A 50% U.S. tariff was supposed to force Canada back to the bargaining table. Instead, Canadian producers found new customers, exports hit records, and American manufacturers were left paying the bill.
Trump's tariffs on Canadian aluminum was the biggest own goal, shoot yourself in the foot, total screw up that didn't make any sense for the USA from day one. Aluminum production takes a huge amount of electricity to make that Canada has in abundance at a cheap cost. The USA is sadly lacking in electrical generation. There used to be 2 dozen or so aluminum smelters in the US and they all closed as they couldn't compete with Canadian and other foreign producers. Now, American users of aluminum are coming hat in hand trying to buy whatever they can get their hands on, at a price demanded by Canada, with the added bonus of a 50% tariff for good measure. What has also helped Canada increase their exports to Europe was another Trump own goal: the Iranian war. That has caused havoc with all of the aluminum producers in the middle east. European users of aluminum could no longer get a reliable supply from the middle east and were able to quickly pivot to Canada as a reliable supplier. For Canadian aluminum producers, Europe should be a huge long term gain.
I love seeing that buyers are looking for sellers from clean-energy countries because Shitler hates clean energy. I'm American and I hate what this will do to costs I have to pay, but if the rest of the world can make the mango Mousseline squirm, I'm down with that!
I'm also in California, which would be building even more renewable energy if it weren't for the pus sac's policies. I grew up in Texas, and I love the irony that the only reason Texas can keep the air conditioners going is that it got way into wind energy over the past couple of decades--which really has to chap his highness's heinie!
Trump's tariffs on Canadian aluminum was the biggest own goal, shoot yourself in the foot, total screw up that didn't make any sense for the USA from day one. Aluminum production takes a huge amount of electricity to make that Canada has in abundance at a cheap cost. The USA is sadly lacking in electrical generation. There used to be 2 dozen or so aluminum smelters in the US and they all closed as they couldn't compete with Canadian and other foreign producers. Now, American users of aluminum are coming hat in hand trying to buy whatever they can get their hands on, at a price demanded by Canada, with the added bonus of a 50% tariff for good measure. What has also helped Canada increase their exports to Europe was another Trump own goal: the Iranian war. That has caused havoc with all of the aluminum producers in the middle east. European users of aluminum could no longer get a reliable supply from the middle east and were able to quickly pivot to Canada as a reliable supplier. For Canadian aluminum producers, Europe should be a huge long term gain.
Frank, that's the part that makes this such a spectacular own goal.
Canada didn't suddenly become good at producing aluminum... we've had the hydroelectric power and smelting capacity all along.
Trump simply gave us a very good reason to stop treating the U.S. as the automatic customer.
And Europe discovering Canada as a reliable long-term supplier may turn out to be the part Washington regrets most.
Once you've helped your supplier find better customers, removing the tariff doesn't necessarily bring them back.
It doesn’t appear that international economics was Mr Trump’s strong suit.
Michelle, I'm beginning to suspect international economics wasn't even an elective. 😂
The strange part is watching a policy designed to punish Canada help us find new customers while American companies pay more.
That's one hell of a business plan.
I love seeing that buyers are looking for sellers from clean-energy countries because Shitler hates clean energy. I'm American and I hate what this will do to costs I have to pay, but if the rest of the world can make the mango Mousseline squirm, I'm down with that!
That's the irony, djw.
Clean energy isn't just an environmental issue anymore... it's becoming a competitive advantage.
Canada's hydro-powered aluminum suddenly looks mighty attractive to countries trying to clean up their supply chains.
I hate that ordinary Americans get stuck paying for these tariff games.
You didn't impose the tariff, but somehow you're the one standing at the cash register when the bill arrives.
I'm also in California, which would be building even more renewable energy if it weren't for the pus sac's policies. I grew up in Texas, and I love the irony that the only reason Texas can keep the air conditioners going is that it got way into wind energy over the past couple of decades--which really has to chap his highness's heinie!