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Canada follows Mexico -- tariffs paused for 30 days

Valletta

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“Canada has agreed to ensure we have a secure Northern Border, and to finally end the deadly scourge of drugs like Fentanyl that have been pouring into our Country,” Trump announced on Truth Social, following the call with Trudeau. “Canada will implement their $1.3 Billion Border plan.”
See, the sky is not falling. We survived the tariffs for hours. China, of course, will be going back and forth with the United States for the entire term of Trump's presidency.
 

JosephZ

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Trump playing the business game of bluffing to get a deal.
Some deal. All Canada did was agree to do things they already planned to do prior to the tariffs.

Government of Canada announces its plan to strengthen border security and our immigration system

December 17, 2024

Today, the Honourable Dominic LeBlanc, Minister of Finance and Intergovernmental Affairs, along with the Honourable Marc Miller, Minister of Immigration, Refugees and Citizenship and the Honourable Ya'ara Saks, Minister of Mental Health and Addictions and Associate Minister of Health, released Canada’s Border Plan. Backed by an investment of $1.3 billion and built around five pillars, this plan will bolster border security, strengthen our immigration system and contribute to ensuring Canada's future prosperity.

Detecting and disrupting the fentanyl trade

The Government of Canada will increase support to law enforcement agencies in detecting, intercepting and addressing fentanyl and precursor chemicals by adding artificial intelligence and imaging tools that will further help detect illegal drugs before they enter Canada.

As well, the Canada Border Services Agency (CBSA) will train and deploy new canine teams to intercept illegal drugs. The agency currently has over 80 detector dog teams located at various ports of entry across Canada. CBSA will also deploy new chemical detection tools at high-risk ports of entry.

Health Canada will create a new Canadian Drug Profiling Centre to support 2,000 investigations a year, and expand capacity at regional labs.

By launching a new Chemical Precursor Risk Management Unit, Health Canada will be able to provide better insight into precursor chemicals and distribution channels, enhance monitoring and surveillance and enable timely law enforcement action.

In addition, Health Canada will accelerate the regulatory process for banning precursors so that border and law enforcement can take swift action to prevent their illegal importation and use.
 
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Laodicean60

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Some deal. All Canada did was agree to do things they already planned to do prior to the tariffs.
"In a separate post on X, Trudeau indicated that Canada would move ahead with its $1.3 billion border plan announced in December, weeks after Trump first threatened the 25% duties that were due to take effect at 12:01 a.m. Tuesday. (Canadian energy products would have been subjected to a lower 10% rate.)"
 
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JimR-OCDS

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Some deal. All Canada did was agree to do things they already planned to do prior to the tariffs.

Government of Canada announces its plan to strengthen border security and our immigration system

December 17, 2024

Today, the Honourable Dominic LeBlanc, Minister of Finance and Intergovernmental Affairs, along with the Honourable Marc Miller, Minister of Immigration, Refugees and Citizenship and the Honourable Ya'ara Saks, Minister of Mental Health and Addictions and Associate Minister of Health, released Canada’s Border Plan. Backed by an investment of $1.3 billion and built around five pillars, this plan will bolster border security, strengthen our immigration system and contribute to ensuring Canada's future prosperity.

Detecting and disrupting the fentanyl trade

The Government of Canada will increase support to law enforcement agencies in detecting, intercepting and addressing fentanyl and precursor chemicals by adding artificial intelligence and imaging tools that will further help detect illegal drugs before they enter Canada.

As well, the Canada Border Services Agency (CBSA) will train and deploy new canine teams to intercept illegal drugs. The agency currently has over 80 detector dog teams located at various ports of entry across Canada. CBSA will also deploy new chemical detection tools at high-risk ports of entry.

Health Canada will create a new Canadian Drug Profiling Centre to support 2,000 investigations a year, and expand capacity at regional labs.

By launching a new Chemical Precursor Risk Management Unit, Health Canada will be able to provide better insight into precursor chemicals and distribution channels, enhance monitoring and surveillance and enable timely law enforcement action.

In addition, Health Canada will accelerate the regulatory process for banning precursors so that border and law enforcement can take swift action to prevent their illegal importation and use.
Right after Trump was elected president, the Canadian Government changed.

Before that, it was Biden's open border policy with Canada and Mexico.
 
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JosephZ

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Right after Trump was elected president, the Canadian Government changed.
Trump got something that was already going to happen. The Canadian Government outlined it's border security plan long before the election.

In 2024 to 2025, the CBSA plans to achieve the following results under its core responsibility of border management:

The CBSA is combatting the cross-border movement of illicit drugs and precursor chemicals, with a particular focus on synthetic opioids such as fentanyl, through an array of measures to intercept illegal substances at ports of entry. These include targeting and intelligence development, enhanced controls in the postal stream, and enforcement tools and technology for the safe examination of goods suspected to contain highly toxic substances. The Agency is also collaborating with partners by sharing intelligence and information to identify and interdict illicit shipments.

