FROLITICKS

Satirical commentary on Canadian and American current political issues

Jul 1

This Canada Day, We Stand On Guard For Thee

by bcurry

We celebrate July 1st in recognition of the 150 years since the formation of the country called Canada. The U.S. of course celebrates July 4th in recognition of its independence day.  The two countries have a lot in common, including the longest unguarded border in the world.  We fought two World Wars and the Korean War together.  Canadian troops served in Afghanistan. Canada and the U.S. formed the continental defence body called the North American Aerospace Defense Command (NORAD). We share a common language “English”, although Canada also has “French” as a second official language.  Many Americans and Canadians work and play in each other’s countries.  Canada is America’s single largest trade partner and have a free trade arrangement in place, the North American Free Trade Agreement (NAFTA).

However, since the emergence of President Donald Trump’s administration, the relationship between our two countries has seriously deteriorated to having now become the worst in decades. The relationship has not only soured because of the current re-negotiations respecting NAFTA and recent U.S. tariffs placed on Canadian steel and aluminum products, but because of Trump’s continuing personal attacks on Canadians, including our Prime Minister.  These and other attacks on our European and Latin American allies have further aggravated world tensions, both economic and political.  Trump’s protectionist and ‘America First’ policies may play well among his base in the U.S., but it is unravelling decades of international cooperation.

There are no winners in this current atmosphere of constant turmoil and instability, much of which is reflected in the stock markets in the U.S., Canada, Japan, Europe and China. Should the trade war continue, many experts predict that the world could be in for another major global recession.  Here in Canada, businesses, workers and consumers are preparing for the worst. As Canada now has an integrated economy with the U.S., industries like the automotive sector will suffer on both sides of the border in the advent of the imposition of further tariffs. Canadians perceive the imposition of American tariffs as a deliberate attack on the Canadian economy and have responded accordingly with new tariffs on a wide range of American products.  Indeed, there are now national ‘Buy Canadian’ campaigns aimed at promoting Canadian brands over American brands.  Numerous Canadians have already decided not to vacation south of the border, and mutual tourism will suffer.

Jobs will be lost on both sides of the border, but I’m certain that the economic impact will be worst for Canada as a trading nation. The results will be an increase in Canadian opposition to the Trump regime and a growing frustration with its unfair policies.  After all, Americans are supposed to be our friends and a good neighbour.  We have never taken this for granted.  However, Canadians are a proud people and will resist any such bullying tactics by external sources, no matter how difficult conditions may become.  The question then becomes how long these conditions will continue and how long it will take to mend fences in the future?  Your guess is as good as mine.  In the meantime, as Canadians we will stand on guard for thee.  Happy Canada Day! Oh yeah, and hopefully a happy Fourth of July!

Canada Donald Trump Foreign Policy Protectionist Trade Policies U.S. Canada Border US

Leave a comment »
Jun 25

All Is Not Well in Washington, D.C.

by bcurry

It would appear that the U.S. capitol is suffering from something we could call “Trumpcolic”. The symptoms are painful and exhibit a continuous flow of wind from the intestines and bowel movements.  The smell alone can be dreadful.  This malady has affected Republicans on the Hill in particular, leaving them scurrying about in search of some medicinal relief, especially since praying has not offered any comfort.  While the cause of this epidemic is known, there appears to be no clear remedy at this time.  It’s difficult to treat since the symptoms are never consistent and change almost on a daily basis.  Indeed, the cure may be almost as bad as the disease itself.

Explanations keep emerging from the White House, but frequently are contradictory in nature. Given its almost daily instability, providing a clear prognosis has become increasingly difficult.  What is worst, the health of an entire nation is at stake!  American and foreign experts have thrown up their arms in frustration.  They have seen many a period of incontinence in the past, but nothing like this.

There are already signs that this disease has spread beyond the capitol’s boundaries. The Democrats are pushing to find a cure in the fall, while the Republicans are struggling to contain any further outbreak.  A sense of dread can be felt in all four corners of the country.  Many Americans have taken to searching out some form of immunization to protect themselves from this scourge.  Others remain convinced that the disease is fake and simply a fabrication of the established media.

Never in the history of the country have so many been challenged by such an outbreak. Despite expert opinion, no one appears to know who is to be believed anymore.  Even more important, Trumpcolic has now spread to other countries.  This has forced these countries to ally themselves in order to prevent a world-wide epidemic.  However, it may be too late because the symptoms have begun to appear in Italy, Germany, Austria, and Eastern Europe. Unfortunately, the stench is becoming that much stronger.

