Former President Donald Trump stated on social media that the United States provides financial support to Canada, citing a trade deficit. The post sparked debate about the nature of the US-Canada trade relationship.
In a post on Truth Social early Wednesday, Donald Trump claimed the U.S. is financially supporting Canada . He wrote that 'we subsidize Canada to the tune of $100,000,000 a year' — an apparent reference to a previous claim about a $100-billion trade gap — and said the imbalance 'makes no sense.' 'Many Canadians want Canada to become the 51st State,' he said in the post, made at 3:23 a.m. EST. The U.S. trade deficit sat at US$41 billion in 2023, according to figures from the U.S.
Bureau of Economic Analysis. More than $3.5 billion in goods and services cross the border daily, with the U.S. comprising Canada's closest largest trading partner. More than two-thirds of Canadian trade is with its southern neighbor, and Canada is among America's top trading partners as well. The deficit mainly boils down to oil. Virtually all of Canada's crude oil exports and much of its other energy products flow south. Energy exports accounted for more than $177 billion or roughly 28 percent of Canada's goods exports to the U.S., according to the federal government. 'If we exclude oil ... the U.S. is actually benefiting from this trade relationship,' said Salim Zanzana, an economist at the Royal Bank of Canada. The idea that an imbalance necessarily hurts a country is misplaced, said Stuart Trew, director of the trade and investment research project at the Canadian Centre for Policy Alternatives. 'This is actually not a problem for the United States,' he said
TRUMP CANADA TRADE DEFICIT US-CANADA RELATIONS ECONOMICS
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Trump Suggests Canada Join U.S. Again, Raises Tariff ThreatU.S. President-elect Donald Trump reignited his calls for Canada to become the 51st state and threatened tariffs on Canadian and Mexican goods, claiming the U.S. subsidizes Canada and faces a trade deficit. While there's no serious movement for Canada to join, Trump's comments seem aimed at Prime Minister Justin Trudeau. He plans to impose tariffs on goods from Canada and Mexico to address illegal immigration and fentanyl trafficking. Economists largely dismiss the trade deficit as insignificant, but Trump views it as a measure of economic success.
Read more »
Former Bank of Canada Governor Claims Canada in Recession Despite Lack of Consecutive Negative GDP QuartersStephen Poloz, former governor of the Bank of Canada, asserts that Canada is in a recession despite not meeting the technical definition of two consecutive quarters of negative GDP growth. Poloz attributes the lack of a technical recession to increased spending by new immigrants, while noting Canadians are spending less due to rising costs of living.
Read more »
Canada News Roundup: Postal Strike Ends, Trump Targets Canada, Seniors Support Families Amid Affordability CrisisThis news roundup covers various Canadian stories including the end of the Canada Post strike, Donald Trump's comments about Canada, seniors supporting their families due to affordability concerns, a Quebec man charged with firearm manufacturing and hate speech, and a murder investigation in New Brunswick.
Read more »
Donald Trump is trying to 'humiliate' Justin Trudeau with Canada jokes, ex-Trump adviser saysWhen Donald Trump jokes that Canada could become the 51st state, and refers to Justin Trudeau as a governor rather than prime minister, it’s all an effort to “humiliate” the Canadian leader, says John Bolton, his former national security adviser.
Read more »
Agent subsidizes revamp to help sell Cambridge houseThe revamped property was given a seductive price tag and attracted 37 groups of buyers, mostly Cambridge locals but a few from the Greater Toronto Area. Six bids were placed, though some underestimated the competition
Read more »
Trump Suggests Canada Becomes 51st State, Cites US$100 Billion Trade DeficitThe conservative cable network reported the President-elect's statement regarding Canada's trade deficit with the U.S. and his suggestion for Canada to either annex itself as the 51st state or split into more liberal and conservative parts to join the U.S. separately. Neither side commented on the remarks.
Read more »