Tariffs
5. So what are the issues a) Border Tariffs over fentenyl b) Oil and gas and energy Tariffs c) Steel and Aluminum Tariffs d) Wood and lumber Tariffs e) Auto Industry Tariffs h) Cost of living j) Job security and high unemployment k) Layoffs and facility shutdowns l) Inter provincial trade barriers m) Imagration p) Raise the defence spending to 2% of GDP q) Enhance border security r) build northern bases s) increase the armed forces enlistment t) Replace tanks, trucks, weapons, fighter aircraft, subs, warships u) Deal with western alienation and Alberta separation v) Build west to east energy coridor x) redo or rework Industrial carbon levy y) Build new trading partners z) Develop resource extraction Tariffs are never a good thing. Combine that with annexation treats and separation from Canada threats and it's an almost insurmountable problem. Poilievre would have you believe that it is simple "We will just tell him to take them off and we will negociate a new USMCA" WOW! so nieve. The last agreement took 3 years of talks, months of Tariffs and 3 years after signing he just ignores them. Poilievre says Canada is broken but in trueth the conservatives Nationally and Alberta based are broken. Thank god we don't have him as PM. The lead-in for Trumps' Tariffs is that he is subsidizing Canada to 250 Billion a year and rely on USA protection on the military front. Canada is a vast country almost the same size as the USA but has 1/10th the population at 44 Million vs 440 Million. In 2023 we bought 373.6 Billion from the US and exported 594.8 Billion to the US. In Trump math we simply didn't buy enough from the USA by 221 Billion. Based upon population, Canadians buy 8.5 Billion from the US but US citizens buy 1.35 Billion from Canada. Canada is rich with Oil & Gas, Steel, Aluminum, Coal, Potash, Minerals sold at huge discounts. The USA is seriously lacking in these to meet it's needs. Add in Rare Earth elements that we have but they do not have and the need by the US for what we have is exponential. Canada has been too complacent and has not developed it's industries. There is nothing the USA makes that we could not make here. a) Border Tariffs over fentenyl This was the initial Tariff as a claim to national crisis. Less than 1% was coming from Canada and we spent 1.2 Million to secure our border but he replied with he needs nothing from Canada. No lumber, no Oil, No Steel or Aluminum, No cars, or anything. We aren't buying enough from him and he is upset that he has to buy so much from us. It is us that should be mad because guns and illegal imagrants are coming here from the USA. Canada imposed Tariffs on select goods b) Oil and gas and energy Tariffs This is a big problem. He needs our energy products. Danielle Smith tried twice to get him not to Tariff her Oil and gas. For her efforts he Immediately placed 10% Tariffs on them and days later added 25% reciprical on all goods. Alberta's pipelines go to the USA then return to Canada to supply the eastern provinces. Canada needs to build pipelines east to meet our needs c) Steel and Aluminum Tariffs These are the main industries of Ontario and Quebec. Precious metals and Rare earth minerals (found in every region of Canada) are very important to the USA. Importers having to pay more reduces how much they can buy and that hurts Canadian businesses and results in layoffs and shutdowns. Products we need from the USA cost us more causing inflationary costs to us and hurts our businesses and the labor force. We need plants to make more of our own products d) Wood and lumber Tariffs The lumber Industry has been hard hit over the years and this tariff war may see huge damage as a result. PM Carney's plan to build affordable housing can seriously help this industry by sourcing supplies in Canada. Potash and canola are also industries damaged by Tariffs. These Industries are being hit by both USA and China Tariffs. Without Potash the US farmers can't grow crops so this drives up food costs on both sides of the border. China imposed Tariffs on Canola of 100% because we wouldn't allow Chinese electric vehicles into our market. Talk about a miss step! To meet a 2040 target of all vehicles being zero emission we need 10,000 EV sales per day! Globally EV production is a mere 34,000 a day. Honda was going to build EV cars in Canada and invest in a Battery plant too. e) Auto Industry Tariffs Another of Ontario's big Industries was the big target of Trumps Trade war objectives. He wants the Auto Industry to relocate to the USA. It is so intertwined with Canadian and mexican industries that such a move would take 50 years to do. The costs would be devastating to the plants, and support industries and obliterate the local ecconomies in Ontario. PM Carney has declared a slush fund of 2 Billion to support Industries and support plants facing shutdowns or halts. Workers face layoffs, or loss of jobs and while critics may scoff at spending money to prop up the Industries and workers to weather the storm it is the right thing to do. There are 6 plants for GM, Chrysler and Ford and maybe 12 or more part suppliers. That is huge number of affected workers. These auto makers might be encouraged to take on building EV versions of the current vehicles which would mean vehicles for Canada would not need most of the cross boarder parts shipments. Engines, exhaust, transmisions and gas lines and tanks wouldn't be needed. h) Cost of living Trade wars drive up the cost of living. Some food doesn't grow well here but new technologies in vertical gardening are making a difference. Vehicles, appliances, processed food like cereal and snacks, beverages will all be more expensive. Apparently we do make beverage cans of the short variety but not the tall ones. This might be changed. j) Job security and high unemployment Trade wars disrupt job security in a big way. One day your working full time then suddenly hours are cut, temporary layoffs or out right loss of job. Those nearing retirement might weather the loss less harshly but all others will not fair well. PM Carney has planned to eliminate wait times on getting EI benefits and how long they can be collected but in a single industry municipality this does little for employment prospects. k) Layoffs and facility shutdowns With layoffs there are presumably a return to work date but shutdowns mean the facility may never return to opperation. Trump has less than four years left. The question is how much damage he does between now and then. I think it very unlikely a new president will continue on this path. The AAA rating has been