America First

Wednesday July 26, 2017

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Wednesday July 26, 2017

Rising loonie: The Winners

Buoyed by strong sentiment about the state of the Canadian economy, and getting the benefit of general weakness in the U.S. greenback, the Canadian dollar is now flying in territory it hasn’t seen in two years.

A recent interest rate increase by the Bank of Canada, and the expectation of more to come, has the loonie up about 10 per cent over the past six weeks.  The Canadian dollar rose above 80 cents US on Monday before closing at 79.97 cents US.

“The obvious winner would be the average Canadian, just in terms of their travel plans or in terms of what they buy from the U.S.,” said Doug Porter, chief economist at Bank of Montreal.

The recent loftiness of the loonie makes it cheaper for Canadians to travel when they buy vacations priced in U.S. dollars.

For example, a one-week cruise out of Fort Lauderdale, Fla., priced at $878 US would have cost $1,203 Cdn when the loonie was trading at 73 cents US. With the loonie at 80 cents, that same cruise would cost $1,097 Cdn — meaning a consumer would save $106.

Similar to consumers, Canadian businesses that buy goods or services in U.S. dollars would wind up paying less for those items after factoring in the effects of our fluctuating currency.

For example, professional sports teams often pay player contracts in U.S. dollars.  A stronger loonie means the revenue earned in Canadian dollar goes further when it comes to paying players in greenbacks. (Source: CBC News) 

 

Tuesday July 17, 2017

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Tuesday July 17, 2017

Trump administration poised to reveal goals for NAFTA talks

United States Trade Representative Robert Lighthizer is expected to release today his negotiating objectives ahead of talks to revise the North American Free Trade Agreement next month.

April 20, 2017

The goals for the renegotiation, as well as the Trump administration’s rationale for how these objectives will lead to an agreement beneficial to the U.S., must be published on the USTR website, as required by Congress in accordance with the trade promotion authority granted to the White House for renegotiating a standing agreement like this.

Formal talks to revise NAFTA are expected to start next month. Such objectives must be published 30 days in advance.

The Canadian government is not required to publish its negotiating objectives ahead of the formal talks, expected to start on or shortly after Aug. 17. The location for these talks has not been finalized yet.

While Canada has been consulting formally and informally — an official consultation period expires Tuesday — politicians, officials and negotiators have been talking to affected industries for weeks to prepare Canada’s bargaining positions.

June 2, 2017

They’re expected to continue to do so throughout the process, although Parliament does not require the kind of transparency Congress does.

“The other NAFTA parties — Canada and Mexico … their position has been: the U.S. wanted to re-open this and modernize it. We’re just coming along,” International trade lawyer Dan Ujczo told CBC News last week. “So I think in some ways the U.S. is going to set the agenda.”

“If it comes out really short and sweet with a very narrow set of lists, that’s indicating that they want to get this done as quick as possible,” he said. But if it isn’t a deep dive, Ujczo expects Congress to demand more specifics. (Source: CBC News) 

 

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Friday June 2, 2017

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Friday June 2, 2017

Trump announces U.S. will withdraw from Paris climate accord

U.S. President Donald Trump has announced that the United States will withdraw from the Paris agreement on climate change.

April 11, 2017

At a news conference in the White House Rose Garden on Thursday afternoon, Trump said the accord is “very unfair to the United States.”

“In order to fulfil my solemn duty to protect America and its citizens, the United States will withdraw from the Paris Climate Accord.”

Trump said his country would either renegotiate its re-entry into the Paris agreement under different terms, or participate in the creation of a whole new climate deal.

March 8, 2017

White House officials had signalled withdrawal was likely to reporters, but Trump has been known to change his mind at the last minute on major decisions, as happened recently with the NAFTA trade deal.

Abandoning the accord was one of Trump’s principal campaign pledges, but America’s allies have expressed alarm about the likely consequences.

April 20, 2017

The Paris agreement was struck in 2015 and months later, the U.S. and China jointly said they would sign off on the deal. The agreement went into effect for the U.S. in November 2016.

Jean-Claude Juncker, president of the European Commission, has criticized Trump’s resistance to the deal, saying the U.S. president doesn’t understand the fine print of the agreement and that the process of formally withdrawing could take two to three years. (Source: CBC News)

 

Thursday April 20, 2017

Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Thursday April 20, 2017

Canadian envoy fires back at Trump over dairy claims

Canada’s envoy to Washington has shot back at criticism by President Donald Trump and U.S. milk producers, saying the facts don’t support a charge that the Canadian dairy industry is to blame for the woes of some American farmers.

January 26, 2017

“Canada does not accept the contention that Canada’s dairy policies are the cause of financial loss for dairy farmers in the United States,” Ambassador David MacNaughton said in a letter to the governors of Wisconsin and New York that was released Tuesday night in rebuttal to Trump’s surprise criticism of Canada earlier in the day.

“The facts do not bear this out.”

The U.S. president’s surprise decision to call out Canada by name Tuesday put dairy farmers north of the border on notice that they are in America’s fair-trade sights.

Trump launched his broadside after a brewing trade spat that has seen the U.S. dairy lobby accuse Canada of “systemic disregard” of its trade obligations, while the Canadian industry accused its American rival of “scapegoating.”

October 10, 2015

Trump also signalled he wants to do more than simply tweak the North American Free Trade Agreement, saying he is looking for “very big changes” to the trilateral pact that includes Mexico, or else he will scrap it once and for all.

Trump levelled the threats — some of his strongest-ever anti-Canadian rhetoric — during an event at a Wisconsin factory where he unveiled his “Buy American-Hire American” executive order.

After what has been a relatively warm beginning in relations with Canada, which included what was seen by many as a positive trip to Washington by Prime Minister Justin Trudeau, Trump dropped the gloves on Canada’s well-guarded dairy sector.

He appeared to be taking dead aim at the Canadian industry and its supply-management system during an appearance in Wisconsin, a state he took from the Democrats with his “America First” anti-trade message.

It is also a state that is feeling the effects of Canada’s decision to impose import taxes on ultra-filtered milk, a protein liquid concentrate used to make cheese. It had been duty-free but Canada changed course after its milk producers complained. (Source: CBC News)

The Telegram, St. John’s, Nfld., April 25, 2017

Tuesday April 11, 2017


Editorial Cartoon by Graeme MacKay, The Hamilton Spectator – Tuesday April 11, 2017

Spicer: Trump’s foreign policy is still ‘America first’

President Donald Trump’s foreign policy doctrine is still “America first,” White House press secretary Sean Spicer declared Monday.

Trump ordered airstrikes on Syria on Thursday in response to Syrian leader Bashar Assad’s regime using chemical weapons on civilians early last week. Trump’s move was a decisive but perplexing action for a president who campaigned on putting America first and as a private citizen advised President Barack Obama to seek congressional approval before potentially bombing Syria, which he suggested in 2013 would result in “more debt and a possible long term conflict.”

“I think the Trump doctrine is something that he articulated throughout the campaign, which is that America’s first,” Spicer told reporters, cautioning that the U.S. won’t “become the world policeman” but will make sure the nation’s economic and security interests are protected.

Asked how to square Trump’s America-first policy with his military action targeting the airbase where U.S. intelligence believes the Syrian regime’s chemical attack originated, Spicer cast the potential proliferation of chemical weapons as a national security threat.

“I think if you recognize the threat that our country and our people face if there is a growth of use or spread of chemical weapons of mass destruction, those, the proliferation of those, the spread to other groups, is a clear danger to our country and to our people,” he said. (Source: Politico)