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President Donald Trump's United States of America

I have been consistent but until this past Friday, I had no idea that the Trudeau government had imposed a Digital Service Tax that overwhelmingly affects American tech companies, nor did I know that the Americans were looking for USMCA dispute resolution of the matter, i.e., the Americans considered the imposition of the DST a violation of the USMCA agreement.

Up to that time, I had been sending email after email to PM Carney urging the Prime Minister to tell Trump that Canada expects him to honor the USMCA trade treaty that Trump negotiated and signed. I told the PM that he needed to tell Trump that if he would not honor the USMCA agreement he signed, then why would Canada or any other country in the world trust Trump to honor any agreement he signs? This DST matter weakened Canada's hand.

lol. Carney should publically say we're now pursuing a 6% tax, but privately let the cry baby president know we can make it 3% if he negotiates in good faith, and stops making threats against our sovereignty. Also, the auto industry here is as good as dead if anything due to the uncertainty, the only variable now is time. We should be working on figuring out other uses for these factories and workers.
 
lol. Carney should publically say we're now pursuing a 6% tax, but privately let the cry baby president know we can make it 3% if he negotiates in good faith, and stops making threats against our sovereignty. Also, the auto industry here is as good as dead if anything due to the uncertainty, the only variable now is time. We should be working on figuring out other uses for these factories and workers.
I don't dispute that the auto industry, as it has existed for decades, is almost dead in Canada. Even before Trump, we were losing jobs. The pace is moving very rapidly with Trump actively strong-arming auto makers to shut down their Canadian plants, meanwhile, our leaders do nothing about it.

Right now, the US Senate is debating Trump's "big, beautiful bill". Contained in this bill is a provision making interest on new-car loans tax deductible up to $10K but only for US-made cars. This tax incentive is worth about $2,000 for American car buyers. This bill is expected to pass before July 4th. and become law. This will be the final nail in the Canadian auto industry's coffin. How many car buyers are going to pass up $2000 in savings?

I got wind of this proposal back in April, and I have sent about half a dozen emails to PM Carney and Doug Ford urging them to take action. If they have complained to the Americans, it hasn't been made public. And of course, I did not get any acknowledgment for my emails. I included dozens of journalists on these emails, but again no acknowledgment of the emails and, of course, no reporting on what a very serious issue is. I even alerted the CEO of Unifor more than once and received no response, and best I can tell, Unifor hasn't raised the red flag over this major threat to their members.
 

CP News Alert: Canada rescinds Digital Services Tax to resume negotiations with U.S.​

OTTAWA - Finance Minister François-Philippe Champagne says Canada is rescinding the digital services tax and will resume trade negotiations with the United States.


Good! This saves me from having to send another email tonight.
 

CP News Alert: Canada rescinds Digital Services Tax to resume negotiations with U.S.​

OTTAWA - Finance Minister François-Philippe Champagne says Canada is rescinding the digital services tax and will resume trade negotiations with the United States.


Good! This saves me from having to send another email tonight.
I would time box it. If we don't reach a suitable agreement within a specified timeline, the provisions go into effect as planned, back dated as provided for in the legislation.
 
I would time box it. If we don't reach a suitable agreement within a specified timeline, the provisions go into effect as planned, back dated as provided for in the legislation.
Yes, hopefully Canada's negotiators will do that. Pledge to scrap the DST for good if Trump reinstates the USMCA agreement and promises not to poach our auto jobs, including dropping the provision to make interest on new car loans tax-deductible for American-made cars only.

We need to get back to where we were before, and when USMCA comes up for renegotiation, Canada and the US have to do something about Mexican auto quotas. Mexico is where all the car factories went, and Mexicans don't even buy very many North American-made vehicles. It was a big mistake for Canada and the US to give Mexico an equal footing in a trade agreement, and Canada was the biggest loser. Since the implementation of USMCA, Canadian auto production has been cut in half.

In 2024, Mexico produced a record-breaking 4 million vehicles while buying only 1.5 million vehicles. By comparison, in 2024, Canada produced 1.2 million vehicles while buying 1.9 million vehicles.
 
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I would time box it. If we don't reach a suitable agreement within a specified timeline, the provisions go into effect as planned, back dated as provided for in the legislation.

I would have preferred a more assertive stand to begin any negotiation.

Trump's admin has shown a willingness to backdown in the face of someone who will stand up to him.

Seeing as we aren't really the target anyway..........

I would rather a tougher posture with a willingness to be flexible.