Snapshot of planned resources in 2024 to 2025:

Planned spending: $1,776,503,392
Planned full-time resources: 12,243 full-time equivalents
 
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JimR-OCDS

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Trump got something that was already going to happen. The Canadian Government outlined it's border security plan long before the election.

In 2024 to 2025, the CBSA plans to achieve the following results under its core responsibility of border management:

The CBSA is combatting the cross-border movement of illicit drugs and precursor chemicals, with a particular focus on synthetic opioids such as fentanyl, through an array of measures to intercept illegal substances at ports of entry. These include targeting and intelligence development, enhanced controls in the postal stream, and enforcement tools and technology for the safe examination of goods suspected to contain highly toxic substances. The Agency is also collaborating with partners by sharing intelligence and information to identify and interdict illicit shipments.

Snapshot of planned resources in 2024 to 2025:

Planned spending: $1,776,503,392
Planned full-time resources: 12,243 full-time equivalents
Wrong, it wasn't happening under Biden. Canada only changed after Trump was elected.

Fact is, the 25% Tariff Trump was going to place on Canada and Mexico, is now on hold for 30 days.

This was a negotiating ploy by Trump as the US markets are more important to Canada and Mexico than
their markets are to Americans.

Trump is serving America, more than any president before him except perhaps Ronald Reagan.
 
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JimR-OCDS

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Illegal immigrants, traffickers, other criminals and also refugees use the long border between America and Canada to illegally cross in between the official ports of entry. They have adapted their methods to modern time, creating new challenges for locals that live nearby and the law enforcement units that patrol.

 
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JosephZ

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OH, so inaccurate either way.
How so? Canada already a border plan in place long before the November election, and the plan that Canada is implementing was announced during the Biden administration.
 
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ViaCrucis

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Fact is, the 25% Tariff Trump was going to place on Canada and Mexico, is now on hold for 30 days.

The tariff was never going to hurt Canada as much as it hurts the US.

How do people not get that tariffs hurt the importers? A tariff is a expenditure added to the importing of foreign goods, it is paid by the importer. If an American company is paying 2.99 on an item from X country, and then a tariff is enacted and now that American company is paying 2.99 plus the tariff, that American company isn't going to just sponge the extra cost, it's going to recoup that expense by passing the buck to the consumer.

"Oh, but doesn't that mean there's now an incentive for the American company to buy domestic product rather than import foreign product?" Maybe, but unlikely. If it is still cheaper to import, then there is no incentive to buy domestic (this is the basic principle of supply and demand in a global free market). If Canadian lumber is cheaper to import, even with a tariff, than purchasing domestic American lumber, then the net result is more expensive imported lumber for the American consumer.

This is why tariffs have, historically, been ineffective; and in fact have created massive economic problems and instability, such as the Smoot-Hawley Act which made the Great Depression worse.

Additionally, what we just witnessed was the Canadian government outsmarting Donald Trump by doing what it was already going to do anyway. This wasn't a win for Donald Trump, it just is an example of his incompetence.

If I threaten to shoot myself in the foot if you don't pay your electric bill this month, and you already were going to pay the electric bill this month, I haven't outsmarted you when you say "Uh, yeah, I'll pay my bill and you don't have to shoot your own foot"--because my threat was never going to hurt you, and you were going to do what you were going to do anyway.

Trump holding a gun and holding the American people hostage unless Canada does what it was already going to do doesn't make Donald Trump smart or good.

-CryptoLutheran
 
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ViaCrucis

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How so? Canada already a border plan in place long before the November election, and the plan that Canada is implementing was announced during the Biden administration.

Yeah, but they didn't start doing it until after the November election. Obviously that's a Trump win.

My car insurance didn't pay to fix my car until after the November election, that's obviously thanks to Donald Trump. Even though it was in December when my car got hit, and that's why my insurance is paying.

This is how it works, right?

-CryptoLutheran
 
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JimR-OCDS

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The tariff was never going to hurt Canada as much as it hurts the US.

How do people not get that tariffs hurt the importers? A tariff is a expenditure added to the importing of foreign goods, it is paid by the importer. If an American company is paying 2.99 on an item from X country, and then a tariff is enacted and now that American company is paying 2.99 plus the tariff, that American company isn't going to just sponge the extra cost, it's going to recoup that expense by passing the buck to the consumer.

"Oh, but doesn't that mean there's now an incentive for the American company to buy domestic product rather than import foreign product?" Maybe, but unlikely. If it is still cheaper to import, then there is no incentive to buy domestic (this is the basic principle of supply and demand in a global free market). If Canadian lumber is cheaper to import, even with a tariff, than purchasing domestic American lumber, then the net result is more expensive imported lumber for the American consumer.