Donald Trump Protectionist Trade Policies US US Politics

Leave a comment »
Jun 11

President Trump’s Behaviour At The G7 Meeting In Canada Was Disrespectful To Host Leader

by bcurry

Justin Trudeau is the Prime Minister of the sovereign nation of Canada and as such deserves the normal respect given to any head of state. For the past four decades, Canada has been a recognized member of the G7 Group. This body is there to provide a valuable opportunity for the seven participating countries to discuss a number of important world issues, including trade.  Normally, at the end of each meeting a joint communiqué is issued highlighting the results of the discussions. However, although the U.S. delegation appeared to have endorsed the draft communiqué, the American President abruptly left the meeting refusing to sign off on the document. Instead, Trump launched a tirade against Prime Minister Trudeau calling him “dishonest and weak”.

Other leaders and delegates were surprised by Trump’s outburst, although not completely shocked given recent events. After all, some of these leaders have been disparaged by Trump’s statements in the past.  Some observers have labelled the tirade released by Trump and his advisors against the Canadian PM as a form of ‘bullying’.  Having placed tariffs on Canadian steel and aluminum, Canada has indicated that tariffs will be imposed on a number of American products exported to Canada.  In addition, Trump is not too happy with the negotiations surrounding the North American Free Trade Agreement (NAFTA) which have been going slower than he would have liked.  Both Canada and Mexico believe that negotiations on a new agreement need to be thorough in order to achieve a fair and equitable result for all three nations. Given the complexity of some of the trade items, this process cannot be done over night.

President Trump needs to realize that the Prime Minister has the full backing of not only his government, but also the opposition members and Canadians in general. Unlike recent contradictory statements by Trump, the Canadian position on the NAFTA negotiations and on free trade in general has been consistent.  Indeed, the Canadian position reflects that of many of its European allies who have also been hit with American tariffs.  Regrettably, the U.S. protectionist situation leaves Canada, Mexico and the European Union with no other option but to retaliate in kind. No one wants to give in to a bully.  Unfortunately, workers and consumers in the U.S. and the other affected countries will ultimately suffer.

It’s time that Donald Trump realises that he is no longer part of a reality T.V. show. He is now on the world stage and needs to act in a respectful, informed and reflective manner.  Name calling and bullying have no place in diplomacy.  Years of cooperation and trust among nations are at stake.  Trump’s administration needs to be very careful as to whom it defames and attempts to discredit.  It’s one thing to launch a trade war and quite another to start diplomatic conflicts among one’s allies.  There could be grave consequences for the so-called leader of the free world.

Canada Donald Trump Foreign Policy NAFTA Protectionist Trade Policies US

Leave a comment »
Jun 4

If Nothing Else, Enjoy the View at G7 Summit in Charlevoix, Quebec

by bcurry

Just up the St. Lawrence River in Quebec, Canada, there is the lovely region of Charlevoix. Amid hills, lakes and rivers there exists parks and hiking trails, picturesque little villages and tons of nature.  From the shores, you can often see whales playing in the St. Lawrence River. This June 8th and 9th, the region will host the next G7 summit.  If you’re not already aware, the G7 consists of the U.S., Canada, Japan, Germany, the United Kingdom, France, and Italy. What’s particularly interesting this time, President Donald Trump, the so-called master negotiator, will be there after having just placed tariffs on steel and aluminum imported from Canada, Mexico and Europe. Oh to be a fly on the wall at that meeting!

One has to remember that one of the goals of the G7 over the last four decades was to help coordinate trade and economic policies among these and other industrialized countries. The G7 has always been seen as a close-knit group having common interests.  This may all change at this summit.  None of the participants is happy with President Trump’s protectionist policies.  Indeed, some observers have described the new grouping as the “G6 plus one”, the U.S. being the one. The past goals of enhancing cooperation may be in real jeopardy, particularly when you have the American President publishing rambling tweets about the U.S. getting screwed by “stupid trade.” It’s obvious that Trump’s playing to his political core base back home, much to the chagrin of other Republicans and State governors who support “free trade” and have economically benefited from such support.

Moreover, the G7 has been somewhat effective because it had established a level of trust among its members. Now, Trump is straining those very bonds.  In addition, the President’s administration has not really gone after the real culprit in this story, China.  Instead, the President appears to be more concerned about his family’s financial interests in China and China’s role in the upcoming talks with North Korea. Although some will argue that the G7 as a body has done little to tackle certain economic and international trade issues, the fact is that at least it was there, along with the group of 20, to discuss emerging issues and perhaps avert damaging protectionist policies.