downgraded on the USA already in just 4 months. If facilities move to the US just how feasible would .it be to move all the equipment rather than replacing it. This could be an upside to this disaster for it means we can repurpose the facility and retain the workers for EV vehicles. l) Inter provincial trade barriers Justin Trudeau arranged the United Premiers group before leaving to remove trade barriers between provinces and develop responce strategies to confront the Tariff issues. PM Carney has directed the UPG to eliminate trade barriers by june 1st. This first task can help make one ecconomy out 13 and could increase the GDP by 200 Billion a year. His government can use this group to deal with issues of building needed industry, doing pipelines, combatting housing, and so much more. m) Imagration Right now Imagration both for learning and residency has been halted due to lack of housing and resources. PM Carney has indicated that we must first be able to house those who are here and then look to bring in workers with the skills we need. Most notably Doctors and nurses and trades people to build a strong and healthy Canada. p) Raise the defence spending to 2% of GDP Over the last 3 months Trump has made it clear we need to spend more or our defence. He wants 5% because he spends 4+ % and figures the world (NATO) relies too much on America. Right now Canada buy so much from the USA our industries suffer. PM Carney is trying to do more in Canada. A $220B increase in interprovincial trade plus 5% revenue from building homes are just a few measures to help meet the goal. q) Enhance border security PM Carney has targeted 1,000 new officers to add to the ranks. r) build northern bases PM Carney wants to build 3 using experienced northern workers so they both reap the rewards for services and get the job done right and on budget. This is a far cry from Poilievre who wants to build one using US workers like his predesseor Stephen Harper did on the failed Baffin Island Arctic refueling station that is still unfinished. s) increase the armed forces enlistment PM Carney has begun recruiting both active and reservists t) Replace tanks, trucks, weapons, fighter aircraft, subs, warships We send precious metals and minerials to the US and some of those come back as products Canada buys for it's military. We ordered 80 CF-35 stealth fighters, paid for 8 and have yet to have a delivery date. With current tensions there is a fear that abilities of the fighters can be turned off making them useless in combat. We need less dependance on the US products. PM Carney is looking into procurement of Swedish, French, German, Italian tanks, weapons, aircraft, Submarines, and Warships. We are also looking at building our own Arctic vessels. Australia is willing to supply an advanced Artic warning system and Korea has offered Submarines with training and repair facilities built right here. The UK and EU have interest in weapon manufacturing done here away from close Russian territory. u) Deal with western alienation and Alberta separation Alberta and Saskatchuwan were derived from the NWT by treaties with the First Nations who agreed to share their land with Canada as long as their rights are respected. Under treaty, the federal government handles all dealings with them. The Premier is an appointed manager of the defined province. The people of the province can elect the manager and staff through parliamentary rule. The manager is responcible for land management and the resources under it. The sky above belongs to the planet and is managed by the Canadian government through CTA, Transport Canada and the ECCC such that enviromental concerns are not compromised. The province can not separate because it is owned by the First Nations and only shared with the defined province. The Priemer by her actions is driving away investors and damaging new markets by trying to force Canada to break agreements signed on the Paris Climate accord. A vote to separate is illegal and basically becomes a vote to give up Canadian citizenship and leave Canada for some other country.PM Carney has his hands full. Somehow he has to make this brat know her place. He needs to let people know that a vote to separate would be a vote to imagrate to another country with just what they can carry. While she has the right to benefit from resources from the ground she doesn't have the right to pollute the air. The Industrial carbon levy until the Industry develops cleaner opperation thus cutting emmissions. This in turn opens new export markets. Lastly, people of Alberta with concerns over treatment should look to the Premier for not letting the Federal government know what is needed. If the province only votes MP's from the opposition or back bench concerns are seldom heard. v) Build west to east energy coridor Alberta's unwillingness to work with the Trudeau government and Quebecs choice to refuse Oil and gas through it's province resulted in bill 59 which drove away investors. The Trans mountain pipeline was bought and finished by the government to supply the west coast. PM Carney is willing to work at building the whole west-East pipeline now that Quebec is indicating more willingness. It is hoped investors will be more open to this. Also CNG facilities are planned for both coasts. x) redo or rework Industrial carbon levy Emission limits are set by the Climate accord agreement. The Industry was expected to refine the processes to achieve these. The Alberta Premier needs to understand if she wants new markets and coast to coast access the limits must stay but be adjusted as progress is made. PM Carney has said he will look at working with the premier and the Industries to refine how we meet the targets. As for carbon emissions from electricity production and home heating, She is passing that on to consumers. Consumers can cut utility costs by using solar with storage, heat pumps, and Instant electric hot water. This will be investigated. There is enough geo-thermal energy to fully replace her carbon emission electricity production 24 times over so why is she not doing that? y) Build new trading partners The UK and EU, China, Japan and Italy are favorable if we stay committed to green technology PM Carney already discussions with them and more are planned. z) Develop resource extraction PM Carney has already stated we need to move a lightening pace to not only extract but also process these to be a real powerhouse of opportunity. In conclusion, the Tariff war was our wake-up call. The hurt we will suffer will deminish as we move ahead and build Canada strong.