fact that Antipater, Herod and the Pharisees were never Hebrews.
Jesus Christ even made them admit that they had never been slaves. John 8:33
that means they had never been captive by the Egyptians or Babylonians.
it does not take genius, just plain understanding of the usurpation that happened years before Christ’s birth. the old covenant was dead before Christ was born.
the Mamilla Pool Massacre 614 AD was the final end to any true Israelites. that genocide of the Nazarene Christians proves that the Talmud cult operates by pure revenge.
the are Esau’s children. they are the people that believe they had been cheated.
but they can’t just kill all of the real Hebrews to claim God’s promise.
that’s why they are the Synagogue of Satan. they think that they can just murder to seize a birthright that their patriarch sold for soup.
Comeback! give the astonishing ‘credit’ to the people that are making things happen.
Well being the same situation after Trump leaves Office, this nation is abandoning God and we will pay the price very soon.
Have you seen what’s happening with our youth? REVIVAL is beginning! Holy Spirit is moving on college campuses, local youth groups are growing, this generation is decidedly pro life, kids are hungry for something real and discovering that Jesus is the answer. Where sin abounds, grace abounds even more. Get involved and keep praying!
At what point does “elbows up” become “The Chicken Dance”?
We also cancel Christian singers, and demonize Christians while flakes burn down over 200 churches for sport. I loath the elbows up crowd, sniveling liberals with a sense of superiority.
Story of Nebuchadnezzar comes to mind! Know your thinking/comments are with our Lord DD. Well stated. 😎🙏🏽
They want you angry at Trump through inconvenience to you. I’m reminded of the money Obama spent to “close down” public places because no budget agreement could be made in congress. It is FOR SHOW. They think you’re stupid.
I love Trump, 99 percent of my neighbors hate him to the point they look possessed when they blame him for all of life’s ills. I can always make pickles but when corporations collude to deny you choice that pistes me off. Aye it’s Canada, we have three choices for internet/cable/phone, we have three choices for grocery stores, we’ve gone so far left it’s frightening to behold.
Just made 4 batches of fridge pickles in 2 weeks, 1 is gone and after eating them we all agree the store bought ones stink!
And one choice for medical services? Probably some hyperbole mixed in with the horror but government offering and suggesting suicide as a medical treatment?
Canada is imposing 25% tariffs on a wide range of U.S. food items in direct response to U.S. trade actions. USA started the tariff war not Canada
Methinks the Canadian triple-digit tariffs on USA dairy products predate the first Trump administration. You should see all the Canadians loading up their vehicles with milk from Washington and Idaho Costco stores and hauling them back over the border. I’ve been watching it for over 15 years. Washingtonians have been known to complain about Canadians emptying American shelves of milk in some locations, leaving nothing for Americans to buy.
Quote from internet search:
I’m seeing some chatter on the web about Canada and Mexico joining to form the Northern Corridor, or the North Belt — doing trade that bypasses the U.S. and enriches their economy. It seems like a recent development, and I had a hard time finding info about it — but if Canada or Mexico is slow to negotiate with us, it may explain why, if they are in cahoots to do an end run.
https://torontolatinos.com/canada-mexicos-trade-corridor-could-cost-the-u-s-245b/
P.S. This is the meme that a TDS friend posted about it, which is making the rounds. (Hope you can open it.):
https://x.com/MadelnCanada/status/1948514878706126885
Tell your TDS friend that MX/Canada just don’t want to loose their illegal ChiCom sponsored toxic Fentanyl export biz to the USA.
Wars have started for far less.
I’m not telling my TDS friend anything. I just read and scroll with any of my TDS friends — it isn’t worth the hassle. I just posted it as a point of info.
Point of info well taken.
“lose” lol
TY,.. that’s correct sp,… but then loose rhymes with noose,… Somethiing many of these drugs traffickers both in and out of Govt deserve for destroying far too many American lives.
So basically they’ll be selling Chinese junk to each other, while the US builds manufacturing for ourselves. Sounds like a good plan!
I wonder how they will transport all this stuff to each others market??? By sea, by air.
Cause people in Mexico have so many pesos to spend?
Probably because they grow a lot of crops we like, create a lot of products we buy, & build stuff we think we need.
The purpose of good US government is to assure the standard of living of its’ citizenry is maintained and to avoid tyranny through the prohibition of billionaires.
Just a thought.
OK! Things that don’t make sense for $200?
If the United States is out of that particular loop, Canada and Mexico can bring in other equal partners like Somalia, Fiji, Monaco and Ethiopia. Canada and Mexico will be like 2 people in a restaurant sitting for hours after the meal waiting for the other to pick up the check.
I’m very curious to know just how they propose to pull it off without using the US highway system.
” …why President Trump wants to dissolve the USMCA…is not a complicated economic analysis; it’s common sense.”
…belies the fact that, to the liberal mindset, ALL economic analysis is complicated!
