Quote:
Originally Posted by CroFlames
Canada does plan to enact retaliatory tariffs. In fact, they did this already when Trump instituted 25% tariff on Canadian steel and aluminum in 2016. The market responded with a spike in steel prices.
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I'm not an economist but an export tax placed on natural resource revenue will cost the American consumer more would it not, and there really isn't the infrastructure to support any meaningful alternatives. The weird thing about this talk about a trade deficit is that the United States needs many of these products such as oil and energy and while they do have natural resources they are difficult to extract and transport and it would take years to develop the same infrastructure.
Putting the screws to the administration seems like it would damage the Canadian economy but also extract wealth out of the states in the process.