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[smjjames]

Temporarily spared anyway, while NAFTA talks are still going on. Trump may still decide to pull out of NAFTA.

[scriver]

"one man, one woman, one god"

Ah yes, the least fun threesome ever. A man and woman mating while god leans over them being judge-y, "Hey! Hey! Missionary only. This isn't supposed to be fun!"

I think you've got that backwards. God is in both of them, simultaneously.

[smjjames]

Temporarily spared anyway, while NAFTA talks are still going on. Trump may still decide to pull out of NAFTA.

Yes, but it gives them leverage. If the only reason why the US economy isn't taking a serious hit is due to the massive amount of product flowing between the US-Canadian border, killing that deal would kill the global economy outright. At least, in a situation where this whole thing escalates greatly before the NAFTA question comes back up again.

Canada has free trade agreements with... virtually every country in the world, now. If this thing escalates, it will be interesting to see how the Canada question plays out.

Killing NAFTA wouldn't kill the global economy, shock it, yes, but not outright kill. It would definetly punch the US pretty hard though.

It seems like Trump is probably aware of the effects that leaving NAFTA would have, which would be why he hasn't actually done it, but threatening to spooks Canada and Mexico enough to talk re-negotiating it.

[MetalSlimeHunt]

The economy runs off of confidence as much as or even more than it runs off hard numbers. A shock in one place can do nothing to the whole, or it can cascade. All dependent on the skittish anxieties of traders and lenders.

[SalmonGod]

I just look forward to shittier import paperwork requirements.

[smjjames]

Temporarily spared anyway, while NAFTA talks are still going on. Trump may still decide to pull out of NAFTA.

Yes, but it gives them leverage. If the only reason why the US economy isn't taking a serious hit is due to the massive amount of product flowing between the US-Canadian border, killing that deal would kill the global economy outright. At least, in a situation where this whole thing escalates greatly before the NAFTA question comes back up again.

Canada has free trade agreements with... virtually every country in the world, now. If this thing escalates, it will be interesting to see how the Canada question plays out.

Killing NAFTA wouldn't kill the global economy, shock it, yes, but not outright kill. It would definetly punch the US pretty hard though.

It seems like Trump is probably aware of the effects that leaving NAFTA would have, which would be why he hasn't actually done it, but threatening to spooks Canada and Mexico enough to talk re-negotiating it.

Again, not in the current situation. I'm talking in a scenario where a trade war plays out between the US and the rest of the world, leaving the only avenue for tariff-free trade to the US being through Canada.

I'd imagine it'd probably disrupt the Canadian economy too, possibly equivalent of attempting to run the entire trade input of the US through Canada. The Canadian and Mexican exemptions are the only ones mentioned atm, he said that they'll be looking at other countries and deciding what to do on a case by case basis.

[martinuzz]

Again, not in the current situation. I'm talking in a scenario where a trade war plays out between the US and the rest of the world, leaving the only avenue for tariff-free trade to the US being through Canada.

You have fifteen days to increase the number of highways leading to Canada by at least 10000%.

[Rolan7]

To support a 4X increase of one particular commodity, which I suspect is mostly carried by water? 
(based on Canada being 16.7% already, and Mexico being 9.4%)

Not saying this is a good idea, obviously, but steel...

[redwallzyl]

I think the US actually makes most of its own steel. We have a ton of buy American requirements for stuff for exactly the reason of supporting domestic steel manufacturing. Most of which is made of ore mined and shipped through the sue down to the mills like it always has been. The iron boats never stopped. I don't think the US could even function without the domestic production. The transport infrastructure does not exist.

[smjjames]

If the US makes most of it's own steel, then I'm not sure why the steel manufacturers are complaining since the domestic production is never going to go away, despite what Navarro claims.

[redwallzyl]

If the US makes most of it's own steel, then I'm not sure why the steel manufacturers are complaining since the domestic production is never going to go away, despite what Navarro claims.

Because they want more money. That's how capitalism works.

[Dorsidwarf]

If the US makes most of it's own steel, then I'm not sure why the steel manufacturers are complaining since the domestic production is never going to go away, despite what Navarro claims.

probbably because if you have 100 million tons of steel from the US and you import another 30 million tons of steel, but then those 30 million tons suddenly cost a lot more, you're going to have to spent a huge amount of extra money to get that foreign steel since its not like theres a spare 30 million tons of steel is just lying around in the US waiting to be bought at the old prices.

(numbers illustrative of point only)

[wierd]

If the US makes most of it's own steel, then I'm not sure why the steel manufacturers are complaining since the domestic production is never going to go away, despite what Navarro claims.

probbably because if you have 100 million tons of steel from the US and you import another 30 million tons of steel, but then those 30 million tons suddenly cost a lot more, you're going to have to spent a huge amount of extra money to get that foreign steel since its not like theres a spare 30 million tons of steel is just lying around in the US waiting to be bought at the old prices.

(numbers illustrative of point only)

Isn't the counter to that, "then there is incentive to expand domestic production, creating local jobs"??

If it is cheaper to expand the foundry and hire more people than to import the steel, this is how "protectionism" does its thing, no?  Economists hate it because it is inefficient, but that is not the purpose of a tarrif.

[Baffler]

One would think that'd just lead to domestic production expanding to fill demand then, which was the goal of the exercise in the first place.

Pre-edit: lol, the post is up for several hours and yet I still managed to get ninja'd by less than a minute when replying to it.

[PTTG??]

It's going to suck when the counter-tariffs get applied.