US Canada Trade Facts

[Steeleballz 7,550]

 

     Trump called it a trade deficit. Does Trump not know the difference between a surplus and a deficit, or was it a big fat lie all along?

 

  

U.S.-Canada Trade Facts

U.S. goods and services trade with Canada totaled an estimated $673.9 billion in 2017. Exports were $341.2 billion; imports were $332.8 billion. The U.S. goods and services trade surplus with Canada was $8.4 billion in 2017.

 

  https://ustr.gov/countries-regions/americas/canada

[jg121783 3,915]

There are multiple methodologies used for calculating trade as the below article describes. For example if you remove services from the equation and go by goods only (which is probably what Trump was referring to) we actually have a $23 billion deficit. Furthermore according to Canadian numbers they actually claim they have a surplus over us.

 

https://www.ft.com/content/1d8a46e8-2876-11e8-b27e-cc62a39d57a0

[Steeleballz 7,550]

56 minutes ago, jg121783 said:

There are multiple methodologies used for calculating trade as the below article describes. For example if you remove services from the equation and go by goods only (which is probably what Trump was referring to) we actually have a $23 billion deficit. Furthermore according to Canadian numbers they actually claim they have a surplus over us.

 

https://www.ft.com/content/1d8a46e8-2876-11e8-b27e-cc62a39d57a0

 

  Still, it's much ado about nothing (relatively) compared to the 375+ billion deficit we have with China. 

[The Nature Boy 7,659]

50 minutes ago, Steeleballz said:

 

  Still, it's much ado about nothing (relatively) compared to the 375+ billion deficit we have with China. 

So you support the tariff on China 

[Steeleballz 7,550]

52 minutes ago, Nature Boy Flair said:

So you support the tariff on China 

 

  I support methods to make China stop it's unfair trade practices. Tariffs could work, but I don't actually think the current tariffs will accomplish that easily. 

 

  What we should have done(IMO) is been prepared to go all in with China and have the G7 group exert similar pressure. If China didn't agree to normalization of trade, we should have, as a group, been prepared to ultimately put tariffs on every product that we import from China. We needed to be prepared to see that through, including the hardest part, paying higher prices for many things on the consumer end until our own industry catches up to meet demand. 

 

    Once China came around, we should have then looked at the much lesser issue of trade imbalance with the G7 group. I suspect this was actually the plan, then Trudeau poked Trump right in the ego, and we ended up where we are.

 

    The current tariff on China doesn't accomplish much relatively, and the tariffs we placed on imports from G7 countries actually weakens us relative to China. We can still come out ahead, but even if we escalate things with China, they can still trade with the other G7 countries and they have their new trade deal with India and Russia. They can wait us out if they really want to. We are putting unnecessary pressure on US companies until US production of steel and aluminum can meet the demand. As consumers, we are going to pay higher prices for longer. 

  

[bcking 3,157]

3 hours ago, jg121783 said:

There are multiple methodologies used for calculating trade as the below article describes. For example if you remove services from the equation and go by goods only (which is probably what Trump was referring to) we actually have a $23 billion deficit. Furthermore according to Canadian numbers they actually claim they have a surplus over us.

 

https://www.ft.com/content/1d8a46e8-2876-11e8-b27e-cc62a39d57a0

If that is what Trump has referred to in the past, how did he get to 100 billion dollars in deficit?

 

I'm sure there are multiple ways to calculate trade. However, it is a little funny when the President uses a different methodology than his own trade representative (part of the executive branch). Maybe they should get on the same page?

Edited July 1, 2018 by bcking