Canada’s current 25 percent countertariff on U.S. steel and aluminum will remain in place during the negotiations. But if a deal is not reached by the new deadline, both sides are threatening to raise and expand their duties on the other’s goods.

In a letter addressed to Carney on Thursday, Trump wrote that Canadian goods imported into the U.S. could face a blanket 35 percent tariff starting next month. A White House official, granted anonymity to discuss the negotiations, said the administration plans to impose the tariff only on goods that do not comply with the 2020 USMCA, though the ultimate details will be up to Trump to decide.

Trump doubled tariffs on all steel and aluminum imports entering the U.S. to 50 percent in June, but Ottawa has yet to match the move — despite pressure from the steel industry, labor unions and Ontario Premier Doug Ford.

“Everything is pushed back to Aug. 1,” said one official, who was granted anonymity to speak candidly.

Trump and Carney didn’t speak Thursday, the prime minister’s office said, but high-ranking officials from both sides met that day, before Trump posted the letter. Unlike other countries, Canadian officials did not appear rattled by the letter. The prime minister remained on vacation in the Ottawa region.

“On we go!” a Canadian diplomat, who was granted anonymity, told POLITICO. Speaking to reporters Friday, Trump noted his trade letter to Carney “was sent yesterday. They called. I think it was fairly well-received. So, we’ll see what happens.”

This is the second time the deadline for the U.S.-Canada talks has moved. The leaders agreed to a July 16 deadline during the G7 Leaders’ Summit but later moved that to July 21.

Carney said Canada will work toward the revised deadline.

“Throughout the current trade negotiations with the United States, the Canadian government has steadfastly defended our workers and businesses,” Carney said on X.

Carney will meet with his Cabinet on Tuesday to discuss the negotiations, and on July 22 he will meet with Canada’s premiers.

“In the face of President Trump’s latest threat, we need to come together. We need a plan on how Canada will respond and how we’ll protect our workers, businesses and communities,” Ford said on the social media site X.

Trump justified the latest threat to increase tariffs by pointing to fentanyl trafficking — even though America’s own data shows that less than 0.1 percent of fentanyl seized by U.S. authorities was at the Canada-U.S. border. He also railed against Canada’s tariffs on U.S. dairy — which are levied only if U.S. dairy exports exceed a predetermined quota. “Frustratingly, the U.S. has never gotten close to exceeding” the quotas, the International Dairy Foods Association said in March.

British Columbia Premier David Eby called Trump’s letter “flailing and factually incorrect.”

“Other F words come to mind,” Eby said on X. “Just one more reminder of why Canadians need to come together, to grow our economy and stand strong.”

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As a result,

Brace for “Carney Carnage”… A Super Duper Economic Armageddon Compliment of Mark Carney

You’re right to be concerned—a 35% U.S. tariff on Canadian goods would be economically devastating for Canada, though may not be a complete collapse. However, key industries would face severe damage, unemployment would spike, and Canada would likely enter a deep recession. Here’s a breakdown of the worst-case scenario if the tariffs stay:

1. Immediate Economic Shock

• GDP Contraction: Canada sends 75% of its exports to the U.S. A 35% tariff would crush trade volumes, likely shrinking Canada’s GDP by 3-5% initially (similar to a major financial crisis).

• Loonie Crash: The CAD could plummet to $0.60–0.65 USD (from ~$0.73 today), worsening inflation.

• Stock Market & Investment Freeze: TSX would tank, especially for export-heavy firms; U.S. and foreign investors might pull out.

2. Industry-by-Industry Collapse

(a) Auto Industry (Biggest Casualty)

• Why? Canada builds 1.5M+ vehicles/year, almost all for the U.S. (Toyota, Ford, GM, Stellantis plants).

• Impact:

  • Plants close (Windsor, Oakville, Alliston at risk).

  • 250,000+ direct jobs lost, plus 1M+ indirect (suppliers, logistics).

  • U.S. moves production south (Mexico, U.S. states with subsidies).

• Long-term: Canada’s auto sector never fully recovers.

(b) Aluminum, Steel, & Metals

• Canada is the largest U.S. aluminum supplier (~50% of imports).

• Impact:

  • Smelters in Quebec (Rio Tinto, Alcoa) slash output.

