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Trudeau says he can91裸聊视频檛 imagine Trump damaging U.S. by imposing auto tariffs

New tariffs on Canadian autos entering the U.S. would amount to a self-inflicted wound on the U.S. economy
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Secretary of Commerce Wilbur Ross speaks during a Senate Finance Committee hearing on tariffs, on Capitol Hill, Wednesday, June 20, 2018 in Washington. THE CANADIAN PRESS/AP, Jacquelyn Martin

Prime Minister Justin Trudeau says he can91裸聊视频檛 imagine President Donald Trump will make good on his threat to impose new tariffs on Canadian autos entering the United States because it would amount to a self-inflicted wound on the U.S. economy.

Trudeau was forced to confront that possibility at his end-of-session news conference Wednesday because the U.S. Department of Commerce is investigating whether to slap a 25-per-cent tariff on cars and light trucks entering the U.S.

Trump is considering using the same controversial national security clause that he used last month to impose tariffs on steel and aluminum imports from Canada and other major American allies.

Trump may pride himself on his unpredictability, Trudeau said, but that can91裸聊视频檛 possibly include doing damage to American workers and its auto industry, which is so enmeshed with Canada91裸聊视频檚.

91裸聊视频淚 have to continue to believe that leaders will function in the interests of their own country,91裸聊视频 Trudeau said.

91裸聊视频淚 have a hard time accepting that any leader might do the kind of damage to his own auto industry that would happen if he were to bring in such a tariff on Canadian auto manufacturers, given the integration of the parts supply chains or the auto supply chains through the Canada-U.S. border.91裸聊视频

Trudeau said he has no interest in addressing the recent personal attacks from Trump and his top economic advisers. He said his government will stay focused on continuing to advance the argument that current and future tariffs are bad for the work forces in both countries.

Earlier Wednesday, Foreign Affairs Minister Chrystia Freeland said she was heartened by the remarks of Trump91裸聊视频檚 point person on tariffs.

U.S. Commerce Secretary Wilbur Ross said he doesn91裸聊视频檛 see Canadian steel as a national security threat to the U.S., and that a revitalized North American Free Trade Agreement could make his government91裸聊视频檚 tariffs on steel and aluminum go away.

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Ross also acknowledged that the U.S. doesn91裸聊视频檛 have a trade deficit on steel with Canada. In fact, he said it has a surplus with its northern neighbour in terms of dollar value.

Ross was testifying before a U.S. Senate committee examining the tariffs. The duties are based on the premise the countries are threats to American national security under the controversial Section 232 of U.S. trade law.

91裸聊视频淲e think that is self-evident, and that is what we have been saying from the beginning,91裸聊视频 Freeland said of the security issue before applauding Ross91裸聊视频 observation on the trade balance.

91裸聊视频(It was) good to hear all of those comments from him.91裸聊视频

Under a grilling by Republicans and Democrats, Ross heard concerns that looming retaliatory tariffs by allies, including Canada, Mexico and the European Union, would kill American jobs and drive up prices for consumers.

In one key exchange, Ross played down Trump91裸聊视频檚 national security rationale, and instead linked the tariffs to the unresolved renegotiation of the North American Free Trade Agreement.

91裸聊视频淭he Canadian steel industry is not being accused of directly and individually being a security threat,91裸聊视频 Ross testified. 91裸聊视频淭he national security implication is in the aggregate, all of the steel.91裸聊视频

Ross said Canada and Mexico were initially exempted from the national security tariffs 91裸聊视频漰ending negotiations of NAFTA overall.91裸聊视频

91裸聊视频淯nfortunately, those talks were not able to come to a conclusion,91裸聊视频 he said.

91裸聊视频淥ur objective is to have a revitalized NAFTA, a NAFTA that helps America and, as part of that, the 232s would logically go away, both as it relates to Canada and as to Mexico.91裸聊视频

For his part, Ross said U.S. trade czar Robert Lighthizer is optimistic NAFTA talks 91裸聊视频渃ould pick up steam91裸聊视频 after Mexico91裸聊视频檚 July 1 presidential election.

One Republican lawmaker from Pennsylvania was critical of Lighthizer91裸聊视频檚 insistence on inserting a five-year sunset clause into NAFTA, a position long decried as a non-starter for the Trudeau Liberals.

91裸聊视频淚91裸聊视频檓 very deeply concerned that the very provisions that Trade Representative Lighthizer is seeking would make NAFTA a much lesser agreement. It would weaken NAFTA. One of them is to have a sunset provision,91裸聊视频 said Sen. Pat Toomey, who added it would lead to a 91裸聊视频渄eparture of investment from the United States, which would be harmful.91裸聊视频

Toomey said Trump91裸聊视频檚 use of Section 232 was 91裸聊视频渨holly inappropriate91裸聊视频 and he renewed a plea to fellow lawmakers to support the bill he has co-sponsored with fellow Republican Sen. Bob Corker that would give Congress 91裸聊视频 not the president 91裸聊视频 the authority to implement that national security provision.

91裸聊视频淚 wish we would stop invoking national security because that91裸聊视频檚 not what this is about. This is about economic nationalism and an economic policy of managing trade.91裸聊视频

Throughout Ross91裸聊视频檚 testimony Wednesday, committee members criticized Trump91裸聊视频檚 tariffs.

Democratic Sen. Michael Bennett challenged Ross to say whether the U.S. has a trade deficit with Canada on steel.

91裸聊视频淲e don91裸聊视频檛 have a trade deficit of note (on steel),91裸聊视频 Ross replied. 91裸聊视频淲e have a surplus in dollars; we do not have a surplus in physical value.91裸聊视频

Bennett also asked Ross to explain 91裸聊视频渢he national security rationale for putting a tariff on the Canadian steel industry, with whom we have a trade surplus?91裸聊视频

Ross described the tariffs as a tool to persuade allies to reduce the amount of Chinese steel that passes through their countries and into the U.S. market.

Some partners, including Canada and the European Union have already taken positive steps in that effort, he said.

91裸聊视频淭he only way we91裸聊视频檙e going to solve the global steel overproduction and overcapacity is by getting all the other countries to play ball with us,91裸聊视频 Ross said of U.S. allies slapped with the tariffs.

91裸聊视频淎nd while they91裸聊视频檙e complaining bitterly about the tariffs, the fact is they91裸聊视频檙e starting to take the kind of action, which 91裸聊视频 if they had taken (it) sooner 91裸聊视频 would have prevented this crisis.91裸聊视频

The Canadian Press

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