Trump's promised tariff raises concern in B.C.
British Columbia manufacturers are bracing for a hefty tariff on all products being shipped south of the border.
Donald Trump's victory in Tuesday's U.S. presidential election comes after a hard-fought campaign that included a promise to enforce a minimum 10 per cent tariff on all American imports.
The Surrey Board of Trade said the U.S. is the top customer for many local manufacturers, and that added fees will impact the business community's bottom line, similarly to what happened during the first Trump presidency.
“We did see a lot of our GDP and economic development go down,” said Jasroop Gosal, policy research manager for the board.
“But we do believe that there is hope, that there is potential for better trade deals to come as a result of this, as long as both parties are willing to work together.”
Gosal said the business community has faced an array of tariffs from the previous two U.S. administrations, and is prepared to work with the provincial and federal governments to find a mutually beneficial solution that will ensure market stability.
A recent Canadian Chamber of Commerce report suggests the proposed tariffs would result in around $30 billion per year in economic costs to Canada.
Around 77 per cent of all Canadian exports go to the U.S., including the majority of those coming from B.C.
The tariffs are intended to bolster American manufacturing and the job market. Experts on both sides of the border told CTV News on Wednesday the tariffs could have that effect, while also causing greater inflation.
“It's terrible for American consumers,” said Ross Hickey, an economics professor at the University of British Columbia Okanagan. “Because American consumers are going to eat a lot of that increase in the tariff through an increase in prices.”
Manufacturing has declined in the Western world over the last three decades, Hickey said, and been replaced with labour in parts of Asia. With the proposed 10 per cent tariff, Trump is signalling to voters and policymakers that he’ll work to address a lack of economic opportunities within the U.S., he said.
But manufacturing doesn't shift overnight, Hickey added, and international manufacturers will have to adjust to the duties in the meantime.
The economist argued Canada's natural resources, such as energy and lumber, should be seen as a welcome asset to the U.S., helping to power domestic manufacturing and supply building materials for the homes needed to address the country’s affordability crisis.
“Could this be a case where the United States is going to cut their nose off to spite their face?” said Hickey, adding that Canada would also “definitely suffer.”
CTVNews.ca Top Stories
'Canada will be absolutely fine': Justin Trudeau, his ministers and Pierre Poilievre congratulate Donald Trump
Canadian Prime Minister Justin Trudeau and members of his cabinet congratulated Donald Trump Wednesday morning on his second United States presidential election win, amid questions about how the federal government intends to navigate a second term.
What Donald Trump's election victory could mean for Canada
Following president-elect Donald Trump's decisive election victory, there are sure to be significant knock-on effects for Canada. Here's a look at the different areas in which a second Trump presidency may affect Canadians.
Kamala Harris concedes: Here's what she said in her speech
Democratic Vice-President Kamala Harris conceded the U.S. election to Republican Donald Trump Wednesday afternoon, telling her supporters that her 'heart is full.'
Canada orders wind up of TikTok's Canadian business, app access to continue
The federal government is ordering the dissolution of TikTok's Canadian business after a national security review of the Chinese company behind the social media platform, but stopped short of ordering people to stay off the app.
Newfoundland hockey player suspended, banned from local arena after off-ice fight with fan
A combination of a thrown stick and thrown punches have given a senior hockey player in Newfoundland a three-game suspension and an indefinite ban from one of his league's six arenas.
Controversial Australian Olympic breakdancer 'Raygun' retires from competition
Australian breaker Rachael Gunn has told a Sydney radio station that she plans to retire from competition just three months after her unconventional routine at the Paris Olympics led to her being ridiculed and spawned conspiracy theories about how she qualified for the Games.
Sleepy during the day? You may be at higher risk for a pre-dementia syndrome, study finds
If you find yourself sleepy during your daily activities in your older age, you may need to consider it more than an inconvenience — since the fatigue may indicate you’re at higher risk for developing a condition that can lead to dementia, a new study has found.
Kamala Harris made a historic dash for the White House. Here's why she fell short.
"Sometimes the fight takes a while. That doesn't mean we won't win," U.S. Vice-President Kamala Harris said on Wednesday in her concession speech.
Who won the popular vote? U.S. election vote totals from the past 40 years
Donald Trump won the U.S. presidency on Tuesday, and as of Wednesday morning, was also ahead in the popular vote. Historically, though, the candidate with the most votes hasn’t always won the contest.