Canada didn't start this fight, but standing firm is the only way to end it. Matching 50% tariffs dollar for dollar makes the pain real in the states that export north, which is exactly the incentive Washington needs to come back to the table. Caving to demands that trample Canadian sovereignty and gut the auto, steel and aluminum sectors would be far worse than holding the line.
Canada has been retaliating and rigging the deck for years, blocking American banks, banning U.S. spirits in most provinces and treating Chinese goods better than goods from Maine. The best deal on the table was offered and rejected for domestic political theater, not economics. With more than 70% of exports headed south, this tantrum hurts Canada far more than it will ever sting America.
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