WASHINGTON, Jan 31 (Reuters) - U.S. President Donald Trump said on Friday he would impose hefty new tariffs of 25% on goods from Mexico and Canada and 10% on imports from China, and nothing could be done by the three countries to forestall them.
Trump did, however, reference a potential carve out for oil from Canada, saying that rate would be 10% versus the 25% planned for other goods from the United States' northern neighbor. But he indicated wider tariffs on oil and natural gas would be coming in mid-February, remarks that sent oil prices higher. Reuters
Most analysts are mystified by Trump’s tariff attacks on Mexico and Canada since it unilaterally and capriciously tears apart a long-standing agreement on the mutual benefits of free trade agreements with these countries.
Trump has said he wants Canada to be the 51st State. Of course, it’s oral flatulence,
But suppose Canada agreed.
How about Mexico? Would it then become the 52nd State?
A lot of Americans would oppose Canada’s entry into the Union to prevent a comprehensive North American Union fearing that hungry Mexicans—sorry, Mexicans Americans—no longer “illegal”— roaming the streets hunting chihuahuas.
Nope, the US doesn’t want that! It loves its chihuahuas.
Besides that, the inclusion of Canada would set all sorts of precedents and upset the balance of the Union
The Electoral College?
If California has 55 votes. Canada would need more.
Think of the problems incorporating Canada with its fractious ten provinces, and a population that is over 40% French speaking! Then there are the First Nations people and their rights.
You think you got states-rights issues now, Uncle Sam? Expand the Union, expand the problems.
No—I and many other analysts don’t think Trump is serious about taking over Canada. As I said, brain farts. Which tell you what’s in his brain.
What he really wants are things he’s not bloviating about — like access to Canadian water for thirsty American states, bargains on all sorts of energy, and free access to rare earths and minerals necessary to American industry, especially the defense industry, with tax write-offs for American companies. Let’s just say he is trying to get control of Canadian resources as once the US did with Russian assets.
Canada has some of the largest known reserves and resources (measured and indicated) of rare earths in the world, estimated at over 15.2 million tonnes of rare earth oxide in 2023.
Consider the province of BC.
It alone manufactures or has access to 16 of 50 minerals “critical” for American national security..
In any case, getting the Canucks riled at the Yanks is not a smart move. Canada is not Columbia or Panama or Grenada. And, as we all know, Canadians are polite people. Bump into somebody and you apologize. You don’t say “Watch where you are fuckin’ goin’”.
You will notice that Trump says he will put a tariff of just 10% on Canadian oil, rather than, say, 25% on other things like beer—which is a sinful thing to do.
That’s because raising the oil price makes now very expensive fracking in the US more cost effective . But too much hurts US industry which needs Canadian energy. And it hurts ordinary Americans even more, driving up inflation
Did you know that Canada is the largest supplier of energy to the U.S.? In 2021, Canada supplied the U.S. with 61% of its crude oil imports. And in 2020, Canada supplied the U.S. with 98% of its natural gas imports, 93% of its electricity imports, and 28% of its uranium purchases, helping power millions of homes, businesses and cities from coast to coast.
Trump is a bully. But Canada is not Columbia. Nor Panama. Nor Grenada.
94% of Canadians don’t want to become Americans.
For years, Canadians were brought up defining their national identity not as “Canadian” – but as simply “not American”. In French Canada, there is only one thing worse than "les Anglaises"-- it is "les Americains"!
Tariffs can hurt the ordinary Canuck’s bottom line. And when that happens, Canadians will demand that the government does something. “Something” in such situations means “anything”, which means “whatever it takes”.
Ironies abound.
Without free trade, Canada is…well…free… It could do as the Russians did. Bite the bullet for a while and seek economic and national autonomy through new markets and new allies —dumping defense agreements with the “West” along the way and reinventing itself. Maybe even looking for rapprochement with the Chinese and the Indians and the Russians. In the end, it would profit.
Canada, after all, has something to sell —resources.
Historically Canada has been invaded by only one country – the US of A—which figured that Canada was a slam dunk – and lost both times.
In 1958, John Diefenbaker campaigned, with this “vision” statement.
This national development policy will create a new sense of national purpose and national destiny. One Canada. One Canada, wherein Canadians will have preserved to them the control of their own economic and political destiny. Sir John A. Macdonald gave his life to this party. He opened the West. He saw Canada from East to West. I see a new Canada - a Canada of the North.
I was 12 then. Diefenbaker was a family friend and a few years later he visited my parent’s home. Things hadn’t worked out for him — or for. his “vision”. In fact, his defense policies, among other things destroying the Canadian aerospace industry set the state for “Americanization” He looked tired and old.
But in those days, it was easier to see the US as a Canadian friend and ally. Now it is a threat. And Diefenbaker’s nationalistic vision later echoed by Pierre Trudeau may come back in a new form. Canada’s future is North— not South.
Of course, this is an area that the US needs to control, as well—if it is to achieve global hegemony once again. Not MAGA. It’s MAHA. Make America Hegemon Again.
Canada could respond — and win *(again). But first it has to suffer. No pain, no gain.
Special Article
All those on the mailing list should have received urls to download the Special Article in their choice of PDF, EPUB or DOCX formats. If you didn’t get an email, please contact me so I can get the urls to you (Google Drive downloads).
If you didn’t buy coffee, and want to get this special article of previous ones, just buy me and Ichi and Chappy a coffee.!
Chappy celebrated today. I had to replace his scratching board and it came with “matabi” (silvervine— which works like cat nip). He got quite drunk, as you can see here.
🤣🥰🤣🥰
The inflation has started just 10 days into the Trump administration, he hasn't a clue how to make money unless it's shady, he was clueless on his show years ago too... Hopefully the US market bursts soon, their whole monetary system is a bubble/ Ponzi scheme, and stock market 67% overvalued, the US fiat currency should be considered counterfeit worldwide... They did it to themselves too, they are starting to sound like Israhell... Life long victims, total bull....