What is all the Fuss about Tariffs?

For weeks now, I’ve (#blogger #blog #somseason #YA #authors) heard nothing but the media and fellow Canadians talking about Trump’s tariffs. I talked to people who fear the tariffs will cause a recession. I know many people who have engaged fully in the “Buy Canadian” campaign as referred to in the article, The Rise of the “Buy Canadian” Movement and What it Means for Businesses. Many Canadians blame Trump’s tariffs for Canada’s high prices and poor economy. Many are angry at Trump and call him a bully (#bullying, #antibullying). If Trump was really a bully, he would have kept the tariffs in place from the beginning. Much of this anger is fueled by mainstream media with headlines like, Donald Trump called an ‘arrogant bully’ after he boasts about world leaders ‘kissing my a**’ over tariffs, The Terror of Trump’s Tariffs: What does it all mean for Ottawa? and Trump’s tariffs would crush Canada’s economy.

According to the article, Trump’s Tariffs: A timeline of the ongoing global trade tension, it all started not long after President Trump was sworn in, when he announced 25% tariffs on imports from Canada and Mexico starting February 1. What I’ve observed is a pattern with Trump. He announces a tariff on some country, then when that date approaches, he pulls back, like in the article, Trump pauses tariffs for most nations, unclear if it affects Canada. CBC claims Trump has started a Trade War as in its article, Trump’s trade war goes global… This is not about a trade war as there is always more to any story. President Trump is signaling something else.

Let’s focus on Canada. Why is President Trump imposing tariffs on Canada? According to the White House’s Fact Sheet: President Donald J. Trump Imposes Tariffs on Imports from Canada, Mexico and China, the USA is placing tariffs on Canada for the following three reasons; to secure the Canada-US-Mexican border to stop the flow of illegal drugs, to stop the flow of illegal immigration, and to bring about balanced trade. The article states:

President Trump is taking bold action to hold Mexico, Canada, and China accountable to their promises of halting illegal immigration and stopping poisonous fentanyl and other drugs from flowing into our country….There is also a growing presence of Mexican cartels operating fentanyl and nitazene synthesis labs in Canada…A recent study recognized Canada’s heightened domestic production of fentanyl, and its growing footprint within international narcotics distribution…While trade accounts for 67% of Canada’s GDP, 73% of Mexico’s GDP, and 37% of China’s GDP, it accounts for only 24% of U.S. GDP. However, in 2023 the U.S. trade deficit in goods was the world’s largest at over $1 trillion.

The questions are: Is Canada really a gateway for fentanyl and other narcotics? Is illegal immigration happening where illegal aliens are entering the US from Canada? Is there a trade imbalance between Canada and the US? Those who know me know I never accept at face value what mainstream media (MSM) says. I do my own research and do my own thinking.

Is Canada producing fentanyl and other narcotics? Now if you believe the CBC—which I don’t—”less than one per cent of the synthetic opioid seized at American borders is at the northern border” according to a CBC report. Is the CBC right?

The book, Wilful Blindness: How a network of narcos, tycoons and CCP agents infiltrated the West, by Sam Cooper essentially claims Canada is a major fentanyl portal. Coopers research uncovers an intricate network where the ingredients to make synthetic opioids like fentanyl move from China to Vancouver, where they are processed into fentanyl and released all over North America. The money profited from these illegal drugs is then laundered through casinos, real estate, and Chinese exports. Mr. Cooper even suggests that the Liberal Party in Canada is profiting off of the fentanyl crisis. Might that be true? That’s a very brief explanation, so listen to the following interview with Mr. Cooper to learn more.

News articles like, How Chinese gangs are laundering drug money through Vancouver real estate, Triad money laundering is fueling Canada’s fentanyl nightmare, Canadian organized crime making more fentanyl: Police report. and TD Bank fined $3B US after pleading guilty in historic U.S. money laundering case all support what Sam Cooper is claiming. Even the Government of Canada website lists seven transnational criminal organizations that are active in Canada According to the Criminal Intelligence Service Canada Summary – 2024 Public Report on Organized Crime, a threat rating was assigned to 668 Organized Crime Groups as part of the 2024 Integrated Threat Assessment. Mr. Trump’s claim seems legit to me.

Is illegal immigration happening where illegal aliens are entering the US from Canada? The CBC is reporting U.S. Republicans are now warning: Migration from Canada is a problem. The Toronto Sun says, Canada becoming a source of illegal immigrants into USA. Now that’s MSM making this claim, so it must be true, right? Newsweek says, U.S. Northern Border Crossings Break Record In 2024. The Hill’s article, The overlooked threat: America’s northern border, reports that in 2024, in Canada’s Swanton Sector, in 2024, 19,000 illegal crossers were apprehended by U.S. border agents, more than the last 17 years combined. That sounds like a problem to me. Maybe the US president is right again.

Is there a trade imbalance between Canada and the US? What is a trade imbalance anyways? A trade imbalance occurs when a country has either a trade surplus or a trade deficit. A trade surplus occurs when a country exports more goods than it imports, while a trade deficit happens when imports exceed exports.

Wikipedia’s article, Canada–United States trade relations, says

the trade imbalance between Canada and the United States has historically favored Canada, with the U.S. experiencing a trade deficit. In 2023, the U.S. trade deficit with Canada was approximately $41 billion, with U.S. exports at $441 billion and Canadian exports at $482 billion.

The Financial Post reported that, Canada’s trade surplus with US widens before Trump’s return . Mr. Trump has made statements such as, If we are subsidising Canada, Mexico let them become a state of US. In Donald Trump’s view, if countries, like Canada and Mexica, have a trade surplus with the USA, then the US is subsidizing them. Investopedia defines a subsidy as a benefit given to an individual, business, or institution, usually by the government. I suppose by definition, it is kind of a subsidy as Canada is benefitting by having a trade surplus. As I already mentioned, a trade surplus occurs when a country exports more goods than it imports, while a trade deficit happens when imports exceed exports. In 2023, the U.S. exported $441 billions of goods while Canada exported $482 billion indicating Canada has a trade surplus and USA a trade deficit of approximately $41 billion. So, the real question is: Is a trade deficit a bad thing? Mr. Trump seems to think so. Does the US have a legitimate complaint? The article, Should we worry about a trade deficit? basically says it’s open to debate. The article, History of Tariffs between Canada and the United States, provides the history of Canada-USA trade wars, so we mustn’t forget—as the article shows—that Canada also imposes tariffs on US goods as well. It’s not just “big bad Trump” doing this to Canada, as the MSM wants us to believe.

What is my conclusion? I think President Trump has legitimate complaints when it comes to Canada producing narcotics and illegal immigration into the US from Canada.  There is definitely a trade imbalance between Canada and the US, but whether that’s good or bad is open to debate. Having said that, balanced trade should be what happens; it’s logical. Canada does need to deal with the fentanyl crisis and border security. Canada is not the “innocent” country most Canadians think it is. President Trump is not initiating a Trade War with Canada. Mr. Trump wants us Canadians to wake up to the corruption in our country; a corruption permitted by our corrupt political system and politicians, and to do something about it. That is what I think is happening with these tariffs.

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Author: Sommer season all year

I am a retired school teacher. I taught high school for 35 years.

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