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Republicans were hard at work this week in Washington as the party tries to sell their record of accomplishments over Donald Trump’s first 100 days in office.
But on Monday night, Canada delivered a resounding rebuke of the United States and Trump’s trade agenda, leaving the end of his trade war appearing further away than ever. The administration, having yet to announce a single major deal resulting from Trump’s escalated “reciprocal” tariffs, is facing more and more scrutiny over its endgame.
Mark Carney will serve a full term as prime minister after his Liberal party won a resounding victory in Canada’s elections, bolstered by support for a firm line the party has taken against Trump’s trade negotiation tactics. In his victory speech, Carney even referenced the US president’s repeated claim that Canada should join the United States.
"America wants our land, our resources, our water, our country," Carney said. "These are not idle threats. President Trump is trying to break us so America can own us.”
Carney went on to deliver a blistering condemnation: "Our old relationship with the United States, a relationship based on steadily increasing integration, is over.
"The system of open global trade anchored by the United States, a system that Canada has relied on since the Second World War, a system that, while not perfect, has helped deliver prosperity for a country for decades, is over. These are tragedies, but it's also our new reality.
"We are over the shock of the American betrayal, but we should never forget the lessons."
His party has vowed to fight America with strategic tariffs aimed at hurting the American economy and protection for Canadian industries that might be affected. Carney’s victory is notable as the rival Conservative Party was widely seen as on course for a win before the trade war erupted.
Trump and his aides are now facing pressure to prove that any positive outcomes are developing from his protectionist stance. In the case of China, they’re being accused of lying about talks even taking place at all. China’s foreign ministry swatted away that assertion last week after Trump claimed that progress was being made towards a deal.
In short: Trump’s usual bluster seems to have reached an expiration point. The White House needs results to assuage nervous Republicans on the Hill and business leaders alike.
On Tuesday, senior Commerce Department officials told reporters on a press call that Trump was set to sign an executive order creating a tariff “runway” for auto companies seeking to bring manufacturing back to US shores. Automakers moving production to US facilities will be able to receive rebates for up to 15 percent of the total value of cars assembled domestically to offset price hikes on parts imported from abroad.
A handful of auto companies including General Motors, Honda and Hyundai had previously announced plans to increase domestic manufacturing in response to Trump’s tariffs.
That news was likely to be part of the president’s victory lap in Warren, Michigan on Tuesday — his first campaign-style rally since taking office in January. He’ll need news of further investments, however, to convince Americans that the overall strategy is working.
Other areas of the US economy continue to be hit hard by the tariff announcements and most experts continue to predict a recession formally beginning later this year. UPS on Tuesday announced expected layoffs of 20,000 workers, citing a potential global trade slowdown.
And the stress being felt at the White House was obvious Tuesday morning as Trump’s press secretary Karoline Leavitt angrily rebuked Amazon from the podium over a Punchbowl News report claiming that the tech and marketplace giant was set to display the individual cost of tariffs next to items in its web store.
An Amazon spokesperson later clarified that plans for listing those tariff price hikes were not final and would not be implemented, but not before the president personally called Jeff Bezos to complain.
English (US) ·