TORONTO (AP) – U.S. President Donald Trump vowed to make Canada pay after Prime Minister Justin Trudeau said he wouldn’t be bullied in trade talks. Trump called Trudeau “weak” and “dishonest.” He threatened tariffs on cars and slapped them on steel.
The unprecedented attacks on America’s closest ally left a bitter taste. But Canadians mostly feel relieved after reaching a new trade agreement with Trump. Many said it could have been a lot worse. Canada avoided auto tariffs and maintained access to the all-important American market.
The U.S. made few, if any concessions, while Canada provided more access to its dairy sector and allowed Washington to possibly prevent Canada from reaching a free trade deal with China. Canada also was not able to remove steel and aluminum tariffs.
“We were definitely over the barrel in this negotiation,” said Peter MacKay, a former Canadian foreign minister. “We have survived it. We have survived the 14 roller coaster months of a very unpredictable president.”
About 75 percent of Canada’s exports go to the U.S., so preserving major elements of the North American Free Trade Agreement was crucial. Canada is one of the most trade-dependent countries in the world and Trump’s talk of ripping up that deal and imposing a 25 percent tariff on the auto sector posed a serious economic threat.