AI concluded Mark Carney lies… Nope, Carney got No Card to negotiate, let alone resolving the Trump Tariffs
Trump to Sign Order Hiking Steel, Aluminum Tariffs to 50%
President Donald Trump will sign a directive on Tuesday formally raising steel and aluminum tariffs to 50% from 25%, White House Press Secretary Karoline Leavitt announced.
Trump said last Friday the higher charge will take effect on June 4, but Leavitt did not elaborate on the timing. The move raises trade tensions at a time when the US is locked in negotiations with numerous trading partners over his so-called āreciprocalā duties before a July 9 deadline.
The presidentās ability to unilaterally impose tariffs stands on shakier legal ground, after a federal court knocked down duties he announced under an emergency law. His levies on metals were not subject to that ruling.
Trump announced the decision during a speech at a United States Steel Corp. plant in Pennsylvania on Friday, where he endorsed the sale of the company to Japanās Nippon Steel Corp. while pledging that it would remain under some form of American control.
Read More: US Aluminum and Steel Prices Surge as Trump Doubles Tariffs
āThat means that nobodyās going to be able to steal your industry,ā he told steelworkers Friday, in announcing the higher tariff. āItās at 25%, they can sort of get over that fence; at 50% they can no longer get over the fence.ā
He later announced in a social media post that the aluminum tariff would also rise to the same level.
Trumpās administration is locked in a legal battle over the bulk of its tariffs, imposed under the International Emergency Economic Powers Act, or IEEPA. The steel and aluminum tariffs are unaffected by that fight because they were imposed using a different authority.
Here comes the moment of truth for Canada…
Can Mark Carney resolve the Trump Tariffs?
Mark Carney may have some flashy credential in economic business, albeit harsh critique and condemnation during his tenure as a former central banker of Bank of Englan, but he does not have any direct authority to resolve U.S. tariffs imposed by the Trump administration.
Key Considerations:
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U.S. Tariff Authority ā Only the U.S. president (or Congress, in some cases) can adjust tariffs. External figures like Carney cannot unilaterally change them.
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Carneyās Potential Roles ā
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If acting as an advisor (e.g., to the UN, G20, or a private institution), he could advocate for dialogue or multilateral solutions.
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If involved in trade negotiations (e.g., representing Canada or an international body), he might work behind the scenes to propose compromises.
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Diplomatic/Economic Pressure ā The EU, Canada, or other affected parties could lobby the U.S. or retaliate, but Carneyās influence would depend on his institutional backing.
Likely Outcome:
Carney alone cannot “resolve” the tariffs, but he could contribute to broader efforts to mitigate trade tensions through policy recommendations or coalition-building. The ultimate decision rests with the U.S. administration.
Conclusion: Nope, Mark Carney got No Card to negotiate, let alone resolving the Trump Tariffs
So, what will happen to Canada with 50% Tariffs Ā slammed on our Steel, Aluminum?
With the U.S. imposing 50% tariffs on Canadian steel and aluminum, the economic and political consequences for Canada would be severe. Hereās a breakdown of likely outcomes:
1. Immediate Economic Impact
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Export Crunch: Canada is the largest supplier of steel and aluminum to the U.S. (about 50% of Canadian steel exports go to the U.S.). A 50% tariff would make Canadian metals uncompetitive, leading to:
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Factory shutdowns (especially in Ontario and Quebec).
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Job losses in metals production and related industries.
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Price Spikes in the U.S.: American manufacturers (e.g., automakers, construction) relying on Canadian metals would face higher costs, potentially passing them to consumers.
2. Canadian Retaliation & Trade War Escalation
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History of Counter-Tariffs: In 2018, when Trump imposed 25% steel/10% aluminum tariffs, Canada retaliated with $16.6B in tariffs on U.S. goods (e.g., bourbon, ketchup, washing machines).
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Likely New Retaliation: Canada would likely target politically sensitive U.S. exports (agriculture, machinery, auto parts).
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WTO Challenge: Canada would file a complaint, but resolution could take years.
3. Supply Chain Disruptions
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North American Auto Industry at Risk: Canada and the U.S. have deeply integrated supply chains (e.g., auto manufacturing). Higher input costs could push some production to Asia/Mexico.
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Canadian Diversification Efforts: Canada may accelerate trade deals with the EU, UK, and Asia to reduce U.S. dependence.
4. Political Fallout
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Strained U.S.-Canada Relations: Even if Trump returns, Canada would harden its stance, possibly aligning more with Europe on trade.
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Domestic Pressure in Canada: The federal government would face demands for bailouts of affected industries (similar to 2018ās $2B support package for steelworkers).
5. Long-Term Shifts
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More Protectionism in Canada: Ottawa may increase subsidies for domestic metals production or impose stricter “Buy Canadian” policies.
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Investment Flight: Some U.S. and foreign investors might avoid Canadian metals due to tariff uncertainty.
Bottom Line
A 50% tariff would hurt Canadaās metals industry badly, trigger retaliatory tariffs, disrupt North American supply chains, and sour U.S.-Canada trade relations. The short-term pain would be very significant, and long-term decoupling from the U.S. market could accelerate… It’s gonna be Armmageddon for Canada no matter how one tries to slice it.
Today’s Award Winner is… Elon Musk
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