It’s not entirely clear, because it’s not entirely clear what he’s upset about.
He has said that Canada needs to step up border security, because of the hordes of illegal immigrants with backpacks full of fentanyl. (Okay, he hasn’t said quite that way.)
However, as PM Trudeau said on Saturday night, less than 1% of illegal immigrants and less than 1% of fentanyl coming into the US come across the northern border.
Trudeau stated that both of these are issues that Canada wants to address, by working collaboratively with the US.
Trump’s also upset that Canada doesn’t spend as much on our military as the NATO guideline (currently 2.5% GDP, i think?). Many Canadians agree that we should spend more on defence in an increasingly unstable world. (Trump’s actions have likely increased that willingness, but not in the way he intended. Until Saturday night, we thought we had a reliable ally down south. Now we have a hostile nation on our southern border.)
But he also talks about how the US is “subsidizing” Canada, tossing out numbers like $200 B a year. That seems to be the trade deficit: we sell more stuff to the US than we buy. But, that’s not a subsidy in any sense: US manufacturers buy our natural resources, primarily oil, at a good market price. If you subtract the oil from the total amount, we buy more from the US. That’s the market working.
The reason US industries buy so much of our oil has something to do with the US refineries: for some purposes Alberta heavy crude is cheaper and better for certain end-products than Light Texas crude. Plus location. (Apologies if this isn’t technically accurate; it’s the best I can do from the media reports.)
But in Trump’s mind (using the term loosely), that is a subsidy that has to end. He appears to be an 18th century mercantilist.
I also saw speculation in a couple of news articles that this is Trump’s idea of softening us up for a review of the CUSM free trade agréement in a year or two, because the deal is so unfair to the US. (What numbskull negotiated that deal, anyway?
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Or does he really want to take us over? He’s said he would, using economic force to annex us. He said that at the same time he started talking about 25% tariffs, which he’s now done.
We Canadians cannot just dismiss that as “blather”, as some Dopers have patronizingly suggested. We have to take the US as a serious threat to our existence as an independent country.
So, yes, there are some things we could do, in a collaborative fashion with the US: border security and military spending.
On trade, it’s not clear what he wants, other than typical Trump whinging that Canada is “unfair”.
And annexation is right out.