PM Mark Carney FINALLY CALLS OUT Trump's Tariff Attacks on Canada Over Alleged Violations 🙌 🇨🇦

Welcome to the Bill Kelly podcast, critical discussions in critical times.Here's your host, Bill Kelly.

Welcome to another edition of the Bill Kelly podcast, critical discussions.in these critical times.I'm your host, Bill Kelly.Good to have you with us today.Good news, I think, maybe, sort of, about tariffs and some of the stuff that we've talked about over the last number of months here.We learned earlier this week that 25 U .

S.states south of the border are now suing the Trump administration over tariffs issued to allegedly root out forced labor and global supply chains.They call these new tariffs a pretext for replacing import taxes the Supreme Court already struck down in February.So as we've been talking about on the podcast for many, many months now, the only way that we're going to get ourselves out of this hole is for the Americans themselves to realize that we've got to do something about this, and they're the ones that have to issue the challenges.So that should be good news, right?Well, yes and no.

Let's dig a little deeper and find out exactly what's going on and why we should still be cautiously optimistic about this, but I think pragmatic at the same time.We know, just as a little bit of background here just to remind you, that the U .S.government has imposed double -digit tariffs on 59 countries, including Canada and the European Union, charging that they had not done enough to crack down on imports produced by forced labor.The new tariffs took effect just as the clock ran out on the temporary tariffs that Trump had put in place just a little while ago to replace the ones that the Supreme Court had defeated.And by the way, We talked about this when he made these announcements about this unfair practices, and we predicted when they said they were going to do this study.

This was just a pretext, a rather flimsy one at that, to give more tariffs to countries like Canada and others.They haven't produced any documents that indicate that this is really happening.And the hypocrisy here is vibrant, shall we say, because the United States deals more with China than any of these countries in the world.Yet it's okay for them to bring in imports from China.Over $600 billion every year comes from China into the United States economy.And that's okay, apparently.

But, you know, they've made these false accusations about countries like Canada not doing enough for that.But that's You know, that's what the Trump administration is all about, right?So we know that.And we know that, you know, this is probably not going to deter Trump.I mean, he argues that high tariffs are going to revive the American manufacturing.And as a result, of course, he's put nothing but tariff, tariff, tariff ever since he came back into office.

Just to remind you, once again, the Supreme Court ruled that these tariffs, the first ones that he put in place, were illegal and that he did not have the authority to actually impose them.So not only can you have to stop doing it, but you had to pay the money back that some people had already paid.given to the government.And so what happens there as a result is, you know, Trump's got a team of lawyers here.The guy's constantly in litigation, right?And they found this Section 301 of the Trade Act of 1974, which permits the president to oppose import taxes on other sanctions against countries found to engage in unfair trading practices.

And apparently they tried this before, and it was actually effective.They did this against China a number of years ago, and the courts upheld it.So the chances that they're going to listen to this case and overturn this are pretty slim at this stage.And we need to be pragmatic about what's going on here.Hey, we hope you're enjoying today's podcast.If you are, and we certainly hope that you are, take a second, won't you, and hit like, subscribe, and most importantly, share with family or friends or anybody you think might actually benefit from watching the show as well.

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And especially this idea, by the way, about unfair trading practices.And he specifically, of course, a week or so ago, focused on Canada and said that, you know, what they were doing in a number of the provinces here, what, first of all, not stocking American liquor and wine on the shelves of the liquor stores, LCBO here in Ontario, was an unfair practice.However, when he arbitrarily imposed tariffs on steel, aluminum, softwood, lumber, and so many other elements, that was a direct contravention of the Kuzma deal that he signed.That was illegal too.But that's okay.Apparently, it's okay for him to break the rules.

But if Canada decides to retaliate, which is really what the liquor stuff and a few of the other tariffs that have been enacted since then is really, it's a reaction to the Trump tariffs, they don't want to talk about that.they just want to talk about the actions that Canada took.And as we've mentioned so many times on the podcast, you know, we're just supposed to tick our chin and get, you know, hit me again, hit me again.Well, that's not what we're going to do.It's not what other countries are going to do too.So some of these states, 25 of them actually have decided to challenge this in court.

And it's going to be interesting to see how this plays out because the administration is being adamant about this.The United States is using the lawful authority to obtain the elimination of unreasonable acts, policies, and practices that burden the U .S.commerce, according to the White House.Now, the terrorists themselves are burdening the U .S.

economy, and every economist worth their salt, and there's a lot that aren't worth their salt, by the way, that are, you know, MAGA people that will argue the contrary, but it's the terrorists themselves, because as a number of people finally testified to a congressional committee a few months ago because they were in their role, they're not supposed to lie there.It's the consumer who pays the tariff.It's not the other government.I mean, tariffs on Canadian goods are not paid for by the Canadian government.They're paid by the American company that brings those products in.and has to pay the increased tariff.

And then, of course, what do they do?Hey, you and I are both consumers.We know what's going on.You know what they do.They simply pass it on to you and me.So we pay higher costs, higher costs for steel, higher costs for aluminum, higher costs for any number of goods, groceries.

I mean, you name it, it goes right down the line, right?So, you know, this idea that this is a huge benefit to the economy is totally false.And yet there are still some people, you know, with their little red hats running around in the states right now that just, you know, buy into all this stuff because Trump says it's true.And he's got his sycophants, you know, the Jameson Greers, who's his major trade guy, I guess, Tamron, and Navarro, who, by the way, served time after the first Trump administration.I mean, you know, I think one of the prerequisites for getting into the Trump inner circle now is do you have a criminal record?If you do, good, you're in.

