Who will blink first in the Canada-US Trade War?
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Who will blink first in the Canada-US Trade War?
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Canada’s trade relationship with the United States has gone from tense to an all-out trade war.
In this special edition of On the Ledge with Dave Trafford, we trace how negotiations unravelled, how Donald Trump’s threatened 50% tariffs escalated the confrontation, and what the fallout could mean for Ontario workers, businesses and the auto sector.
Monday, the war of words went nuclear, starting with Ontario Premier Doug Ford telling Newstalk 1010's Bill Carroll "(Trump) can kiss my ass).
Tuesday, I drop in on the Gene Valaitis Show on 610 CKTB News, to update the latest in Doug Ford’s blunt response to Trump, the Presidents threat to rename Lake Ontario and the debate over whether Canada should retaliate with tariffs, energy, oil, potash and other strategic resources.
We also discussion also examines the potentially devastating impact on businesses dependent on the U.S. market — and why Americans could ultimately pay through higher prices and scarcity.
On Wednesday morning, former Ontario Premier Kathleen Wynne joins me for a deeper look at what she calls “uncharted waters.” We discuss Mark Carney’s decision to walk away from the negotiating table, Canadian sovereignty, national unity, Alberta separatism, the future of North American trade and the particular vulnerability of Ontario’s auto industry.
Wynne also looks beyond Washington. As Canada tries to diversify its trading relationships, China presents both economic opportunity and significant strategic risk. And with U.S. midterm elections approaching, we ponder whether political change in Washington would actually bring Canada any closer to resolving the trade war.
Chapters
00:00 — Introduction: How the Canada-U.S. Trade Deal Fell Apart
Dave sets up a chaotic week that ended with 50% tariffs and an escalating trade war.
02:35 — Doug Ford, Donald Trump and the Politics of Retaliation
Dave’s CKTB conversation examines Ford’s response, counter-tariffs, energy threats and the immediate risks to Canadian jobs and businesses.
16:58 — Kathleen Wynne: Canada Enters “Uncharted Waters”
The former Ontario premier discusses political uncertainty, national unity, Mark Carney and Canada’s decision to walk away from the U.S. negotiations.
28:46 — Who Really Pays for a Canada-U.S. Trade War?
Tariffs, product scarcity, American businesses and the escalating economic consequences on both sides of the border.
38:10 — Ontario’s Auto Industry Faces an Existential Threat
Wynne and Trafford examine auto tariffs, plant investment, EV policy and whether manufacturing jobs could migrate south.
47:17 — China, Free Trade and What Comes Next
As the North American trading relationship fractures, Canada confronts new opportunities — and risks — in China and other global markets.
You can watch OR listen to this episode on our YouTube Channel (Be sure to subscribe!)
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And you can leave us a voice comment here!
For more information go to Dave's website.
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