We have to remember that the trifecta of liberal power originates in movie studios, (Disney, Universal, Paramount), that create a massaged version of news, (ABC, CBS,NBC), that is as far removed from reality as the movies they make!
Mark Carney should stop watching Batman and start reading CTH!
Canada buys more US made autos than any other country
While the US is the largest importer of Canadian goods, it is a relatively small market for US goods.
With Canada trying to play hardball to the point of being insulting and boycotting US goods, failing to make any real effort to secure their border to prevent illegal immigration and prevent Chinese produced chemicals to make fentanyl from entering the US, transhipping Chinese made products into the US claiming they were produced in Canada, and their long term failure to spend anything more than 2% of their GDP on defense, I don’t see Trump having any motivation to cut them a break of any kind.
Canadians are going to have to keep their “elbows up” working their asses off just to keep food on the table as a deep recession looms.
When I was trucking into Canada nearly every load I hauled in originated in Mexico and I can remember only a couple times that I dead headed (hauled an empty trailer) back into the US.
I feel sorry for the hard working families of conservative inclination.
The idiot liberals I have no pity on because they are the reason for the coming storm on Canadian welfare government.
Elections have consequences liberals.
Feel the Burn.
I don’t know if anything will come from it but several of the western provinces are trying to move towards succession.
Canada is like that 30 year old dude who lives in his parents basement, has never held a job and depends on his parents for full support. When they tell him to get a job and get out, they throw a tantrum. Stick it to the Canadian moocher.
Great summary of the facts of this matter. Sundance puts out the real and logical facts on all subjects.
Thanks Sundance
Canada thinks because they are a “Northern Border Friend” that they should enjoy special treatment.
Ha Ha Ha HA. Go eat hockey pucks! MAGA
With all the Chinese in Canada and all the Muslims in the UK and the EU it’s time to back away.
They are are no longer going to be our best friends going forward.
Hmmm. I cannot seem to recall when Canada was ever our best friends.
This is so exciting.
Please pass the popcorn and refill my drink.
Wondering why? Let me count the ways:
(1) They don’t hold the cards. Trump does.
(2) Canada’s provinces are turning on the confederate government due in no small part to the abuses they suffer from the confederate government
(3) Alberta, for example, seeks trade deals on its own. Not sure how that works out, but if they exit the Canadian confederation, then there’s the answer and possibly the 51st state of the USA.
He has EVERYTHING to gain by letting their own failures play out. And if Canada’s confederate government does anything heavy handed to prevent their departure? The +30% in favor of leaving Canada numbers will rise.
They also tried to do an end around Trump by going to Congress. That probably made things worse.
Territory, not state. At least, not yet…
I agree, but as I was reading in 1 Timothy 2:1-4 today, Paul was admonishing us and instructing us as follows: First of all, by prayer, supplications, and intercessions, be given for all men, for kings, and for all that are in authority, that we may lead a quiet and peaceful life in all godliness and honesty, for this is good and acceptable in the sight of God, our Savior, who will have all men to be saved and to come to the knowledge of the truth.
The failure of Canada and the failure of the United States is not at the hands of its leader so much as it’s at the hands of us believers, including myself. How much time do we spend praying for our nation and for our leaders and for an awakening to happen in our nations? There have been two great awakenings in the United States. The first one is why we have the Constitution and the Bill of Rights; the second one is why slavery was ended. America and Canada need a 3rd great awakening, a reformation where the culture is changed not by the laws of man but by a changed heart through a born-again experience in Jesus Christ .
2 Chronicles 7:14 If my people, which are called by my name, shall humble themselves and pray, and seek my face and turn from their wicked ways, then I will hear from heaven and will forgive their sin and heal their land.
The USA is in the midst of a 3d great awakening. How do we know this?
PDJT has this country winning like never before. Look around at the large and many revivals going on in the country. This country was saved in this last election by God taking the blinders off from enough people,,, who just a couple of years ago would never have joined or voted Trump/MAGA. Not oddities.. Gods hand and will at work. Amen
Amen!
As always, and should ALWAYS be pointed out, communism depends on capitalism to feed itself.
We have two socialist neighbors. The one to the south relies on tourism, the drug trade and other remittances from the US. The one to the north can’t stop itself from feeding off of the lower-populated provinces which actually powers the confederation’s economy. They take the money from the producing provinces to give to themselves, the ruling provinces and because of “climate change” they are further punished for daring to be productive. But on top of that, they want to tariff US imports for even MORE money. Take away the money from just ONE productive province and Canada collapses. Take away the money from tariffing the US? Canada collapses.
Canada is F’d. They did it to themselves because their “democracy” is a terrible model. The vast majority of the population of Canada is in the lower-producing regions who continue to vote for “themselves” at the expense of the other Canadians in productive provinces. Is it hard to understand why, when everyone else sees why Canada is F’d, that Alberta and Saskatchewan want to leave and possibly become part of the USA?
