Doug Ford Warns Trump Tariffs Will Hurt U.S. Economy

Doug Ford Warns Trump Tariffs Will Hurt U.S. Economy \ Newslooks \ Washington DC \ Mary Sidiqi \ Evening Edition \ Ontario Premier Doug Ford has criticized President-elect Donald Trump’s proposed 25% tariffs on Canadian goods, calling them a “disaster” that could harm U.S. stock markets and disrupt supply chains. He also expressed deep concern over Trump’s mass deportation plans, which could increase pressure at the U.S.-Canada border. Canada’s federal government, meanwhile, is ramping up border security measures to address U.S. concerns and avoid tariffs.

Doug Ford Warns of Tariff Fallout and Border Pressure: Quick Looks

• Trump’s proposed 25% tariffs on Canadian goods would hurt U.S.-Canada trade and U.S. stock markets.
• Ontario Premier Ford emphasized the integration of U.S.-Canada supply chains, especially in the auto sector.
• Ford is “extremely worried” about Trump’s deportation plans, preparing police for border enforcement.
• Canada is deploying drones, helicopters, and new surveillance to strengthen its border security.
• Ford called for U.S.-Canada cooperation and proposed bypassing Mexico with a bilateral trade deal.

Deep Look

Ontario Premier Doug Ford has sharply criticized President-elect Donald Trump’s proposal to impose sweeping 25% tariffs on all Canadian goods, warning of severe economic and market consequences. Speaking with the Associated Press, Ford also expressed concerns about Trump’s plan to deport millions of undocumented people, which he fears could strain the Canadian border and lead to security challenges.

Economic Fallout of Proposed Tariffs

Ford labeled Trump’s tariff proposal a “disaster,” arguing it would disrupt the deeply integrated supply chains between the U.S. and Canada. He highlighted the auto sector as a prime example, where parts often cross the border several times before final assembly in Ontario or Michigan.

“It is so integrated. I don’t even know how you separate that in the supply chain. It would be a disaster,” Ford said.

Ford also warned that imposing tariffs would spook markets and hurt investors, a pressure point he believes will get Trump’s attention.

“I know he has many scorecards, but one is the stock market. The market will drop,” Ford said, emphasizing that CEOs strongly oppose such measures.

Ford noted the critical importance of U.S.-Canada trade, with nearly $3.6 billion Canadian ($2.7 billion) worth of goods and services crossing the border daily. Canada is the largest foreign supplier of essential materials like steel, aluminum, uranium, and critical minerals needed by the Pentagon.

Preparing for Border Challenges

Ford also raised alarms over Trump’s plans for mass deportations, which he described as “extremely concerning.” Trump has pledged to use the National Guard and domestic police forces to execute what he calls “the largest mass deportation program in history.”

Ford revealed Ontario has a plan to deploy hundreds of provincial police officers to the border if the deportations lead to a surge in migrants heading north.

“We’ll make sure that we tighten up that border like we’ve never seen before,” Ford said, adding that provincial, federal, and local police forces would work together to ensure security.

Canada’s Border Security Measures

In response to Trump’s demands for stronger action to curb the flow of migrants and drugs, Canada’s federal government has unveiled a billion-dollar border strategy. Measures include:

• Deploying new drones, helicopters, and surveillance towers for round-the-clock monitoring.
• Enhancing fentanyl detection with additional scanners and sniffer dog teams.
• Proposing a North American “joint strike force” to combat cross-border organized crime.

Prime Minister Justin Trudeau announced these steps on social media, stating:

“We’re stepping up to keep our border strong and secure: By deploying new helicopters, drones and surveillance tools. By adding new scanners and sniffer dog teams to stop and seize fentanyl.”

Differing Threat Levels at U.S. Borders

Ford emphasized that Canada should not be lumped together with Mexico regarding U.S. border concerns. Migrant and fentanyl flows into the U.S. from Canada are vastly smaller than those from Mexico.

• Fentanyl: U.S. customs agents seized 43 pounds at the Canadian border last year, compared to 21,100 pounds at the Mexican border.
• Migration: The U.S. Border Patrol reported 23,721 migrant encounters at the Canadian border compared to 1.53 million at the Mexican border between October 2023 and September 2024.

Most fentanyl entering the U.S. originates with Mexican cartels using precursor chemicals from Asia, not from Canada.

Energy as Leverage

Ford reiterated his willingness to use energy exports as leverage if Trump’s tariffs are imposed. Ontario supplies electricity to U.S. states like Michigan, New York, and Minnesota, which rely on Canadian energy.

“I want to sell them more energy, more critical minerals, but I’m going to always keep every tool in our toolbox available,” Ford said.

About 85% of U.S. electricity imports and 60% of its crude oil imports come from Canada, highlighting the importance of energy trade between the two nations.

Calls for U.S.-Canada Cooperation

Ford urged dialogue with the U.S. to prevent tariffs and foster mutual understanding. He mentioned discussions with Michigan and New York governors, who he said are aware of the stakes.

“We want to sit down and explain to Trump and inform him that we aren’t the enemy,” Ford said.

He also proposed bypassing Mexico with a bilateral trade agreement directly between the U.S. and Canada, signaling a pragmatic approach to maintaining economic ties.

Trudeau Under Pressure

Ford’s comments come as Prime Minister Trudeau faces mounting political challenges. Trudeau’s finance minister recently resigned, prompting calls from some lawmakers for his resignation. Ford refrained from direct criticism, saying the decision is Trudeau’s to make, but emphasized the importance of premiers presenting a united front on U.S.-Canada trade issues.

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