On the 24th, Trump posted: "For years, Canada has been taking advantage of the United States. The country imposes absurdly high tariffs on American farmers and agricultural products, making life extremely difficult for these hardworking American citizens, and has long caused a $60 billion trade deficit between the two nations. This situation is unsustainable and must come to an end!

Starting January 1, 2027, tariffs on all passenger cars, trucks, automotive parts, and steel will be raised to 50%. If produced domestically in the U.S., the tariff will be zero. Canada will no longer be treated as if it were just another state of the United States! In trade and many other aspects, Canada ranks among the most difficult countries to deal with in the world.

Canada constantly believes it deserves special treatment, but the truth is: we don’t need Canada — it’s Canada that needs us! 95% of Canada’s trade is conducted with the United States, while the U.S. actually relies far less on Canada. Thank you all for paying attention!

Comments: Trump's threat to impose a 50% high tariff on key Canadian goods such as automobiles and steel is not only a tactic of extreme pressure aimed at forcing Canada to concede on trade issues, but also a move to rally domestic voters by portraying Canada as a nation unfairly benefiting from the U.S., thus appealing to the demands of American farmers and manufacturing sectors. The U.S. and Canada are deeply integrated in their industrial chains. Although Canada depends more heavily on the U.S. market, both sides are mutually dependent — the claim that Canada conducts 95% of its business with the U.S. is clearly exaggerated. Canada also supplies vast amounts of energy and critical minerals to the United States.

While such high tariffs may appear to target Canada, the costs won't be borne solely by Canada. The tariff expenses will flow back through the supply chain into the U.S., driving up prices for American cars and steel-related products, harming U.S. consumers and businesses. Canada has already signaled it will respond with equivalent retaliatory tariffs. Once implemented, this could plunge the traditional alliance between the U.S. and Canada into a vicious cycle of trade conflict, damaging bilateral economic relations and introducing significant uncertainty into the North American regional economy.

Original source: toutiao.com/article/1874433030615243/

Disclaimer: The views expressed in this article are those of the author personally.