When a country imposes tariffs on another nation's exports, it can cause economic harm to the targeted country's GDP, particularly in sectors like automobiles, steel, aluminum, and forestry. However, the affected country can demonstrate economic resilience by diversifying its trade relationships, increasing domestic consumption, and maintaining GDP per capita growth even when total GDP declines. The video illustrates this through Canada's experience with US tariffs, showing how economic challenges can be overcome through strategic adaptation rather than accepting blame for external policy decisions.
Deep Dive
Prerequisite Knowledge
- No data available.
Where to go next
- No data available.
Deep Dive
Top US Officials THREATEN 51st State & Economic WAR With CanadaAdded:
Hello everybody, welcome back. I hope your day is starting off just fantastic.
If you had forgotten about the arrogance, the vile rudeness, and despicable character that the United States has displayed towards Canada and Canadians, well, they've decided to remind us once again. Just when you thought the despicable verbal threats had subsided, now the president of the United States revives the 51st state threats after Canada slips into a technical recession. What do you call someone who is happy about the misfortune of others or who is gleeful in causing others pain? What's the word for that? Let me know in the comment section. It doesn't spring into my mind.
The president took to True Social Monday night to post 51st state with a link to the Bloomberg News article titled Canada dips into technical recession for first time since 2020. And I know we all expect this kind of thing from the president, but the post was quickly re-shared by US ambassador to Canada, Pete Hoystra. Now, as a Canadian, let me know what you think. Leave your reaction in the comment section. But let's just look at this technical recession that these American officials are so happy about uh that's caused them to insult berate and threaten us again. Well, it's best summarized on this graph here. This is a graph of the quarterly change in GDP in Canada. The GDP, gross domestic product, is the value of all goods and services produced by our country. The last time we had a negative quarter of GDP was in 2021. In 2024, our economy was growing on an annualized basis 2.9 3.3 3.3 2.8 2.9% and something changed abruptly in 2025.
And since that change, we had minus 1% and then a recovery of plus 1.9%. Then another quarter of minus 1% and the most recent number was almost zero. A minus.1% growth rate for the first quarter of 2026. Well, what happened at the beginning of 2025 that could have caused this. Now, we're going to try and talk about cause and effect. Well, what caused this was the president of the United States was elected and he introduced a tariff policy on imports from all over the world, but he specifically targeted Canada, certain sectors, the auto industry, steel, aluminum, and forestry with very high tariffs. And Canada, being the country that trades the most with the United States, felt the effect of this. We're selling less steel, aluminum, forestry, and automobiles to the United States.
That's making our GDP numbers go down.
But they haven't gone down very much. In fact, we've been treading water for about a year now as we move to diversify from the United States and take steps to mitigate this. But now there's been two quarters in a row of negative GDP growth. And that's the technical definition of a recession. But it's a pretty skinny recession. It's more reasonable to describe it as our economy's been treading water for about a year since the tariffs were introduced. And some economists are saying don't read too much into these numbers. Scotia Bank chief economist Derek Holt noted that imports of gold were sharply higher in the first quarter and dragged the GDP number lower.
Apparently Canada imported a lot of gold in that quarter where we usually export a lot of gold mostly to the UK. It would be irresponsible to make a recession call on the basis of surging gold imports that are idiosyncratic in nature versus relative and underlying activity in the economy. Holt said, "We know, for example, that the flash data for April, which is the early warning GDP for April, it tells us there's been a bit of a rebound. Other economists point to different numbers that paint a much rosier picture." This article in the Financial Post headlined post haste recession. What recession? Canada's economy is doing better than it has in years by this measure. Since the federal government has cracked down on immigration after the post-pandemic boom, population has actually declined in Canada over the past two quarters. So while the overall GDP reading is slipping, GDP per person is on the rise.
A welcome change from a few years back when per capita measure was nosiving.
And this chart summarizes it. There's two lines on here. The blue line is total GDP and the last two quarters show a slight dip. But the red line is total GDP divided by the amount of people GDP per capita. And you can see that in the past few quarters it is trending up. So what does this mean? It means that we are struggling in Canada to change our economy and diversify because we've been attacked by the Americans. We had made the mistake in the past of putting all our eggs in one basket. And we're in the middle of trying to fix that. Now, it doesn't matter what the numbers are.
