April 27, 2017

The trade war is on. Can Trudeau trump the Donald?

Brian LilleyArchive

Wednesday looked like a dark day for Canadian business. Not only was the U.S. cutting taxes to become competitive, there was talk that the Trump administration would sign an executive order to kickstart the process of withdrawing from NAFTA

Not re-negotiating, but withdrawing. If the Americans pull up the drawbridge on NAFTA, it will make spats over milk and softwood lumber look minor.

Even if you think the trade deal stinks, the reality is our current economy is built upon the favoured access it gives us to the American market. Take that away, the speedy customs processing, the lack of tariffs and Canada’s economy would be in for a world of hurt.

So, it was good the White House walked that back late Wednesday. Negotiations for a new deal should start soon and depending on how things go it could be good or bad for Canada.

Whatever you think of Trudeau and the Liberals, for the sake of the country and jobs you have to hope that he gets a good team of negotiators.

But NAFTA and what may happen there is just part of the economic woes Canada is now facing due to the Trump administration.

Watch as I explain why these moves could have new businesses reconsidering which side of the border to set up their new plant or business on.

Do you go on the U.S. side where you’re guaranteed access to the U.S. market regardless of what happens to NAFTA? Where the tax rate was lowered to the Canadian rate?

Or do you set up in Canada where some provinces have raised corporate tax rates, where taxes on high income earners have risen, where payroll taxes like EI premiums have already gone up and will rise again even before the CPP hike?

Where carbon taxes are already in place or soon to be implemented and are destined to rise according the diktat of Justin Trudeau.

Trudeau and his team were warned this was coming and they chose to push ahead saying that pricing carbon was the most important thing for Canada.

Pricing carbon won’t feed a family, or create jobs, it will kill jobs, especially when combined with the latest American moves and threats over NAFTA.

Trudeau and his Liberals better ditch the blind adherence to their green ideology and change their game plan before the Donald truly Trump’s Canada.

Comments
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commented 2017-04-28 21:04:51 -0400
Trudeau couldn’t possibly negotiate himself out of a corner, let alone a NAFTA deal.
commented 2017-04-28 21:03:16 -0400
THE TREE – open a window, you sound oxygen-starved in that basement!
commented 2017-04-28 09:54:11 -0400
Dear tree you must have been burned in the FT. mac fire. Use your charcoal as a filter.
commented 2017-04-28 09:09:04 -0400
Super good one BRIAN

Some say idealology
Some say idiotology
The TRUMPSTER is definitely going to focus on unfair subsidies , he may even make it easier for us as consumers, like buying cheese, and not paying it’s weight in gold
commented 2017-04-28 03:10:28 -0400
As I’ve predicted before – The Boy Blunder’s dimpled bum is going to be hanging in any trade war breeze from now on, and much sooner than he expected… But, but, can “deep-thinker” Buttskie save him?… Stay tuned folks for the next exciting chapter!…
commented 2017-04-27 22:59:39 -0400
I see we are being graced with the limited world view from Mom’s basement.
commented 2017-04-27 22:33:16 -0400
What a load of crap this article is! Read up on the facts yourselves, folks! 
Don’t continue to be brainwashed by the lies of Ezra Levant and his band of lackirs. 
Think for yourselves, already!
commented 2017-04-27 22:03:56 -0400
Drew – that is because Canada is now being run from outside the country by non Canadian special interests – Trudeau is their Bxxxh
commented 2017-04-27 22:00:46 -0400
Canada survives because of the US. We are nothing, and will have nothing without them!
commented 2017-04-27 21:55:47 -0400
Bill Elder you make great points , but of course the scary thing is that Justin does not give a damn about any of that.
commented 2017-04-27 19:45:28 -0400
Only one answer. DUMP TRUDEAU. He is a Lame Brained Moron. It was He who started this dispute, by opening his big stupid mouth.

Gods have to earn their worshipers Justin.
commented 2017-04-27 19:38:24 -0400
…and the dance begins. Justin and Christie and anyone else who thinks this is going to be easy should do some homework, before they go into those negotiations.
commented 2017-04-27 19:01:10 -0400
The elite world politicos are suddenly dealing with a grown-up who is used to getting things done, not just talking about getting things done. In this vein, Trump makes a comment about the Canadian dairy cartel…then Trump re-opens softwood products dispute…then Trump says he is going to withdraw from NAFTA in two days…results in panicked phone calls from Canada and Mexico…Trump says I like you guys so I’ll hold off until I see what you got. Classic negotiation from Someone who knows how.

I think the Baby Doc ‘brain trust’ that advises him is running around as if they are headless chickens…come to think of it, they are fowl :)
commented 2017-04-27 18:49:23 -0400
The only thing Trudope can do is throw hundreds of millions of grants to the companies who, I can guarantee you, will be lining up in the corridors of parlement. Then like Bombardier, fire hundreds if not thousands of canadians and transfer part of their operations in the US. That’s how the liberals always managed. Crony capitalism on steroids, that is what we will see. Hey they already announced annual deficits in the 40 billions, without any recession. If it goes up to 50, 60, 70 billions a year, the libtards who voted for them don’t even know the difference.
commented 2017-04-27 18:27:04 -0400
And just what can Canada possibly do to retaliate? Nothing.

Trump can just unleash the fake refugees on us. He can get buses to shuttle tons of those fake refugees up here just to screw us up.
commented 2017-04-27 17:46:29 -0400
Well I certainly hope all those that voted for this globalist puppet are happy now. You wanted change, and you are going to get it in ways you never imagined! The older generations have some survival skills, but the younger generations have never suffered hardship, but you will now, under the dictator Trudeau.
commented 2017-04-27 17:29:41 -0400
We all know how savvy mr. Trudeau is when it comes to arduous deal making with large corporation , he’s done that during his long career as replacement lifeguard and comedian teacher.
commented 2017-04-27 17:17:40 -0400
In answer to the question posed here Brian, any talk of “dumping” US trade or winning a trade war with the nation which consumes 83% of our GDP can only be posed by the most delusional of intellects.

Even if it was in our best interests to do so ( and it’s not because finding an ethical trade partner to consume all our trade excess like the US is near impossible) it would be impossible to do it before our economy collapsed.

PM Selfie Cheaptokes has just dangled his tiny puppy scrote over the shark tank and it will not end well for any of us in this nation.