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President Trump had a big question in his mind, as Canadian Prime Minister Mark Carne went to Washington last week.
Mr. Trump said in a Social media yetRepeating many ways that Canada is not fairly benefited from its commercial relationship with the United States.
The president also reiterated his incorrect claim that the United States “supports” Canada for $ 200 billion, which hints to the country trade deficit With Canada, the value of what the United States imports its exports.
In fact, the trade deficit last year was $ 63.3 billion, according to American data. If energy exports are stripped in Canada, they turn into a commercial surplus.
For Mr. Trump, all of this is summed up at one point: Does the United States need Canada?
Mr. Trump’s resounding answer is no, and he imposed a tariff on many Canadian goods.
He said in the social media post: “We do not need their cars, do not need their energy, and we do not need their wood, and we do not need anything they have, unlike their friendship.”
But industry and government groups say differently.
The United States needs Canada to make cars
Car industries in Canada and the United States have become very interconnected over the past three decades – especially between Detroit, Michigan, Windsor, Ontario, the most crowded commercial crossing along the border – as the two countries have dropped commercial barriers.
Interace with the supply chains that can cross the auto parts border up to eight times during the manufacturing process. This has made it difficult to determine what is the import of cars.
In 2023, the United States imported about 1.24 million Canada cars, the fourth highest behind Mexico, Japan and South Korea.
The United States needs Canada’s energy
The United States is the best oil producers in the world, but many of its refineries are partially dependent on heavy crude oil, and it is a variety of specialists in Canada in extraction. Refresh us The refineries to eliminate the need for crude oil will cost billions Companies are not ready to make these investments, especially because of the uncertainty about Mr. Trump’s commercial policies.
Sixty percent of the US crude oil in 2022 came from Canada, according to the US Energy Information Administration.
In addition to oil, Canada, in 2023, provided nearly 100 percent of natural gas and 85 percent of the United States’s electrical energy, according to the Energy Organization in Canada. Canadian electricity is particularly important to operate New England.
Canada also provides more than a quarter of uranium US imports to operate nuclear reactors Data Offers, higher share than any other country.
The United States needs Canada wood
Howard Lootnick, USA Minister of Trade, is investigating whether it is wood imports A threat to national security.
In 2021, the last year’s numbers were available, the United States bought the wood of $ 28 billion from Canada, which represents nearly half of the wood imports.
American industry groups have estimated that the customs tariff on the wood provided by Mr. Trump will increase the costs of home by about $ 9,000.
At the present time, the American wood industry cannot meet the demand from home builders, according to another analysis By Fastmarkkets, a research company, the country will take at least 10 years to reduce its need for imported wood.
American farmers need Canada to grow their crops
The farmers who started the agricultural season this year were reminded of the dependence of the American agriculture industry on Canadian imports of the main chemical components used in fertilizers, such as the rich minerals of potassium called Potash.
The United States imports 85 percent of Canada potash, the world’s largest source of minerals.
But Mr. Trump’s tariff for Canada will make the potash more expensive for farmers for import and increases can be transferred to grocery store shoppers, according to the Fertilizer Institute, an American industrial group. The largest international exporters in Potas are Russia and Belarus.
Trump says that the United States needs Canada’s friendship. Many Canadians say they forget it.
The warm relationship between the two countries is in the event of promotions, with Canada calling a defensive tactic used in hockey – “Attached– Like his position against Mr. Trump’s economic attacks and threats to make Canada an American state.
Kindites took to Boycott American -made products The summer increased to the United States, with the number of flights scheduled for the country from Canada by 21 percent, a The New York Times analysis appears.
A strange symbol of the private bonds of countries also suffered. The United States has restricted Canadian access to the Haskel Free Library and the Opera House, a historical location that runs on the border between Quebec and Vermont. US officials said this step was necessary to stop “drug and smugglers dealers.”
Despite the lukewarm relationships, Mr. Carne and Mr. Trump were a friendly exchange of media cameras at the Oval Office last week.
Mr. Trump’s description of him “Love” for Canada And the desire to continue friendship. He still repeated his desire to become Canada part of the United States.
Soon, Mr. Carney made it clear that his country was not for sale.
Mr. Trump did not declare: “Never say!”
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