Canadian industry minister warns of bipartisan support in U.S. for tariffs

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Photo by Evan Buhler/PostmediaCanadian Industry Minister Melanie Joly said there’s bipartisan political support for tariffs in the United States, raising the possibility the country’s manufacturers will face barriers to North America’s largest market long after Donald Trump’s presidency.THIS CONTENT IS RESERVED FOR SUBSCRIBERS ONLYSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman, and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.SUBSCRIBE TO UNLOCK MORE ARTICLESSubscribe now to read the latest news in your city and across Canada.Exclusive articles from Barbara Shecter, Joe O'Connor, Gabriel Friedman and others.Daily content from Financial Times, the world's leading global business publication.Unlimited online access to read articles from Financial Post, National Post and 15 news sites across Canada with one account.National Post ePaper, an electronic replica of the print edition to view on any device, share and comment on.Daily puzzles, including the New York Times Crossword.REGISTER / SIGN IN TO UNLOCK MORE ARTICLESCreate an account or sign in to continue with your reading experience.Access articles from across Canada with one account.Share your thoughts and join the conversation in the comments.Enjoy additional articles per month.Get email updates from your favourite authors.THIS ARTICLE IS FREE TO READ REGISTER TO UNLOCK.Create an account or sign in to continue with your reading experience.Access articles from across Canada with one accountShare your thoughts and join the conversation in the commentsEnjoy additional articles per monthGet email updates from your favourite authorsSign In or Create an AccountJoly is among a number of Canadian officials who have travelled to the U.S. over the past year and a half to encourage American opposition to Trump’s trade policies. Last week, she met with Illinois Governor JB Pritzker, and in June she held a meeting with Pennsylvania Governor Josh Shapiro.“I think that there are three things in the U.S. that are at this point very bipartisan,” said Joly, who is responsible for the Canadian aluminum, steel and automotive sectors — all of which have been affected by Trump’s so-called Section 232 tariffs. “The first one is tariffs. The question is on which sector and will they apply to Canada?” Many Republicans and Democrats also seem to agree on reducing U.S. engagement on the world stage and on immigration reform, she added.SUBSCRIBER EXCLUSIVE: FP West: Energy Insider brings you behind the oilpatch’s closed doors with exclusive insights from insiders every Wednesday morning.By signing up you consent to receive the above newsletter from Postmedia Network Inc.A welcome email is on its way. If you don't see it, please check your junk folder.The next issue of FP West: Energy Insider will soon be in your inbox.We encountered an issue signing you up. Please try againJoly said she has made the argument to U.S. lawmakers that tariffs on Canadian products merely drive up expenses for Americans by introducing new costs in the supply chain. “They are actually hurting themselves because it has an impact on cost of living, because of the close integration of our economies,” she said in an interview.Many high-profile Democrats have criticized Trump’s indiscriminate approach to tariffs on trading partners, as well as his administration’s hostility toward Canada. But that’s not to say they would reverse the tariffs if they were in power in Washington.California Governor Gavin Newsom, a potential 2028 Democratic presidential candidate, said in an interview with CTV News last month that he can’t guarantee Democrats would lift the tariffs, but said their approach to trade would be “nothing like” Trump’s.Democratic Senators Elissa Slotkin, Gary Peters and Tammy Baldwin in 2025 called for a review and revision of U.S. trade agreements, including the North American trade pact, to ensure the best outcomes for American workers.With the midterm elections approaching, U.S. policymakers in both parties have called on Trump to back off on his trade war with Canada, and focus his tariff policy on countering China’s rising power in sectors such as automotive.“We need to be smart and strategic about trade policy, not trigger-happy. Renaming Lake Ontario won’t make a car cheaper to build or help a family pay its rent,” Michigan Governor Gretchen Whitmer, a Democrat, wrote in recent Wall Street Journal op-ed that rebuked Trump’s tariffs.Susan Collins, a Republican senator who’s fighting for reelection in Maine, has also said she wants a deescalation of the Canada-U.S. trade fight.One major factor in whether tariffs will stay: the U.S. government needs revenue. The federal deficit is around six per cent of gross domestic product. So far this year, the U.S. has brought in US$212 billion of revenue from gross tariffs and certain other excise taxes, according to the Washington-based Bipartisan Policy Center — up from US$65 billion in the same period in 2024.This advertisement has not loaded yet.This advertisement has not loaded yet, but your article continues below.Some Canadian stakeholders have argued for the government to target U.S. swing states with retaliatory tariffs, to put political pressure on Republicans. But Brian Clow, a former senior Canadian adviser on trade and U.S. relations, said the midterms shouldn’t be a major factor for Canada’s approach to negotiating tariff relief with the U.S.“Nobody should expect the Democrats to save Canada or come to our rescue when it comes to Donald Trump’s tariffs,” Clow said. “Although there are some voices speaking out against Donald Trump’s tariff policy, many of them aren’t speaking out against it and may actually support it.”We apologize, but this video has failed to load.Notice for the Postmedia NetworkThis website uses cookies to personalize your content (including ads), and allows us to analyze our traffic. Read more about cookies here. By continuing to use our site, you agree to our Terms of Use and Privacy Policy.