US-Canada Tariff-Free Trade: 99% of Products and the Impact on Economies
US-Canada Tariff-Free Trade Overview
Kirsten Hillman, Canada’s ambassador to the U.S., recently declared that 99% of products traded between the U.S. and Canada are tariff-free, a significant point amidst escalating trade tensions. Speaking on NewsNation's 'CUOMO,' Hillman highlighted that these arrangements come under the framework of the U.S.-Mexico-Canada Agreement (USMCA). Most of the remaining tariffs apply to the agricultural sector, aimed at protecting small family farms.
Mutual Trade Benefits
Hillman asserted that Canada serves as a major market for U.S. exports, enriching both nations. The U.S. benefits greatly, selling three times more dairy products to Canada than vice versa. Furthermore, Canada generates a substantial trade surplus in all manufactured goods with the U.S.
- Canada is your No. 1 customer
- Canada provides affordable and reliable energy to fuel the U.S. economy
Recent Developments in Trade Relations
In light of the current political climate, the Ontario government introduced a 25% surcharge on electricity exports to the U.S., affecting roughly 1.5 million homes and businesses. This decision represents a crucial retaliation to President Trump’s tariffs, which notably impact Canadian and Mexican imports.
- Imposition of tariffs by the U.S. threatens bilateral relations.
- Canadian tariffs remain until mutual respect is established.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.