the current stance is fairly mild. Canada taxing something like 10% of American imports (which represents less than 1% of total American exports) when Trump is threatening 80% of all Canadian exports is not the aggressive retaliation the rhetoric would have you believe
Sometimes you have to fire customers
i knew a guy with a cleaning business. it grew to a fairly large size (roughly ~30 employees with an office and secretaries, etc) over the course of a few years, although about 80% of the revenue came from one client. he eventually lost that client and the business had to fire most of its staff. he had to sell two properties he owned to pay off debt he had accumulated- he was spending money at a rate that was not sustainable because he assumed that money would always come in at the same rate.
he ended up giving up and sold the business to a couple of outside guys. those guys hired a sales team and diversified the business and now it’s doing great- grew literally 10x bigger than it was under original owner. but it took years.
moral of the story? when all your eggs are in one basket, you are very vulnerable.
you also have to consider that America is not only a customer, but a vendor too. Tariffs placed on American imports will lead to more tariffs being placed on Canadian imports. You not only lose sales but a source of goods. i really think most people in this thread do not fully recognize the severity of Canada’s position
but frankly it will be political suicide
It will also be political suicide to trigger a historic recession. Damned if you do, damned if you don’t. I feel bad for the new banker PM. He’s essentially a political lamb to the slaughter. Trudeau is getting out at the right time- his legacy will remain intact.
the current stance is fairly mild. Canada taxing something like 10% of American imports (which represents less than 1% of total American exports) when Trump is threatening 80% of all Canadian exports is not the aggressive retaliation the rhetoric would have you believe
i knew a guy with a cleaning business. it grew to a fairly large size (roughly ~30 employees with an office and secretaries, etc) over the course of a few years, although about 80% of the revenue came from one client. he eventually lost that client and the business had to fire most of its staff. he had to sell two properties he owned to pay off debt he had accumulated- he was spending money at a rate that was not sustainable because he assumed that money would always come in at the same rate.
he ended up giving up and sold the business to a couple of outside guys. those guys hired a sales team and diversified the business and now it’s doing great- grew literally 10x bigger than it was under original owner. but it took years.
moral of the story? when all your eggs are in one basket, you are very vulnerable.
you also have to consider that America is not only a customer, but a vendor too. Tariffs placed on American imports will lead to more tariffs being placed on Canadian imports. You not only lose sales but a source of goods. i really think most people in this thread do not fully recognize the severity of Canada’s position
It will also be political suicide to trigger a historic recession. Damned if you do, damned if you don’t. I feel bad for the new banker PM. He’s essentially a political lamb to the slaughter. Trudeau is getting out at the right time- his legacy will remain intact.