David Webster
— Tariffs on you!
— No, larger tariffs on you!
— No, I’ve the largest, most lovely tariffs, and I’m slapping them on you!
Anybody may very well be excused for pondering it was a battle of toddlers. However that is lethal critical: a commerce conflict, one which reminds us of moments of commerce stress between Canada and the US up to now. Solely this time, it’s supersized.
Canada has traditionally balanced its commerce between the imperial mom in Britain (the Conservative favorite) and the upstart Uncle Sam (extra beloved by Liberals). When the US slapped tariffs on Canada, commerce soared with the UK. The primary PM, John A. MacDonald, boasted of his “Nationwide Coverage” that will nurture toddler Canadian industries behind tariff partitions. Wilfrid Laurier sought “unrestricted reciprocity” (freer commerce had fancier names again then) with the US, and was resoundingly thumped within the 1911 election for it, by the pro-British nationalist Tory Robert Borden. The North American neighbours converged because the Second World Struggle loomed in Europe and Britain’s weak point compelled Canada into the loving embrace of Franklin D. Roosevelt’s and his New Deal. Mackenzie King stopped simply in need of a free commerce deal, fearing “the destiny of Sir Wilfrid,” who at all times had sage recommendation to supply to King from past the grave.
Gradual, deepening commerce embrace and political alliance appeared the unalterable future of the US and the nation North of America all through the Chilly Struggle, with Lester Pearson and Lyndon Johnson’s Auto Pact maybe the very best image of neighbourliness. Then got here Brian Mulroney, who lastly received the Free Commerce Settlement that had been thought-about so many instances earlier than. No extra attempting to diversify commerce – Mulroney was all-in on the American gamble. And for years, it appeared to be fulfilling a few of what he promised when he fought and received the 1988 election on this subject – extra prosperity in a extra built-in continental financial system.
What would Mulroney make of current occasions?
Canada is now confronted with an existential disaster over President Donald Trump’s tax will increase, which he calls tariffs. Trump threatens to destroy the Canadian financial system, as a method to annex the nation. And but, few folks really know what a tariff is, or how commerce coverage works, now and up to now.
To assist clear up the problems, a minimum of for a small variety of Canadians, a gaggle of colleagues at Bishop’s College held a discussion board on the historical past, politics and economics of tariffs, in January of 2025. This discussion board, which can run over the following three days, presents a collection of reflections in edited articles.
First, political economist Heather McKeen-Edwards presents a primer on the economics of tariffs, demystifying loads of the subject. Subsequent, historian Gordon Barker surveys the US historical past of tariffs (spoiler: there have been quite a bit them over the many years). Lastly, Gilbert Gagné displays on the politics of tariffs, drawing on his experience as a number one political scientist of NAFTA, as we used to name the now-defunct North American Free Commerce Settlement. Collectively, these articles purpose to assist us perceive the historical past and the problems behind the “dumbest commerce conflict” in a very long time.
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