Let’s face it, I support free trade as benefiting all of us in one way or another. Indeed, I highlighted my views back in March in my blog entitled Does Trump Not Understand Fundamental Principles Behind Multi-lateral Trade?.  As for Canada, it has always had a close political and economic relationship with it’s southern neighbour.  Placing tariffs on certain products traded to the U.S. can only hurt that relationship.  Canadians are a proud people and take such actions as an affront to their country and its values, as appropriately expressed by Prime Minister Justin Trudeau.  Such actions by this American administration will do nothing but harm the current negotiations around the North American Free Trade Agreement (NAFTA).  Unfortunately, both American and Canadian workers and consumers will suffer from the most recent U.S.-imposed tariffs.  Charlevoix’s quiet ambience will most certainly be invaded by loud and angry voices.

Canada Donald Trump NAFTA Protectionist Trade Policies US

Leave a comment »
Mar 5

Does Trump Not Understand Fundamental Principles Behind Multi-lateral Trade?

by bcurry

This past week, President Trump announced (tweet, tweet) that he plans to impose tariffs of 25 percent on imported steel and 10 percent on aluminum. Besides affecting trade with Europe and China, the proposed tariffs would particularly affect Canada and Mexico. Canada is the biggest supplier of steel and aluminum to the U.S., and Mexico is the fourth largest source of steel. Both countries have asked to be excluded, and both indicated that they would strike back if Trump includes them in the stiff duties.  Trump’s basis for imposing such tariffs is on the grounds of national security, arguing that the U.S. cannot rely on foreign imports for steel and aluminum. This rationale in and of itself is totally baseless given existing security arrangements among the three countries and the nature of their integrated economies.

Not only this, Trump’s announcement has thrown a wrench into current negotiations among the three countries respecting the North American Free Trade Agreement (NAFTA). The Canadian and Mexican teams are absolutely furious, and rightly so.  The steel and aluminum tariff announcement may have just killed off any hopes of advancing on major sticking points at the NAFTA talks, including setting new rules for auto content in the region.  On top of which, Trump has implied that the two countries would not be excluded from the imposition of tariffs unless a new NAFTA deal is made which would benefit the U.S.  Some negotiating tactic!

The problem for the U.S. is that the Americans export as much steel and aluminum to Canada as they import from Canadian manufacturers. The North American market has nicely evolved over decades to allow both countries to develop more specialized sources of steel manufacturing, benefiting both countries.  This is why U.S. businesses and labour unions (e.g. United Steelworkers or USW) are arguing for an exemption from the planned tariffs. The USW, representing steel workers on both sides of the border, even went on record with the following:

“Canada is not the problem. The United States and Canada have integrated manufacturing markets and our union represents trade-impacted workers in both nations. In addition, the defense and intelligence relationship between the countries is unique and integral to our security. Any solution must exempt Canadian production. At the same time, Canada must commit to robust enforcement and enhance its cooperation to address global overcapacity in steel and aluminum. …”

Once again, the Trump administration has demonstrated its complete lack of good economic policy, all in the name of political opportunism. We now have an integrated North American market, exemplified by the fact that Canada is the biggest trade partner with the U.S.  The major problem is that there appears to be a complete lack of understanding as to how multi-lateral trade arrangements work in today’s global markets.  Unfortunately, if Trump’s approach continues, then the NAFTA talks will falter much to the detriment of all three countries and to their respective economies.  Consumers will suffer as will workers.  Hopefully, growing American domestic opposition to Trump’s protectionist trade policies will prevail.  One can only hope!

Canada Donald Trump NAFTA Protectionism Protectionist Trade Policies US

Leave a comment »
Jan 11

Relations Between Canada and U.S. Are at Their Worst in Many Years

by bcurry

Well, there is little doubt that we start off the New Year with relations between our two countries at their worst in many years. Let’s just summarize some of the issues at hand:

