Energy and the “51st State”: Trump attacks Canada at the Davos Forum

Speaking at the World Economic Forum in Davos, Switzerland, US President Donald Trump argued that the United States could do without Canadian products while reiterating his idea of ​​making Canada the 51st^e American state.

The commercial strategy of the new tenant of the White House was deployed at the 55th annual meeting of the Davos Forum, in Switzerland, in a context where Ottawa, but also Washington’s other economic allies are on a war footing to avoid a trade war with the United States.

If you become a state, we will not have a deficit [commercial]we will not need to impose customs tariffs on youdeclared from Washington by videoconference the new American leader about Canada, a major trading partner of his country.

If Donald Trump has often raised the possibility that the neighboring country would renounce its sovereignty to become an American state in recent weeks, this is the first time that he has made such a declaration as head of state before a forum international.

The United States does not need Canada, Donald Trump once again proclaimed, despite his expansionist threats and a deficit which shows the importance of Canadian exports for the United States.

We don’t need them [le Canada] to produce our automobiles – and they make a lot of them – we don’t need their lumber because we have our own lumber, we don’t need their oil and gas – we have more than anyone else.

The American president denounced a trade deficit huge et unfair of 200 or 250 billion US dollars with Canada, or approximately 290 or 360 billion Canadian dollars, a greatly exaggerated estimate.

According to Statistics Canada data published at the end of November, the trade surplus with the United States in 2024 was on track to reach 100 billion Canadian dollars.

Canadian energy resources in particular are crucial to the United States: without these imports, the United States would actually enjoy a trade surplus.

We will demand respect from other nationswarned President Trump, presenting Canada as a player with whom he has been very difficult to treat.

Trudeau recalls the importance of Canadian goods for the United States

Questioned by journalists in Ottawa, Canadian Prime Minister Justin Trudeau contradicted the American president, recalling that the American economy benefits from Canadian exports.

Mr. Trump has promised a golden age for the American economy in the years to come. To succeed in having an economic boom, they will need more energy, more critical minerals, more steel, more aluminum, more woodhe said.

The United States will have need even more Canadian products than at present, added the Canadian Prime Minister, whom Donald Trump has already derisively described as “governor of the great state of Canada”. We will be there to do more.

A few weeks ago, Donald Trump threatened to use “economic force” against Canada.

After his election, Donald Trump threatened to impose tariffs of 25% on all products coming from Canada and Mexico.

On the evening of his inauguration, he indicated that he could carry out his threats on 1^is February, after having previously mentioned January 20, the date of his entry into office.

The all-out threat of customs tariffs

The two North American countries are not the only ones in the crosshairs of the 47^e American president, as he hammered home to political leaders and business leaders gathered in Davos.

My message to every business in the world is simple: Come make your products in America, and we will offer you some of the lowest taxes of any country on Earth.he argued.

But if you don’t manufacture your products in America, which is your right, then it’s simple, you will have to pay customs duties.

During his speech, during which he praised at length his electoral victory as well as his executive measures and criticized his predecessor Joe Biden, he also indicated that he would ask Saudi Arabia and the OPEC countries to to roll back oil prices.

Lower oil prices would help end the war in Ukraine and lower interest rates globally, he said.