And what a week it was.
The tariffs came! And then they were paused! Our economy was on the brink! And then it wasn’t!
What exactly happened since we last spoke? Well, quite a bit!
The Dumbest Trade War in History
No shots were fired, but US President Donald Trump and America did declare a type of war on Canada – and Mexico and China (sort of).
A unilateral, unprovoked trade war on your closest ally, neighbour, and trading partner? It’s hard to see this as anything other than an aggressive act designed to attack our sovereignty. And though the week ended on a calmer note, Canada is hardly out of the woods.
To understand what it all means, let’s start at the beginning, with the pro-economy, editorially-conservative Wall Street Journal declaring Trump’s actions as unequivocally stupid:
The Dumbest Trade War in History
That was Saturday. By Tuesday? A few things changed.
What exactly happened? The Globe & Mail has the moment-by-moment breakdown of events:
By the end of Tuesday, the economic markets recovered from the shock of Trump’s actions, with the Canadian dollar rebounding as well:
Global markets recover most losses as roller-coaster day ends with pause on U.S. tariffs
So, what happens next? CBC’s Aaron Wherry breaks it down:
The trade war is off — but for how long?
What does the uncertainty mean for the Canadian economy? Nothing good, according to the Chamber of Commerce:
Canadian Chamber of Commerce says uncertainty and turmoil persist with tariff delay
Regardless of when or if the tariffs are applied, the Canada-US relationship might be forever altered:
This isn’t just a trade spat. North America changed today
Did Trump wake ‘sleeping giant’ of ‘Buy Canadian’? Why some won’t budge
Why?
This is the question that almost every Canadian is asking: Why did Trump do it?
We know Trump said the tariffs were in pursuit of securing the border and addressing America’s drug crisis. But seeing as Canada is responsible for less than 1% of the problem, that argument doesn’t really hold water. And while the US does want Canada to spend more on defense, it’s also unlikely that this issue provoked the trade war either. Nor is it likely that Trump’s actions were because of trade deficits (oil is the reason for the trade deficit and oil alone was sparred the 25% tariff) or American banking options in Canada (American banks exist in Canada).
So, what could possibly have provoked Trump? Quite possibly a desire to annex Canada. No joke.
Trump doubles down on floating Canada as 51st state amid tariff dispute
Now this is serious, as Tasha Kheiriddin explains:
Here’s another take on Trump’s potential endgame and the threat to Canada’s sovereignty:
Trump’s Expansionist Plan, Part II: What’s His Endgame?
If annexation is Trump’s aim, the trade war might only be the start of our national nightmare:
Trump’s Expansionist Plan, Part II: What’s His Endgame?
And if you’re a student of history, this should be sounding alarm bells. After all, we’ve seen this playbook used before:
Economic policy: The Holocaust Explained
Patriotism, Renewed
The best news from the past week? We came together as a nation. Will it last? Probably not! But we should hold on to our newfound patriotism. Here are a few takes on the rebirth of Canadian nationalism:
Canadians are realizing what it is that unites us. Now we must decide what happens next.
ANALYSIS: Trump has unleashed a groundswell of Canadian patriotism. It’s about time
Confessions of a Reluctant Nationalist
Whereto From Here?
This, of course, is the biggest question facing our nation. But as you know from class, the best decision almost always starts with a question – with digging deeper – so that we can truly understand all of the facts.
We Have a Tariff Reprieve. Let’s Use it to Firmly Establish the Facts.
In that pursuit, this column is worth a read:
Donald Trump builds an alternate reality in the White House briefing room
And in that context, this isn’t the craziest idea to surface this week:
With its U.S. alliance under pressure, could Canada join the EU?
Obviously, that’s not the only hot take. The Globe and Mail’s editorial board believes all Canadians need to rally behind this manifesto:
A manifesto for Canadian voters in 2025 (and beyond)
And one economic pundit believes Canada now, more than ever, must focus on our natural resource advantage:
Eric Nuttall: Now is the time to unleash Canada’s enormous resource potential
But, lest we forget, every action has a reaction. Like what? Well, two studies released this week should offer hints:
Global report calls for urgent action to reverse biodiversity loss
Nickel mining a serious concern for climate action, reveals study
Right then, this won’t be easy! But we can only make the best decision – for Canada and for our world – if we truly understand the totality of the stakes.
And then? Well, then it will be time to make a hard call. Just don’t assume the best decision is always the obvious one, as this article’s thought exercise explains. (Hat tip to your teacher, Sarah Ramirez!)
Which is worse for wildlife, wind farms or oil drilling?
Will next week be even crazier? Who knows! But no matter what the world has in store, we’re here to help you understand what it all means and how it relates to what you’re learning in class. Have a great weekend!