Be willing to compromise, but don't compromise yourself before you even start negotiating.
 

CP News Alert: Canada rescinds Digital Services Tax to resume negotiations with U.S.​

OTTAWA - Finance Minister François-Philippe Champagne says Canada is rescinding the digital services tax and will resume trade negotiations with the United States.


Good! This saves me from having to send another email tonight.

Pathetic and weak. This enshrines our position as a vassal state to the US for the foreseeable future.
 
I would have preferred a more assertive stand to begin any negotiation.

Trump's admin has shown a willingness to backdown in the face of someone who will stand up to him.

I agree. If I were advising Carney, I would have advised him to make a live announcement sometime Monday morning that would be directed specifically at Donald Trump and the American public. All in English! None of this back and forth between English and French, where the PMO doesn't even provide simultaneous English translation.

I would have advised Carney that in his LIVE address to Trump and the American public that he offer Trump a deal (Trump likes making deals). Canada will drop the DST tax if Trump agrees to honor the USMCA agreement that Trump negotiated and signed. Canada will forever drop the notion of a Digital Services Tax if Trump also stops actively poaching jobs from Canada, including dropping the tax deduction on car loans that Trump is implementing for American-made cars only. Issuing a press release late on Sunday night was lame. What did Canada gain in terms of leverage?

Trump is both a bully and a coward. He likes to pick on those whom he views as weak while having nothing but utmost respect for tough leaders like Putin, Xi, and Kim Jong Un. Trump even wrote love letters to the latter.

When confronted with someone who will not back down, Trump retreats. We saw this with Trump's illegal bombing of Iran's perfectly lawful nuclear facilities last week. In response, Iran targeted the largest US airbase in the Middle East with ballistic missiles. Trumps response? Trump quickly called for a ceasefire and thanked Iran for its "weak response".

Of course, Iran had tipped off Trump that an attack was coming, so that US forces could evacuate the base. This was a repeat of 2020 when Trump assassinated General Soleimani. Iran fired a dozen missiles at the US Al Assad air base in Iraq after giving the US a heads-up. Trump learned his lesson, and he did not retaliate against the Iranian missile attack on the Al Assad airbase, and last week he learned the same lesson again.

Trump's response to these two military engagements with Iran should be instructive to world leaders and our Prime Minister. Trump will back down if you confront him.
 
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Yes, hopefully Canada's negotiators will do that. Pledge to scrap the DST for good if Trump reinstates the USMCA agreement and promises not to poach our auto jobs, including dropping the provision to make interest on new car loans tax-deductible for American-made cars only.

We need to get back to where we were before, and when USMCA comes up for renegotiation, Canada and the US have to do something about Mexican auto quotas. Mexico is where all the car factories went, and Mexicans don't even buy very many North American-made vehicles. It was a big mistake for Canada and the US to give Mexico an equal footing in a trade agreement, and Canada was the biggest loser. Since the implementation of USMCA, Canadian auto production has been cut in half.

In 2024, Mexico produced a record-breaking 4 million vehicles while buying only 1.5 million vehicles. By comparison, in 2024, Canada produced 1.2 million vehicles while buying 1.9 million vehicles.
But, and this is important; did you email the Mexican government?
 
Heather Cox Richardson included some doozies in last night’s piece

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I agree. If I were advising Carney, I would have advised him to make a live announcement sometime Monday morning that would be directed specifically at Donald Trump and the American public. All in English! None of this back and forth between English and French, where the PMO doesn't even provide simultaneous English translation.
Absolument pas.
 
I agree. If I were advising Carney, I would have advised him to make a live announcement sometime Monday morning that would be directed specifically at Donald Trump and the American public. All in English! None of this back and forth between English and French, where the PMO doesn't even provide simultaneous English translation.

I would have advised Carney that in his LIVE address to Trump and the American public that he offer Trump a deal (Trump likes making deals).

You vastly overestimate how much Americans, and Trump in particular, care about Canada. Such a speech wouldn't rate more than a scrolling news ticker on CNN.

This is partly why Trump gets no pushback on his 51st stare comments in the US. To most Americans, we are just Americans with funny accents on some words with funny money. So it's all entertainment to them.

Until I served in the US, in California, I didn't realize how little the average American thinks about Canada. By comparison, the Canadian obsession with the US is almost stalker level. And heck, we even tend to define our national identity by contrast to the US. That's kinda laughable.

Ironically, the only part of Canada that reminds Americans that we're genuinely different is Quebec.
 

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