Canada is avoiding Trump's tariffs by not becoming a state.
They are not paying the tariffs, american people do. So by joining the US they would start paying all the tariffs that Trump is putting on China's products, European products ....
Why do people think that happens? It does not happen. 90% of the tariffs will be absorbed by Canadian companies trying to keep up sales to the US because there's nowhere else to go, and even if they sell elsewhere, it'll be discounted that much to other countries because of the general laws of supply and demand.
The only way, and it's one that we have nothing in place to effect, is to mark prices as of the tariff date and to enact an export tariff for the amount of the sale under the price set point. That would highly discourage discounting sales and pretty much just cut them off since, in the case of products made or produced in the US, it would be competing with local products at 125% of the local price.
No, that's called "dumping" and is against compliance of WTO rules, which would then allow the importing country to raise more taxes as anti-dumping measures.
This is from a US Gov website explaining what that is
The importer, not the exporter pays tariffs. Aka Canada pays nothing, things made in Canada have an extra tax attached to them when they cross the boarder into the us, paid by Walmart or whomever ordered the goods
Actually tariffs will hurt Canadians deeply. Why? Because it means that Americans will lean towards not buying products made in (or partially made in) Canada. Plus, Canada would certainly reciprocate meaning the price of everything is going to go up in Canada. It's not a good situation and our government needed to be spending the past 10 - 20 years developing stronger trade relations with other countries but instead we amplified our relationship with what is clearly a very unreliable and untrustworthy neighbour.
Canada imports more from USA than it exports to USA. A trade war that decreases exports would hurt USA more than Canada.
The largest exports from USA to Canada are cars and trucks. (Finished products)
The largest exports from Canada to USA are minerals, fuels and pulp. (Raw material)
This puts USA at a disadvantage in a tariff game, because it's a lot easier for Canada to replace American cars with Asian or European cars, than it is for USA to replace the variety of ressources that Canada provides
It's also a lot easier for Canada to find other customers for raw materials than it is to sell American cars on other continents.
Well according to wiki you are right. I was on ever taught tax on imports in school. Taxing exports only works of there is one possible vendor and if there is not then the competition will just has to charge slightly less while expanding production.
Imagine if China , EU, and or japan be like here is 10% discount.
Or better yet Trade alliance among countries who Trump charges on exports would be hillarious.
I somewhat agree with your point but after years of him saying he would do fucked up shit and then him doing a lot of it, it helps to be prepared for his intentions as they manifest into actions in many cases.
My point goes mostly to international leaders or representative people that over-react to his words and then the media look to amplify it by doing it a “new”: part of his strategy is this shit bombing upon saturation, so it buffers a space of allowance of shit actions in the public opinion that otherwise would have suffered of even more rejection if done without this probing, confusing and dragging resources in the meantime to attend this… which in the end will not matter how are they answered, prevented or reacted, he will push anyway in that direction, so I would give zero weight to all that diarrhea, shit will come willing it or not since he has the power to do it, accepting any kind of conversation with someone like that is playing a rigged game and lose terrain… why accept his ability to an exchange of opinion in the first place? why respond/listen to him? He behaves like the strongest bully, the corresponding treatment is required… join on isolating him, he will not make it easy though. This is my opinion…
There is no actual fentanyl or immigration basis for tariffs on Canada. Just submit to less representation than California, and help absorb large US debt with little in return for it.
Canada’s economy is dependent on the US. Trump might actually pull this off.
Edit:
More context since people are downvoting. Consider the following now picture yourself one of the greedy capitalists in Canada, which is a preferred outcome? Losing your wealth or losing Canadian sovereignty?
Just because I think it is likely doesn’t mean that I think it’s right. This is clearly wrong.
America had $357 billion dollars worth of imports from Canada in 2023, if they introduce a 25% tarriff Americans will pay $446 billion instead because it's not like you'll get all that stuff anywhere else for cheaper since America is going to put tariffs on practically every other country they trade with apparently.
Corporations spend billions on the current infrastructure and trade routes and logistics, they will not uproot everything and go through the pains of firing everyone then moving to America and retraining because of a short term loss. American administrations are fickle, many of them will simply wait out the 4 years hoping it will return to normal then. If it doesn't then maybe they might consider it then but for the next 4 years Americans are going to be paying a shitload more for anything that's not made in America.
American businesses will also find it a lot more difficult to sell their products out of the country when those countries retaliate with tarriffs against them.
Canada's oligarchs like the fact that only Israel and US is allowed to compete with them, and elections are cheaper to buy. A single state makes them lose power. Population understands only negatives from US, and also would not vote for Trump.
Unfortunately for Canadians, they are still programmed to side with US over China and Russia, and that programming makes it a blasphemy to seek independence that would also protect them from the US. As long as Canada's position is to beg to restore its fully subservient colonial status, then the Trump extortion will continue.
One goal that Musk would have behind this is that it can destroy the big 3 automakers.
I mean honestly, he's just a giant douche canoe that accurately reflects the level of intelligence and emotional maturity that the most of his fucking deplorable Nazi base is. There's nothing he's here said that isn't what his moronic base says on a daily basis and is more or less a accurate representation of America and Americans by large.
Democracy is demagogue-prone. That’s a disease to which electoral systems are vulnerable. Yet demagogues are easy to identify. They gesture a lot and speak with pulpit rhythms, using words that ring of religious fervor and god-fearing sincerity.
The practice can always be detected by anyone who learns the signs: Repetition. Great attempts to keep your attention on words. You must pay no attention to words. Watch what the person does. That way you learn the motives.
They create a system where most people are dissatisfied, vaguely or deeply. This builds up widespread feelings of vindictive anger. Then they supply targets for that anger as they need them—as distraction. Don't give time to question.
They bury mistakes in more laws. Traffic in illusion. Bullring tactics. Wave the pretty cape. People will charge it and be confused when there's no matador behind the thing. That dulls the electorate just as it dulls the bull.
Fewer people use their vote intelligently next time.
There appears to be a rule of nature that says it's almost impossible for self-serving groups to act enlightened, flowing with the forces of life, adjusting your actions that life may continue. With the greatest amount of happiness for the greatest number, of course.
The risks of democracy and how to prevent them paraphrased from Dune.
Apparent everywhere, Trump is just one in this path of centuries.
Focus on actions, not promises, and unite against inequality and division. Systems should be simple, transparent, and work for everyone, not just the wealthy or powerful. Educating and organizing workers, holding leaders accountable, and building solidarity across all groups are essential for achieving fairness. Lasting change comes from addressing root causes, not chasing temporary fixes.
Maybe the next century will show results somewhere.
I want to see Canada put out an open offer for immediate welcome, territoriship, and instant citizenship for any state along the border that votes to join Canada.
That's a really good idea! I'm about 5-8 hours from the Canadian boarder but I will not fight for a fascist country. I'll either join the other side or join a resistance here.
Trump seems to have the goal of destroying the US from all I can tell. Our economy and power are so dependent on our connections to the rest of the world and he is burning them all down. The US dollar gets replaced as the fiat currency we are wholly fucked and this dumb shit is how that happens.
That's the point, I think, as well. I could see Putin using the useful idiot to destroy the primary rival to its superiority. The US is incredibly difficult to invade. The intelligence apparatus is too ingrained in all our communication to avoid detection. If you can't get the rot to start from the outside, go for the inside.
And the last gasp of our conservatives as the final pillar of the whitehouse collapses into a flaming wreck due to Trumps ridiculous toddler-like mismanagement of everything will be to blame it all on the Democrats.
If America is forced to accept austerity measures over our massive debt when the dollar is no longer fiat, regular people will be the ones who suffer sadly.