US CANADA TRADE DEFITS

Just take two products out of the equation, oil and potash, and then the US has a trade surplus with Canada. 

On oil, the US trade deficit would be even higher with Canada if WE WEREN'T SELLING OIL TO THE US AT A DISCOUNT TO MARKET VALUES. On dairy, we protect our domestic industry because we provide ZERO subsidies to our dairy farmer.

 In the US, you all provide TENS OF BILLIONS of subsidies to your farmers; so, if we didn't protect our dairy, then the US would DUMP sub-standard milk into our market. Never mind the fact that we gratuitously opened part of our market to the US on a tariff free basis up to a limit., and the US has NEVER hit the limit. 

So why grouse about theoretical tariffs that aren't even paid?  I can't wait until the election is over and our country can begin the process of decoupling from the US and building trade routes East and West, not just North and South. . 

The United States does indeed have a trade surplus with Canada when oil and potash are removed from the equation. According to TD Economics, excluding energy products, the U.S. enjoys a trade surplus with Canada of around C$60 (US $45 billion).  This surplus is largely due to the fact that most Canadian exports to the U.S. are inputs used by American businesses in their production processes, which can lead to higher costs and inflationary pressures if tariffs are imposed.  

Potash, a critical component in approximately 95% of fertilizers, is predominantly sourced from Canada, which is the world's largest producer and exporter of potash.  The U.S. imports more than 80% of its potash from Canada, making it highly dependent on Canadian supplies.  

This dependency is further emphasized by the fact that there are only a few places in the world that produce potash, with Russia and Belarus being the next largest producers, but their output has been affected by geopolitical tensions.  

Oil exports from Canada to the U.S. are also significant, with the U.S. getting more than half of its crude oil from Canada. The U.S. is heavily reliant on Canadian crude oil, especially in the Midwest and Gulf Coast regions, where many refineries are built to process Canadian sour, heavy crude. This reliance makes it difficult for the U.S. to shift to alternative sources quickly.

READ MORE DETAILS HERE

 https://economics.td.com/ca-canada-us-trade-balance