Calls grow for more strategic oil approach in Canada-U.S. tariff conflict
As tensions rise over U.S. tariffs on Canadian oil, experts and leaders warn against economic self-sabotage.
The United States is facing increasing criticism over its trade war strategy targeting Canadian oil, with experts and political leaders warning that such an approach could backfire economically and geopolitically.
Canada exports 4.3 million barrels of oil to the U.S. daily, with many of the companies involved having significant American shareholder ownership. Disrupting this flow would not only harm Canadian producers but also raise costs for U.S. refineries reliant on this specific crude. Replacing these imports with domestic production would take years, creating economic uncertainty and raising energy prices for consumers.
I can understand Trump’s disdain for Trudeau — most Canadians share that view. But there are better ways to shoot at Trudeau without hitting Canadians, particularly Canadians who love the U.S.
— Ezra Levant 🍁🚛 (@ezralevant) February 2, 2025
Ethical Oil author and Rebel News publisher Ezra Levant noted that Canadian oil offers a strategic advantage to the U.S. Unlike other energy sources, it is insulated from Chinese competition due to policies restricting its export beyond North America. A hostile trade approach from Washington could force Canada to reconsider its policies, potentially opening the door for competitors to gain access to a resource that has long been a secure and stable supply for the U.S.
Alberta Premier Danielle Smith has strongly opposed the tariff threats, calling for a measured response rather than escalating tensions. “Calm logical discussion is far more effective than ‘tough guy’ rhetoric when dealing with a misguided ally who has wronged us,” she said in an opinion article published by the National Post.
Danielle Smith: Here's how Canada can stop making things worsehttps://t.co/xSafDPSHev
— National Post (@nationalpost) February 2, 2025
Smith also warned that Ottawa’s own restrictive policies on energy infrastructure, including blocking pipelines and stifling investment, have left Canada heavily dependent on the U.S. market. This reliance has made the country vulnerable to trade disputes, highlighting the need for a more robust national energy strategy.
Trump can out-negotiate anyone. But only if they want a deal.
— Ezra Levant 🍁🚛 (@ezralevant) February 2, 2025
What if I told you Trudeau nixed a deal because his party prefers to “run against Trump” than the actual Conservative leader?
And they want Canada’s economy smashed so they can hide their own mismanagement.
While some in Canada advocate for retaliatory tariffs, others, including Smith, stress that diplomacy remains the best course of action. “Diplomacy matters,” she said, pointing to recent advocacy efforts that helped reduce proposed tariffs on Canadian energy exports.
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COMMENTS
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Bruce Atchison commented 2025-02-03 17:26:19 -0500Ezra is right. Trump is inadvertently driving Canada toward China and other undemocratic countries. What if China buys the oil sands? What if we get trapped by letting them build our pipelines?
