American President Donald Trump has vowed to return manufacturing jobs to his country – at the expense of the world. Canada stands to suffer the most.
Trump and Prime Minister Justin Trudeau had a phone call on Wednesday. While Trump later posted on social media that the conversation centred on Fentanyl and border security, an auto sector carve-out was also discussed.
In a social media post, the president doubled down on his concerns about fentanyl and questioned when our next election will be. So do we. Trudeau should do us all a favour, cut a deal and call an election for 30 days after the Liberal Party picks its new leader.
The White House later announced a one-month pause on auto tariffs at the request of Stellantis, GM and Ford. It’s easy to see why. The unemployment rate in the U.S. is 4% and dropping. Of those unemployed, how many are skilled auto workers? You can’t pull in people off the street to build a car or design and engineer the components for an engine. It takes time to build factories and train workers.
Canada has an army of well-educated, highly skilled auto workers who make quality cars. Many U.S. employers prefer to negotiate with Canadian unions because workers here pay for health insurance through their taxes, a huge savings for the employer.
All the same, this country can’t sell out other sectors such as agriculture and energy. It pits worker against worker.
Trudeau has reason to hope for more. In Trump’s address to Congress this week, there was a nuanced change in his stance towards Canada. He talked about taking over the Panama Canal as if it were a snack he was having for lunch.
He saved his most aggressive territorial expansionism for Greenland.
“We need it really for international, for world security, and I think we’re going to get it. One way or another, we’re going to get it,” he said, in a manner that can only be construed as menacing towards Greenland, an autonomous territory within Denmark.
While Trump doubled down on his tariff threats, he did not repeat his threat to make this country a 51st state.
Baby steps for sure, but in light of the provocation towards Panama and Greenland, we should take it.