There'll be one number that uh Chicken Little can run down the street and claim that the sky is falling. Let's use an analogy here. Let's say you're a business and your top customer doesn't want to buy your product anymore. What do you do? Do you just sit in the corner and cry or call them up every day and say, "Please, please buy my product."
And they don't want to buy your product.
What do you have to do? You have to find new customers. If you're in a relationship with someone, someone you've been best friends with for years, you always did things together and you spent a lot of time with that particular person and now they don't want to see you anymore. They don't want to go out with you anymore. They don't like you anymore. What do you do? Do you just call them on the phone every day and say, "I miss you. I miss you. Please, please, will you be my best friend again?" Like, no, you don't do that. You You have to find new friends. And finding new friends is difficult. It takes time and maybe you're going to have to rely on yourself more. Show a little bit more independence, a little bit more backbone, and work your way through it. That's what we're doing as a country here. If you're going through something like this in your personal life and there's someone telling you that it's your fault and that you're broken, don't listen to them. They're toxic. And since the United States has imposed their import tax on those specific Canadian sectors that I listed, steel, aluminum, forestry, automobiles mainly, those sectors have been hurt.
People have lost their jobs in Ontario that work in the auto industry. And here we have the Americans, I can understand the president because he's just an ass, but also the US ambassador to Canada gloating about it as if it's a job well done. It's what they wanted to achieve.
This is who we're dealing with. Uh that was their plan all along from when they first started talking about it. We're going to put tariffs on the imports from Canada because they've been ripping us off forever. Uh they've been getting a free ride and and we're going to put tariffs on them and we're going to kill those industries. We want the auto companies to leave Canada and come and manufacture it in United States and we're not going to buy their products anymore. Blah blah blah. They should become the 51st state and then there would be no tariffs. That's how it started. And now we're in a technical recession. And so they're they're happy and they're uh tweeting and posting their gleeful joy at the hardship that some Canadians are facing. Now, one particular politician, a conservative politician, lashed back, one of the only ones in Canada, Doug Ford, who posted back at them. Both jabs caught the attention of Ontario Premier Doug Ford, who wrote in an ex post on Tuesday, "I can't believe I have to say this again, but Canada will never be the 51st state.
Canada is not for sale." There's the premier of the province in Canada who's been hit the hardest by these tariffs.
some of his constituents, some people in Ontario have lost their jobs. And here are these American politicians gloating about it. And whether you like Doug Ford or not, at least he stood up and posted back. He's probably incredulous at their lack of character for doing this. But one thing he did not do is lash out at Canadians and lash out at our federal government. Right? He's not jumping on the bandwagon and shouting at the clouds. Canada's broken and the sky is falling and it's all our fault. It's our government's fault and it's Canada's fault that this is happening. And that's precisely what the leader of the opposition, Pierre Palev, uh is doing.
And I'm not going to read you his posts or show you his face. People have lost their jobs in Ontario and in Quebec that produce work in the steel and aluminum business or the automotive business or in the forestry business in uh in British Columbia. It's like saying it's their fault. It's it's our fault. It's Canada's fault. Canada's broken. He It's It's almost as if he's like looking at the people that have lost their jobs and saying it's your fault that this is happening. He has refused and made it a point very carefully to not mention the name of the president or the country that started this. Not one comment on the 51st state jab that they've made. not one comment that it's these tariffs and the the US policy that they've um uh attacked us with. That's of course we've known for the past year that this has been the case that we're in the an economic fight with the United States and they want to hurt us. They want our economy to falter and they want us to beg to become the 51st state to make the pain stop. rather than um call that out, he wants to call out our own country. So, shame on you. Again, I'm not going to show your face in this video, but you make me sick. Now, if you're struggling with the situation in your business or in a personal relationship and there's someone telling you that it's your fault and that you're broken, don't listen to them. They're toxic. Now, this is not going to stop.
