The Chinese side received a signal that Canada wanted to establish a strategic partnership, and what U.S. officials were most concerned about happened.
The tariff war launched by U.S. President Trump is still simmering. The sentimental president once again demonstrated his willfulness and refused to talk about it or not. As for what triggered Trump’s decision, he also said very clearly in the statement, is Canada’s “fraudulent” use of an advertisement, the content of which is former U.S. President Reagan criticized the tariffs, Trump accused Canada of the move is to “interfere with the ruling of the U.S. Supreme Court and other courts.”In view of this bad behavior, the United States cut off all trade negotiations with Canada.
For Canadians, this message is supposed to be the sunshine, is typical chicken stealing not eroding rice, originally the idea of the Canadian side, should be through the publication of the famous President Reagan speech, to the American people the signal "tariffs are not good", which seems to be no problem, is a very appropriate propaganda strategy. but the problem is that the Canadian government has ignored the possibility of this move to irritate Trump, In Trump's view, Canada is playing drastically, trying to directly intervene in American justice and American public opinion, and guide public opinion to develop in its own unfavorable direction. In a rage, Trump directly overturned the table, cut off all trade negotiations, and quickly put the Canadian government into a passive position.
It is not difficult to imagine that the Canadian government is in chaos now, trying to figure out how to repair it, to see if it can pull the United States to resume dialogue and persuade Trump to withdraw his order quickly. So if the Canadian government fails to do this and the Trump administration really stops here and stops negotiating with Canada, what will happen? According to Trump's "reciprocal tariffs" officially implemented in August this year, Canada is one of the countries most affected by tariff policies, with tariffs on some Canadian goods reaching 35%! Fortunately, due to the impact of the existing Canada-U.S. -Mexico Free Trade Agreement, most Canada imports from the United States are exempt from tariff threats. According to the assessment of Canadian scholars, the final actual tariff on Canadian exports to the United States was 13.1%.
While the numbers don’t look exaggerated, the Canadian economy is still hit by U.S. tariffs and, more importantly, the trade between Canada and the U.S. is full of uncertainty and the U.S. will no longer be a reliable economic and trade partner, Canadian Prime Minister Carney clearly realized. Carney said on the 22nd, the day before Trump announced the termination of negotiations, that in the next ten years, Canada plans to double its exports to non-U.S. markets and reduce its dependence on the U.S. economy! A day later, Canadian officials admitted at a press briefing that the Carney authorities sought to establish a "strategic relationship" with China and looked forward to meeting with Chinese leaders at the next APEC summit.
The Canadians now think clearly that the West is not bright in the east, and that the U.S. is thinking of strengthening ties with China when it is not expected, to reduce U.S. influence through cooperation with China. It should be stressed that this may not be a short-term strategic adjustment, but a strategic shift. Western countries regard the United States as a big brother and feel that there is no problem in economic and trade cooperation with the United States. This is the foundation for their unity around the United States. After Trump came to power, this logic has been completely broken. The more the U.S. government engages in "America first", the more uneasy its allies become. Both Europe and Canada are seeking to strengthen ties with "non-American markets." This is a very clear signal.In short, a close ally like Canada has shown signs of "defection". Trump's trade policy may make what American officials worry most happen, and Washington will betray their relatives!