debut: 2/16/17
39,564 runs
Trump’s trade war with Canada has backfired on America.
Canadian Prime Minister Mark Carney will visit US President Donald Trump at the White House on Tuesday in what could be one of the most contentious meetings between the neighboring countries’ leaders in years.Canada is America’s second-biggest trading partner and one of its closest allies on many fronts, from national security to commerce. But Trump’s aggressive tariff blitz in recent months has undermined that longstanding relationship — and inadvertently helped Carney consolidate political power.Canada and the United States have shared free trade for decades, but Trump’s sweeping tariffs upended that symbiotic relationship — and the damage Trump’s trade war has inflicted on America is severe, as well.
Canada accounts for 14% of all trade, according to government data. Canada is also the top country the US exports goods to — $349.4 billion in 2024 — with the biggest exports being energy and cars.Meanwhile, the United States is Canada’s top destination for its exports — more than three-fourths of them — which include softwood lumber, steel and aluminum. About 30% of the softwood lumber consumed in the United States is imported, with Canada accounting for more than 80% of those imports.
Trump’s trade war is already weighing on American businesses of all sizes. General Motors CEO Mary Barra said in an interview with CNN last week that tariffs will cost her company between $4 billion and $5 billion this year.The Federal Reserve’s latest Beige Book report, a periodic compilation of survey responses from businesses across the country, offered various accounts of American businesses noticing fewer Canadian tourists — which is taking a hit to their bottom line.
Canadian Prime Minister Mark Carney will visit US President Donald Trump at the White House on Tuesday in what could be one of the most contentious meetings between the neighboring countries’ leaders in years.Canada is America’s second-biggest trading partner and one of its closest allies on many fronts, from national security to commerce. But Trump’s aggressive tariff blitz in recent months has undermined that longstanding relationship — and inadvertently helped Carney consolidate political power.Canada and the United States have shared free trade for decades, but Trump’s sweeping tariffs upended that symbiotic relationship — and the damage Trump’s trade war has inflicted on America is severe, as well.
Canada accounts for 14% of all trade, according to government data. Canada is also the top country the US exports goods to — $349.4 billion in 2024 — with the biggest exports being energy and cars.Meanwhile, the United States is Canada’s top destination for its exports — more than three-fourths of them — which include softwood lumber, steel and aluminum. About 30% of the softwood lumber consumed in the United States is imported, with Canada accounting for more than 80% of those imports.
Trump’s trade war is already weighing on American businesses of all sizes. General Motors CEO Mary Barra said in an interview with CNN last week that tariffs will cost her company between $4 billion and $5 billion this year.The Federal Reserve’s latest Beige Book report, a periodic compilation of survey responses from businesses across the country, offered various accounts of American businesses noticing fewer Canadian tourists — which is taking a hit to their bottom line.
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