This is why tariffs have, historically, been ineffective; and in fact have created massive economic problems and instability, such as the Smoot-Hawley Act which made the Great Depression worse.

Additionally, what we just witnessed was the Canadian government outsmarting Donald Trump by doing what it was already going to do anyway. This wasn't a win for Donald Trump, it just is an example of his incompetence.

If I threaten to shoot myself in the foot if you don't pay your electric bill this month, and you already were going to pay the electric bill this month, I haven't outsmarted you when you say "Uh, yeah, I'll pay my bill and you don't have to shoot your own foot"--because my threat was never going to hurt you, and you were going to do what you were going to do anyway.

Trump holding a gun and holding the American people hostage unless Canada does what it was already going to do doesn't make Donald Trump smart or good.

-CryptoLutheran
Until the products are manufactured here in the states rather than being imported. There's no tariffs on domestic products.
 
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JimR-OCDS

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So les see, Canada spends 2% of its GDP on military defense, in 2023.

Mexico spends .7% of its GDP on defense, in 2023.

The US spends, 13.3% of its GDP on defense.
As of 2024.

Why is Mexico and Canada spending so little? Because they have
the US on each side backing them militarily.

Trump's tariff threat was to get those two countries to start paying
their fair share for their own defense and border protection rather
than relying on the US military if there should be a need.

Trump's tariffs should be called, Trump's tactics, not taxes. :D
 
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ViaCrucis

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Until the products are manufactured here in the states rather than being imported. There's no tariffs on domestic products.

Why would a company buy domestic at a higher cost than imported? If it is still cheaper to buy imported even with the tariffs, then what's the incentive to buy domestic?

If our industries don't have enough domestic materials and need to supplement domestic materials with imported materials (e.g. lumber), then it's entirely a moot point talking about going domestic since the imported material is required to meet the need.

Say Bob has 35 widgets, and Tony needs 100 widgets, well Tony can buy the 35 from Bob; but he still needs 65 more widgets. So Tony has to get 65 widgets still. Even if Bob's widgets are cheaper than other widgets, Tony still needs 100 widgets. So even assuming Bob's widgets are cheaper, forcing Tony to pay more for widgets that aren't Bob's isn't going to result in Tony selling his patented widget-wonder at a lower cost to the consumer--Tony will have to raise the price to compensate for the higher costs he's paying.

So even assuming Bob's widgets are cheaper, it doesn't really matter--Bob only has 35 widgets for sale, Tony can't buy more of what doesn't exist.

But what if Bob has plenty of widgets, but they cost more than competing widgets? We want Tony to buy from Bob, so Tony has to pay an extra fee when buying the cheaper widgets. Problem is that even with the 25% increase in buying alternative widgets, it's still more cost effective to simply buy the cheap widgets and raise the price of his widget-wonder to compensate for the 25% increase he's paying. Because Bob's widgets still cost more.

Now, see, if Bob's widgets are plentiful and cheaper, well that'd be one thing. But then if Bob's widgets were plentiful and cheaper, then Tony wouldn't be bothering with getting his widgets anywhere else to begin with. The problem is that Bob's widgets are either more expensive, less plentiful, or both--that's why Tony gets his widgets elsewhere.

The only possible solution to this conundrum is if Bob's widgets become cheaper and/or more plentiful. But raising the price on other widgets by 25% can't make Bob have more widgets than there are widgets available for Bob to sell--it may be possible that Bob's widgets become cheaper this way. However, Bob might be a very shrewd businessman, if for some reason he can get away with being the sole supplier of widgets, well why not make his widgets cost more? Simply raise the price of his widgets, especially if he can monopolize on the widget trade.

Now, we might also entertain that governing agencies might have to break up Bob's monopoly, but, the guys in charge, well, they like monopolies, and Bob gives them kickbacks anyway. So that's not going to happen.

Anyway. This has been "Didn't they teach you this in middle school?" with your host ViaCrucis. Next time we talk about how if we cut down ALL the trees, there won't be anymore trees--so we need to conserve trees and not engage in environmental exploitation for immediate gain and longterm loss. And later on we'll talk about how eating lead is, in fact, bad for you; with special guest appearance of lead-eating proponent, Robert Kennedy Jr to debate the issue. Elon Musk intends to show up, give his heart to everyone, while declaring the arrival of a new thousand year reich.

-CryptoLutheran
 
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Gregory Thompson

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JimR-OCDS

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So, if you favor the United States paying for the defense of Canada and Mexico, you'll be against
the proposed tariffs.

If you favor Canada and Mexico paying a fair share for their defense and border patrol, you
appreciate what Trump is doing.

Tactful negotiations is what Trump is doing.

We're no longer a sucker nation for the world to spit on!

BTW, did you know that Biden gave the Taliban in Afghanistan $1.5 billion when he pulled out?
Probably not as the media never reported it.
 
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