  • Steel mills (Hamilton, Sault Ste. Marie) face shutdowns.

  • Copper/nickel miners (Vale, Teck) lose U.S. buyers.

• Result: 50,000+ jobs lost, regional depressions in resource towns.

(c) Oil & Gas

• Canada exports 3.8M barrels/day to the U.S. (mostly to Midwest).

• Impact:

  • Tariffs make Canadian oil uncompetitive vs. Texas/Gulf crude.

  • Alberta/Saskatchewan energy sector collapses again (2014-16 crisis x10).

  • Keystone XL-style political warfare escalates.

(d) Lumber & Forestry

• 20%+ of Canadian lumber goes to U.S. (housing, construction).

• Impact:

  • BC, Ontario, Quebec mills close.

  • U.S. replaces Canada with European/Russian timber.

(e) Agriculture (Dairy, Pork, Wheat)

• U.S. is Canada’s top agri-export market.

• Impact:

  • Dairy farmers (already protected by supply management) face crisis.

  • Pork/beef producers (Prairies) lose $5B+ in sales.

  • Wheat/canola prices crash.

3. Secondary Economic Effects

• Mass Layoffs → Consumer Spending Crash: Retail, real estate, services implode.

• Banking Crisis: Mortgage defaults rise (especially in Alberta, Ontario).

• Brain Drain: Skilled workers (engineers, tech, finance) flee to U.S./Europe.

• Social Unrest: Protests (like “Yellow Vest” but worse), separatist movements (Alberta, Quebec) gain steam.

4. Political Fallout

• Federal Government Collapse?

  • If Carney fails to respond, government could fall (non-confidence vote).

• U.S.-Canada Relations Broken: Border tensions, “Buy American” policies worsen.

• Canada Turns to China/EU: Desperate deals with Beijing (risking U.S. wrath further).

5. Could Canada Survive?

• Perhaps not a “complete collapse” (Canada is still a G7 nation with resources).

• But a “Lost Decade” (like Japan in the 1990s or Italy post-2008):

  • Stagnant growth, high unemployment, falling living standards.

  • Permanent industrial decline in key sectors.

  • Debt crisis if government spends wildly on bailouts.

The Only Silver Linings

1. If Trump’s tariffs are global, Canada could exploit gaps (e.g., sell oil to Asia if China is also tariffed).

2. Massive devaluation of CAD could make Canada a cheap manufacturing hub (if automation replaces lost U.S. access).

3. Crisis forces diversification (e.g., critical minerals, tech, green energy).

Final Verdict: How Bad?

Bottom Line: Canada would face its worst economic crisis since the Great Depression, with lasting damage to its industrial base. The key question is whether Ottawa could negotiate exemptions or if the tariffs persist long enough to rewire Canada’s entire economy.

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So, what’s Carney doing now?

Nothing, except Carney the imbecile banking peon just increased the Defence Budget to $9 Billion… 5% of Canada’s GDP — Money that we don’t have and absolutely unnecessary because Russia is not our enemy, and we can never fight Uncle Sam unless we could get help from China, yet Carney decided to become a “pain in the axx” just because China is a nice gentleman nation.

Carney has been proven he’s totally incompetent… Burning money and reducing interest rate are his only ‘talent’.

Lest We Forget

Mark Carney kickstarted Housing Affordability Crisis by slashing Interest Rate to the Lowest possible at 0.25%, fueling rampant real estate speculation along with irresponsible QE and failure to implement alternative Policies to mitigate the problem

In light of the dystopian outlook, Carney’s woke regime wanted to import 100 million souls from uncivilized places eg. India thru a egregious conspiracy known as the “Century Initiative”, just when we couldn’t even afford to feed the existing populace of some 40 million.

Such is how dimwitted and heartless is the Carney Admin.

Seriously, folks should consider joining the imperial USA as 51st State, that way we could at least reform our hopelessly archaic legal system that would render folks defenceless and enable politicians and government officials to openly violate law for Corruption and even Murder (See Scandal Mark Carney condones Law Violation that compromised Safety of the general Public knowingly and wilfully)

God Bless Canada.

Carney’s Wopke Elbow Up Sheeple 😍🇨🇦  Made In Canada