  •  With respect to the North American Free Trade Agreement (NAFTA), President Trump wants to void the agreement in accordance with his America first policies. Canadian, American and Mexican negotiations are not going well and could break down entirely. In addition, increases in S. duties pertaining to Canadian soft wood imports and Canada’s recent complaint on American trade tariffs to the World Trade Organization, have not helped with the NAFTA talks.  Canada was left no choice in the matter.
  • With respect to the North Atlantic Treaty Organization (NATO), on which Canada sits as a member, the U.S. is pressuring NATO partners to increase their defence spending as a proportion of the Gross Domestic Product. The U.S. is not happy with Canada’s current defence expenditures, despite Canada’s continuing contribution to the European defence scheme and its past military contributions to Desert Storm and to the war in Afghanistan.
  • On immigration, Canada has seen an increase in refugees crossing its borders from the U.S. because of fears that the Trump administration will end temporary programs — now over ten years old — that accommodated thousands of refugees who had fled natural disasters and violence in their countries. The programs’ termination will affect thousands of refugees from Central America and Haiti. For example, in January 2018, the U.S. Secretary of Homeland Security will decide whether to extend the Temporary Protected Status designation for El Salvador.
  • Trump’s declaration of Jerusalem as the capital of Israel and his intention to move the American embassy from Tel Aviv to Jerusalem is in direct contradiction to Canada’s stance which aligns itself with the United Nation’s position. Canada was forced to abstain from a recent UN vote on the American proposition to recognize the above policy. The Trump administration is also threatening to reduce its financial support for the UN and its activities.
  • The Trump administration’s position on ‘climate change’ is in direct opposition to Canada’s position, which along with the rest of the world supports the Paris Climate Agreement of 2015.

These are just a few of the conflicting positions taken by the Trump administration which cause major concerns for the current Canadian government. Ordinary people on both sides of the border remain friends and benefit extensively from the good political and trade relations that have existed for decades.  Canada fought alongside the U.S. in two World Wars, Korea and Afghanistan. Under the North American Aerospace Defense Command (NORAD), you have a U.S. and Canadian bi-national organization charged with the missions of aerospace warning and aerospace control for North America. Aerospace warning includes the detection, validation, and warning of attack against North America whether by aircraft, missiles, or space vehicles, through mutual support arrangements with other commands. Canada has cooperated with the U.S. in dealing with major cross-border environmental concerns, including mutual actions to clean up pollution in the Great Lakes and the building and maintenance of the St. Lawrence Seaway.

It’s sad that our neighbour’s government appears to no longer trust us! I firmly believe that the average American, like the average Canadian, still wants to strengthen this important relationship.  Until now, there is little doubt that our close relations have benefited both peoples.  Hopefully, Americans will come to see the potential damage to our relations should the Trump administration’s policies continue down its very rocky road.

Canada Cimate Change Donald Trump Foreign Policy Israel Protectionist Trade Policies Refugee Policies U.S. Canada Border US

Leave a comment »
Sep 28

Free Trade Versus Protective Policies and Where Is Trump Going On This?

by bcurry

As part of his campaign, President Trump stated time and time again that he wanted to either renegotiate trade agreements such as the North American Free Trade Agreement (NAFTA) involving Canada and Mexico or withdraw from negotiations involving future agreements such as the Trans-Pacific Partnership (TPP). Well, Trump withdrew from his predecessor’s signature TPP trade deal on his first full weekday in office, leaving the 11 other countries that had negotiated the pact to wonder if years of work had just gone down the drain. Currently, NAFTA negotiations are taking place with a ridiculous December 2017 deadline to complete a new deal.

The problem is that trade today involves a global economy with integrated production and services of multinational corporations around the world. Trump’s attempt to introduce protective policies is most likely going to hurt American corporations as much as foreign enterprises and workers.  In order to be competitive, American corporations now rely heavily on goods, services and component production found in other countries.  In the case of NAFTA, those in the U.S. vastly underestimate the important trading relationship most of the 50 states hold with Canada. Indeed, 35 American states trade more with Canada than any other country. Currently, some 70 percent of Canada’s trade is with the U.S. — the majority of which benefits both countries. NAFTA has also benefited Mexico economically in various ways and those American states bordering Mexico.

American, Mexican and Canadian consumers benefit through access to more and cheaper goods and services, as evidenced by the number of American retail outlets operating in Mexico and Canada. With NAFTA, we have evolved into a continental economy, with improvements for labour and the environment — particularly in Mexico as a result of side agreements. What’s interesting is that the Republicans have always been the defenders and promoters of free trade in Congress and the White House, as were leaders of the Conservative Party in Canada. Ironically, we now have a Liberal Prime Minister, Justin Trudeau, who is promoting the benefits of free trade for all three countries.

Yes, there are things that can be improved in NAFTA since its implementation almost thirty years ago. World economies have changed a lot since then, particularly with new technologies. However, most experts believe that its benefits to all three countries far outweigh its costs. Other factors, such as new innovations in communications, energy and robotics have had a greater impact on the labour market and the environment than trade agreements. Simply introducing more protective policies will not change or stop the consequences of rapid innovation in the manufacturing, service, finance and other sectors. Punishing countries through protective policies will simply hurt everyone involved. Such policies don’t only go against the changing realities of our times, but also against common sense.

Canada NAFTA Protectionism Protectionist Trade Policies US

Leave a comment »
Newer Entries »
Blog at WordPress.com.