And the United States is specifically targeting the largest economies in what they call their hemisphere. The president's administration now proposing 25% taxes on Brazil, citing unreasonable trade practices. They're ready to go after Brazil now. But as they blurt out the attacks and disrespect and threats on one side, they're also making changes on the other side quietly. The president issues proclamation to lower some steel, aluminum, and copper tariffs. Effective June 8th, tariffs on some steel aluminum derivatives will go from 25% to 15%.
Because as these vile, disgusting Americans are gloating that they've caused harm to Canada and Canadians, they also realize that they're causing harm to themselves, to their own citizens, and they need their votes.
They don't need our votes. They need Americans votes. So, they're quietly lowering some of the tariffs now because they're killing their own industries as well. The US economic numbers aren't looking great either. At the at the beginning of this whole mess, smart economists pointed out that tariffs will harm everyone. No one wins from this. And now the US is quietly lowering some of those tariffs, which will actually be good for us. But make no mistake, they're not doing it because they want to help Canada. They're doing it because they're panicking now.
They're worried that they might get wiped out in the midterms and potentially get booted out of office as a party. in 2028. So, they have to backtrack on some of their own policies now. So, these are just vile, disgusting, arrogant individuals. Uh, did you come up with the definition that I asked you at the beginning of the video? What do you call a person with this character who um deres joy from the misery of others, who inflicts harm on someone and then is happy about it? What what what is the word for that? Leave it in the comment section. We're on the right path, but this is not going to be a quick and easy path. This is going to take a lot of work, determination, and sticking to the plan. You can't just snap your fingers and replace the trade that we've lost with the United States.
But we have to work full speed and together premers, federal government, other members of the House of Commons, meaning Conservatives working together to build Canada and move forward and not just run around and and talk about the sky falling and that it's all our fault because Canada's broken. Canada's not broken. And we've been very resilient through this full year when some doom and gloom economists uh expected the wheels to fall off and that we would be in a deep deep recession of minus5 minus 10% GDP growth. That hasn't happened because for one thing Canadians have stepped up. We've stepped up with our own spending to make up a lot of the shortfall. Something like 60% 60 to 70% of Canada's GDP is consumer spending.
That's we're what we choose to buy. And Canadians, u I implore all of you, when you choose to buy things, buy Canadian things. For every American thing you reject buying, like a car, and replace it with something manufactured in Canada, you're helping the Canadian economy. I can't believe that I have to be actually saying this, that there's still some Canadians that are oblivious to this and would choose to go on holiday in the United States and buy a car made in the United States, probably the the second biggest expenditures that they will make in their lifetime other than their home.
just doling money out to the United States where the president, the ambassador to Canada are insulting us, gleeful at our uh the struggles that we're going through. It will not resonate with them and they'd rather blame us instead. They'd rather blame our country instead than the fault of who it is. It's a it's it's a it's a mystery to me. So, I know that the majority of Canadians understand this.
Canadians are smart. Leave your comments in the comments section. Let me know your point of view. Subscribe to my channel if you're enjoying the content.
Have a fantastic rest of your day, everyone, and I'll catch you all on the next one.
Related Videos
Truckers Finally Seeing Higher Rates… But Carriers Are STILL Going Bankrupt
LetsTruckTribe
480 views•2026-05-28
IS THIS THE REAL REASON FOR DATA CENTERS?
PrepperDawg
7K views•2026-05-31
JPMorgan CEO JUST NUKED Mamdani... as NYC's Middle Class COLLAPSES
Englishman-In-NewYork
7K views•2026-05-30
The Dark Age Of Blue Collar Has Begun
derekpolasekofficial
4K views•2026-05-28
What has a broader economic impact, corporate downsizing or ecological collapse?
theratracejournal
1K views•2026-05-29
China Is Quietly Buying Gold, the Iran Deal Is Frozen, and Silver Is Heating Up
RichardHolloway0
694 views•2026-05-31
Why Canadians can no longer afford to survive #canada #inflation #shorts
TrueNorthInvestor-v4j
131 views•2026-06-01
Why People Pay More For Someone They Trust
financian_
66K views•2026-05-28











