U.S. officials are threatening major changes to a trade agreement with Mexico and Canada that could upend the way business is done and leave Canada on the outs.
The Trump administration has a list of things it wants Mr. Carney to concede, including longstanding grievances about protected industries in Canada, such as the dairy sector. Another pressing issue for the U.S. administration is the fact that liquor distributors controlled by Ontario and other provincial governments in Canada pulled U.S. liquor off their shelves last year, in retaliation against Mr. Trump’s tariffs on Canada.
Trump administration officials have also been irked by Mr. Carney’s global charm offensive as he seeks to bolster Canada’s trade relationships with other countries, including China. Responding to a modest tariff deal that Mr. Carney struck during a visit to Beijing last month, Mr. Trump threatened to impose 100 percent tariffs on Canadian goods, and claimed that China would “take over” Canada and even ban hockey.
. . .
Mr. Trump and his advisers have indicated that the three-country pact could be scrapped altogether. Instead, the United States could end up with bilateral deals with Canada and Mexico, the advisers have suggested. The White House did not respond to a request for comment.
And he thinks Mexico is going to go on with a trade deal without Canada.
I’d assume Mexico like us is fully dependent on the US for access to USD. All he needs to do is threaten tariffs, whose going to play chicken with their entire economy?
Not that anyones happy about it, its a sad reality. When the US did protectionism with the Smoot Hawley tariffs some say it caused a world war, as every country owes debt in USD and went into a debt crisis.
Oh well I guess we’d best all surrender then.
Ya that’s pretty suicidal as a country, and all to protect a few monopolies that shouldn’t exist.
Even if we did inevitably diversify away from the US, who takes 80% of our exports, its going to take a decade. Its not going to be pleasant.
Are you talking about protecting american monopolies that shouldn’t exist? Or are you buying/spewing heritage talking points?