President Donald Trump’s tariff policies have exposed the inaccuracies of his opponents in politics and the media. A recent job report revealed that Canada lost 40,800 jobs in July, contradicting claims that tariffs would not hurt a trade relationship built on fairness. If Canada truly treated American businesses fairly, one must question why the tariffs negatively impacted its job market.
Michael Davenport, a senior economist at Oxford Economics, observed a stark shift from June’s numbers, where Canada had gained 83,000 jobs. “Canada’s labor market snapped back to reality in July,” he stated, underscoring how Trump’s tariffs on steel, aluminum, and autos affected the Canadian manufacturing sector, resulting in a loss of 10,000 jobs.
These actions highlight a return to economic nationalism within the Republican Party, as Trump leverages tariffs not just for revenue, but also to demand policy changes from trade partners like Canada. This was evident when Trump announced a hike in the tariff rate on Canadian exports, compelling the Canadian government to act against border issues concerning drugs and crime.
Despite fears of rising inflation tied to these tariffs, reports suggest that inflation in the U.S. did not surge as predicted in July. A CNN report noted that inflation rose less than anticipated, prompting TV host Piers Morgan to remark, “I thought Trump’s tariffs were going to lead to economic Armageddon in America? That’s what all the ‘experts’ assured us back in April.” This comment encapsulates the disconnect between expert predictions and actual economic outcomes.
Trump also responded to the ongoing debate on tariffs, taking a jab at David Solomon from Goldman Sachs, suggesting that many so-called experts often fail when predicting market outcomes and the consequences of tariffs. “They made a bad prediction a long time ago,” Trump said, pointing out the consistent misjudgments by critics.
While job reports reflect complicated economic factors, it is clear that the dire predictions surrounding Trump’s tariffs have not come to pass. True to form, his critics were once again proven wrong, challenging the assumption that tariffs would devastate the economy.
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