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this post was submitted on 04 Mar 2025
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Trump's tariffs are universal. Meaning that even in cases where the only practical option is Canada, for example potash, they have to suffer a direct 25% price increase.
The Canadian tariffs are highly selective, we only tariff goods that have alternate non US suppliers at similar prices. In this case the tariffs would mostly reduce market competition without directly affecting price.
I think the better approach is to not enforced the digital lock aspects of the free trade agreement and have Canada be a leading repairer of farm and industrial equipment.
Aluminum is another one, apparently. The element is everywhere, but it takes massive amounts of electricity to get in metal form, which we just happen to have from all the dams in great lakes region.
Our Aluminum companies are literally planning to change nothing. They expect their American customers will just eat the cost.
Doesn't Belarus also produce potash? I thought they were dropping sanctions against them to get it
I mean yeah, but Canada produces an ENORMOUS percentage of the world's potash.
Edit: checked the numbers. Canada produced ~38% of the worlds potash (25mil lbs), while Belarus produced 5-7mil lbs, most of which already goes to China, Russia, and India. Canada exports 46% of our potash to the US, meaning the US could buy ALL of belarus' potash and still not meet current supply.