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LOS ANGELES (oc).–Pretending to have strong trading relationship with China and Canada, Canadian Prime Minister said he’s open to doing more business with China, essentially following in Trump’s footsteps. But Carney knows the difference between the mighty U.S. economy and Canada. Canada’s total trade with China in 2024 was $118 billion, with nearly a $60 billion trade deficit, with China supplying most the imports to Canada. U.S., by contrast, has nearly $660 billion trade with China with a $143 billion trade deficit, importing far more than exporting. Trump worked a deal with Chinese President Xi Jinping to end U.S. import restrictions on soy beans, something that should reduce the trade imbalance by around $12.6 billion. Carney acts like he’s on the same playing field with the U.S. with Canada ranking 10th in nominal GDP growth at $2.24 trillion compared to over $29 trillion for the U.S. So when it comes to imports-and-exports Xi understands who he’s playing with when he makes deal with the U.S. to buy more Chinese products.
Calling his talks with Xi a “turning point” in Canadian trade relations, Carney should look no further than the White House, not tout his trade relations with China. Carney knows that the U.S. had $917 billion in trade with Canada, with Canada exporting $42 billion more than it imports. Carney knows there’s a big difference to Canada’s economy trading with the U.S. Yet Carney feels, for political purposes, eager to spar with President Donald Trump not with Xi. Carney showed he doesn’t know where his bread is buttered, knowing the whopping about of trade with the U.S. Why wouldn’t Carney want to do everything possible to reduce tariffs on U.S. dairy, grain and cattle farmers, allowing U.S. businesses a level playing field? That’s all that Trump wants is a fair shake. Canada has been getting away for years with stiff tariffs with the U.S., claiming it protects Canadian jobs and business. Acting less political would be a good starting point for Carney.
Carney’s prospects of ramping up exports to China are far less likely that improving Canadian imports to the U.S. “This meeting marked a turning point in our bilateral relations. We have now unlocked a path forward,” Carney said, ignoring that fact that for years Canada hasn’t done business with China. While Xi invited Carney to Beijing, Carney would be much better off getting an invite to the White House where it could really benefit Canadian trade relations. Getting into petty squabbles with Trump because of pure politics shows that Carney is a crass politician, not really looking out for what’s bett for Canada. He knows that the amount of trade with China is miniscule compared to the U.S. Trump would increase Canada’s wealth many fold if Carney would meet Trump half-way on tariffs. When it comes the European Union, the same thing applies On $1.5 trillion in trade with the European Union, the U.S. has $236 billion trade defici Just allowing California wine without tariffs in the EU would solve much of the $236 billion trade deficit.
Trump created more political propaganda for Democrats and the fake news, exaggerating the downside to tariffs that have generated $195 billion, reducing the expected 2025 budget deficit of $1.8 trillion, down $43 billion from 2024. Trump said he’s considering rebates to U.S. taxpayers, something controversial, since Democrats wants $1.5 trillion over the next 10 years to reinstate Medicaid fundking lost in Trump’s July 4 Big Beautiful Bill. With the government shut down for a month and government food assistance programs [SNAP] due to run out soon, Democrats want Trump to get h is priorities straight. Handing out tax rebates before Trump restores Medicaid funding would not fly with Democrats. Republicans need to admit cutting Medicaid funding was a big mistakes, all because of unfounded claims they that they’re used by noncitizens. Only a few states, like California, allow noncitizens to utilize Medicaid through hospital Emergency Rooms.
White House Director of Office of Management and Budget [OMB] Russell Vought got carried away with his zealotry of the Heritage Foundation’s Project 2025. Vought should have looked for other cuts in the Big Beautiful Bill not picking on Medicaid and Obamacare subscribers. Health care is the best place for the government to spend taxpayer cash because it generates so many jobs. Ending the government shutdown and restoring Medicaid funding should be the top priority for the GOP. House Speaker Mike Johnson (R-La.) has not said yet that the House and Senate GOP are committed to restoring Medicaid funding. House Minority Leader Hakeem Jeffries (D-N.Y.) and Senate Minority Leader Chuck Schumer (D-N.Y.) need the GOP to commit to restoring Medicaid funding. There’s plenty of cash in the U.S. budget to restore Medicaid funding saving 70 million Medicaid subscriibpers, including 25 million on Obamacare, from losing benefits.
Ending the government shutdown should be the biggest priority on Capitol Hill with Democrats and Republicans getting on the same page. Watching Carney play politics with his country’s economy really shows how Trump is the favorite target for Democrats and the fake news. If Carney spent more time working on his relationship with Trump and reducing Canadian tariffs, there’s no limit to how much Canada would benefit. Carney isn’t going to change much with his trading partnership with China. His economy isn’t big enough to make real difference with China. When it comes to the U.S., Carney could watch his country grow rich by improving his relationship with Trump, but, more importantly, cutting tariffs on U.S. companies seeking to sell goods into Canada. Carney has his goldmine in the U.S.-Canada trading relationship. He needs to stop playing politics and open his country up to wealth like he’s never seen before lowering tariffs.
About the Author
John M. Curtis writes politically neutral commentary analyzing spin in national and global news. He’s editor of OnlineColumnist.com and author of Dodging The Bullet and Operation Charisma.