Because most of us do.Most of them do, rather, anyway.That's what we're up against here right now.The lawsuits argue that, by the way, there are a couple brought on by a couple of companies here too, not just by these 25 states, that the government did not adequately establish its case against each specific economy or spell how the tariffs would eliminate specified practices.And that's a valid point.Now, I don't know if it's a legal point that you can hang your hat on here and make a strong argument for it, but they did not, for instance, in the case of Canada, said, this is what you've done wrong with these goods and these goods, and you could have done this and you didn't.

In other words, there's no explanation.They simply made the accusation when they arbitrarily decided to impose these tariffs and didn't exactly explain why and for what reason they decided this country was in violation and this one wasn't.Maybe there's something to that.I don't know.But that's one of the arguments that sure is going to be used here.So what are the chances of something like this actually succeeding?

Slim, pretty slim, frankly.25 states, I know that's about half of the country according to the numbers.However, most of these states are, well, democratically run.by democratic governors or legislatures, whatever the case might be.And Trump has shown his disdain for anything democratic, of course.And so the chances of him actually listening to this are pretty slim.

And this is the first president I can remember, and I've been around for a few of them now, that have had this hatred for the other side.There's always going to be some animosity between Republicans and Democrats.And these aren't even Republicans now, they're mega people.But for instance, when Joe Biden instituted a relief package a number of years ago, lower -income Americans, he got asked by a couple of the reporters when they announced the bill, it looks like half of the states here that are going to get most of the money are Republican.Why did you do that?And he says, well, because they need it most.

They're the ones that are hardest hit.Makes sense, right?Trump punishes Democratic states for voting Democrats.And when it comes to things like relief situations, you know, flood relief, you know, disaster relief, economic relief.He shuts Democratic states out for the most part, and it's to simply punish them because they voted for Democrats.This is unheard of and unprecedented, but it seems that a lot of Americans just seem to turn their backs and pretend that's not really happening and it's not a big deal, but it is.

So the chances of him saying, oh my goodness, half the country's against these tariffs, maybe we should reconsider, is probably not going to happen.And that is in contrast to what happened during the first administration.You may recall, we mentioned this a few months ago on one of the podcasts, there were some responses, rather, to Trump tariffs in that first Trump iteration.And he reacted to them.The U .S.

government reacted to them and backed off on steel and aluminum tariffs, for instance, among others, because of public pressure.Well, he's getting a lot of public pressure this time around, too, not just from the politicians, in this case, those 25 states, but from some of those businesses, including the spirit business down in Kentucky and places like that.that.And that just falls on deaf ears.He said, just says, blame Canada.It's them that will put the stuff on the shelves.

There's no discussion, as we said, about why Canada and the provinces in this particular case are doing what they're doing.They just want to try to ignore that.The United States, of course, is making a lot of enemies because of this, and the European Union has responded, and they say they're going to have an answer to this pretty soon.Individual countries are doing this, and Canada did respond to this wave of new tariffs, officially, anyway.In a written submission to the United States Trade Representative's Office, the Canadian government says there is no basis for the imposition of the Section 301 duties on Canadian goods.The Canadian Chamber of Commerce and the Canadian Federation of Agriculture, among many other groups that submitted objections to the U .

S.Trade Relations Office.So there is a possibility here for something to happen.It's not going to happen soon if it happens at all.And that's something I think we have to keep in mind here because of, well, first of all, nobody's sitting in the Supreme Court.It's going to take months, I guess, before they even decide if they even want to look at something like this.

The concern we've got on this side of the border, of course, here in Canada, is this new round of tariffs that he's announced, without any justification, is actually going to have an impact on a lot of the stuff that we thought was previously covered by the Kuzma deal, the trade deal that we already had with the United States.There were some things that were going to be tariff -free no matter what.That's off the table now.Now, is this a bargaining chip to try to get a better Kuzma deal?I don't know.It's hard to predict.

It's hard to get any solid ideas about just where the rationale is with the states, if there's any rationale at all.But it's an ongoing predicament.You know, we know that Dominic LeBlanc and the trade team have had discussions with Greer.LeBlanc's comment, just before they wrapped it up the other day, was that, well, we still have a lot of work to do.So as we go forward,there's probably not going to be a trade deal this year, at least until after the elections, the midterm elections.

But I don't think it's even going to happen even by Christmas, as some people are predicting.And all he's doing here is muddying the waters.And it's, again, the art of deflection that we've talked about.You know, he's losing the war with Iran.The economy is going to hell in the United States.Gas prices and grocery prices continue to rise.

Their housing market is a tragedy these days.And he simply wants to blame somebody else because, you know, as we know, Donald Trump doesn't, in his mind anyway, has never done anything wrong.So I suppose the good news here, if we can look at this initially, is that somebody is finally deciding to push back.The story that we wait for, though, is, OK, these are the elected officials.These are the governors of those states and the legislatures that have decided to do something and send a message to Donald Trump.But the question that we're going to be asking and hopefully getting an answer to in the next couple of months, in the midterms, is are the American people paying attention?

Has it finally sunk into them?It's the policies of the guy in the White House that's causing the economic grief that they're facing and ongoing in the next couple of months.And what are they going to do about it in November?That, that is the question that we'll be asking and waiting for what we hope is going to be a positive answer come this November.Well, that's it for this edition of the podcast.Thanks as always for being with us.

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