Canada gives border security extra powers to crack down on cheap steel, aluminum

You can read this articles here:

• http://www.cbc.ca/news/politics/canada-steel-border-trump-1.4594715
• http://business.financialpost.com/news/economy/fearing-a-flood-of-steel-canada-scrambles-to-avoid-being-a-dumping-ground-amid-u-s-tariffs
• ehttps://www.thestar.com/business/2018/03/27/canadian-border-security-given-extra-powers-to-crack-down-on-cheap-steel-aluminum.html

Some interesting things are starting to happen economically for Canada, unfortunately these moves will wind up costing Canadians more money being that Trudeau’s Liberals having involved the Unions into the Customs process. One of the areas of the Canadian economy costing Canadians the most problems is Canada post. Canada post is unionized and being that they’re a crown corporation their fees that they pass onto businesses and customers are basically untouchable. What Trudeau is basically doing here is protecting the Steel industry from competition which is great for workers but bad for Canadians. Trump’s tariffs are based on other countries putting tariffs on American made goods.

While Trump’s tariffs are based on America’s ability to consume, Canada on the other hand our population is around 36 million people. A lot of businesses simply ignore us already because of the heavy regulations we already have in place. I’m not so sure this idea will work as planned as the tentacles of unions will want to stretch what the deem as “businesses that try to dodge import duties”. The reason why Trump has the upper hand on a trade war is because Americans usually only charge 2% tariffs.

Canada already has high import duties, it’s the reason as an example that Amazon.com prefers not to sell to Canadian customers. If Canada customs starts treating China the way it treats America well… Expect price increases everywhere.

If Canadians had the option of buying from Amazon.com vs. Amazon.ca Canadians even with the lower loonie would choose Amazon.com. Canadians settle for Amazon.ca because custom fees are subjective, meaning if they buy something from America for $100USD by the time they get their customs fee they will be charged possible $80CAD.

Well based on this move by Trudeau the price of foreign Aluminum and steel will be subject to additional charges also, which businesses will pass onto consumers. The Unions representing steel and Aluminum workers have a job to protect the people they represent so all I will say is… Canada get ready to pay more. Warning again to you Liberals Canada and America are not equal economically, we as Canadians are not in the same position as America from an economic perspective.

Part of the reason our quality of life has been so good here Canada is because we’ve been getting away with cheating. A trade war favours America first and China second, Canada is far down the list it’s the reason China and India haven’t really cared too much for what Trudeau has to say. In actuality this is the period where Canada should either be more conservative or simply stand and wait on the sidelines.

Canada’s interest rates are artificially low, our manufacturing base is heavily regulated which is not good when you’re trying to attract foreign capital and now it appears Trudeau’s Liberals want to get involved with a trade war. Well… We’ll see how this stuff turns out. Did I mention Canada is the most indebted nation in the world per person. Hey Canadians voted for him… Interesting times ahead.