In his most recent outline, Promethean Action PAC’s Mike Steger puts the U.S-Canada trade conflict into an accurate context where China is really the enterprise to gain or fail. This is a very well presented segment worth watching.
CTH readers will note our long track of this dynamic. In short, as NAFTA predictably evolved, and as the U.S. manufacturing base was deconstructed, suddenly things shifted. Canada and Mexico became important as entry doors into the U.S. consumer market for the products outsourced by the destruction of the American manufacturing base.
Steger appropriately uses the auto-sector as an example because it is the easiest sector to quantify damage. By playing the long game, China has thoroughly compromised the EU and U.K auto market. In 2025 China exported 1.2 million vehicles into Europe. Europe only exported 200,000 vehicles into China; a net trade deficit of 1 million vehicles in Beijing’s favor.
Chinese cars now represent over ten percent of all EU vehicles on the road, and this is only the beginning stage of the collapse of the EU industrial base that Germany and Brussels have only recently started to grasp. The pace is irreversible at this point for Europe, and now China has turned their attention toward Canada. This is why the U.S-Canada trade conflict matters!
Canada is the entryway to do in North America what China has done in Europe. WATCH:
.
In the graph below, look at how fast things move once the foothold is established by policy. This is stunning.
