As I wrote in November, Canada is the country most vulnerable to tariffs because it doesn’t have alternative markets, and in many sectors can’t, for most of its exports.
That figure is devastating
Canada has borne the brunt of the damage from US tariffs so far, with its long-run economy -2.1% smaller in real terms. China’s economy is -0.2% smaller, about 1/2 as large as the hit to the US. The UK’s is 0.2% bigger thanks in part to the benefits of US-UK trade deal. 8/10
Seems to me that the feds & some provinces are more willing to capitulate instead of doing the hard work to quickly find alternative markets. They'd rather give in to Drumpf in order to have a new 'deal' that he won't honour & that we'll face again in the future.
“Canada has borne the brunt of the damage from US tariffs so far, with its long-run economy -2.1% smaller in real terms.”
Statistics Canada reports something completely different.
“Has borne?”
No. Real GDP up 1.2% for Q1 2025.
I have looked at that report and there is no explanation in any kind of detail to support their conclusions about Canada. I don’t take their predictions all that seriously.
And no other country is going to help us weather this shitstorm from the south.
Meanwhile, the Canadian government clearly implying that we will buy more American weaponry (full F-35 buy) and participate in Trump’s Golden Dome fantasy to the tune of 20s of billions of dollars.
Elbows up 🙄🤮
Time for better alignement with the EU?
Cutting ties with a fascist state is more important than a few dollars.
Surprisingly large for Canada given the extent of the USMCA exemptions, which covers many of the hardest-to-shift exports (oil due to fixed pipelines, etc.)
Curious how @ernietedeschi.bsky.social accounted for those.
Mexico is even more reliant on exporting to the US - but they seem to be moving up?