It is really interesting how Trump leverages the US economic might to not only MAGA but to bring other countries into alignment with his goals. He fights the war economically and makes full use of American strengths. This is so much better than fighting with military force. He comes across to me as a good man. His agenda is America first and that’s as it should be but he shows consideration for all ordinary law abiding people. His deal with the EU is going to mean less Russian oil purchased. Russia is not playing ball with Trump so Trump is going to make financial consequences for that. Just like he does with China and every other country. It is amazing to watch him always come out on top. I believe this is a God thing. Trump is human and I believe there is no way he would be enjoying the success and protection he has without God’s hand in it. This is an answer to people’s prayers and not just American’s prayers.
Well stated, Concerned. As we call him around here: VSGPDJT = Very Stable Genius President Donald John Trump. He truly is amazing, and our country is truly blessed to have him. Thank God he loves our country and the American people. That’s what’s been missing in most of the last several presidents. I thank God for him every single day.
I also say a lot that the U.S. was going down fast. Think of us as an airplane going down and the masks fall — we adults have to put on our masks to save ourselves so that we can put the mask on our children. That’s what the U.S. is doing. We have save our country before we can help others.
Russia knows as long as the 4th branch of the US government operates, nothing Trump promises means anything so long as those flying monkeys of the 4th branch are able to operate.
Trump’s “running out of patience with Putin” message is more red october messaging. Trump decided to sell military things to the EU putting the weight on them if they want to deliver to Ukraine (which they won’t want to) . The message appears to be “do whatever you think you need to do, I’ve diminished their capacity to fight back and now Z’s in trouble and may be replaced by the 4th, so make peace or take them over but do it quickly before the 4th finds a way to mess things up further.”
Again, I’m not exactly sure why this reality is so challenging for the Canadian govt to understand.
“It is difficult to get a man to understand something, when his salary depends on his not understanding it.” ― Upton Sinclair
(And also, when you know damn well you are utterly incompetent at what you would have to do when you did understand it.)
Meanwhile – to mix metaphors – the can has gotten too big to kick down the road but our looter class are all still standing around praying the horse will learn to sing.
Dear Canada – you get what you “vote” for…rise up and MCGA or become EU-West….you have one more chance I figure.
According to the USTR our trade with Canada is virtually even! In other words Canada buys as much goods and services from the U.S. as we buy from them so a 35% tariff war both ways is going to be a wash…
Canada Trade Summary per USTR:
U.S. total goods trade with Canada was an estimated $762.1 billion in 2024. U.S. goods exports to Canada in 2024 were $349.4 billion, down 1.4 percent ($5.0 billion) from 2023. U.S. goods imports from Canada in 2024 totaled $412.7 billion, down 1.4 percent ($5.9 billion) from 2023. The U.S. goods trade deficit with Canada was $63.3 billion in 2024, a 1.4 percent decrease ($926.9 million) over 2023.
Trade in services with Canada (exports and imports) totaled an estimated $140.3 billion in 2023. Services exports were $86.0 billion; services imports were $54.3 billion. The U.S. services trade surplus with Canada was $31.7 billion in 2023.
Free Trade Agreement
The United States and Canada, together with Mexico, are parties to the United States-Mexico-Canada Agreement (USMCA), which entered into force on July 1, 2020. The USMCA, which replaced the North America Free Trade Agreement (NAFTA), undergirds the nearly $2 trillion in U.S. goods and services trade within the region, with comprehensive rules that are subject to dispute settlement.
https://share.google/kcZ7OERuzCqSaa9tH
Because the Marxist liars that run Canada like Europe have to keep pretending and lying
They aren’t going to change doesn’t matter what Trump does
The left thinks like jail inmates or communists, they are right, and everyone else is the problem
Despite claims by Canadian officials that they are working fast for a deal, Canadian trade teams are famous for moving with glacial slowness. The strategy appears to be to bore the opposite trade team until they just sign something to get away from Canada.
Canada officials are still living in the past on their announcements.
Doug Ford for example has been punched to the ground in his street fight with the US, but is now down in the dust with a black eye threatening to fight back with reciprocal tariffs etc. if he doesn’t get the deal he wants.
With the Liberal WEF Carney government negotiating a new free trade deal .
“Canada is fooked.”
Canadians have a wide range of banking choices, including more than 40 banks directly serving consumers from a total of 79 to 80 domestic and foreign banks operating in the country. Beyond these, Canadians can also access products and services from credit unions, fintechs, and digital- or neo-banks, further expanding their options.
Love that meme, Sundance!
Canadains are just stupid and lazy people. We saved them twice from them ending up speaking German and they cant play hockey anymore. If it weren’t for oil all they would have to trade is ice and snow.
We don’t need them. We have supported there free education and heathcare to long.
MAGA
I cannot find any sources that say the USMCA is set to be renegotiated any time soon except maybe 2026. So are you saying there will be no change after Aug 1st except a higher across the board tariff?
Carney wants economic collapse. And to blame trump for it.