The United States and Canada have spent the past several months behaving like two people in a bad marriage: each is convinced the other is taking advantage, each is speaking loudly enough for the neighbors to hear, and neither seems willing to acknowledge how much is at stake if the relationship truly breaks down.
It is time to stop measuring each other’s manhood across the border.
Canada should return to the table. So should the United States. Not to negotiate another small, defensive tariff truce, but to construct a new North American economic relationship worthy of the two most integrated economies in the democratic world.
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The first principle must be plain: Canada is a sovereign country. It is not the 51st state, and no good can come from language that treats it as one. America does not need a submissive Canada. It needs a prosperous, capable, secure, and willing partner on its northern borderâone that shares a continent, a NATO commitment, a vast energy system, critical supply chains, and values that are far more alike than different.
The second principle is equally plain: sovereignty is not a license for permanent economic asymmetry. If Canada wishes to preserve privileged access to the American marketâand it shouldâthen it must be willing to address the barriers that American businesses and workers reasonably see as one-sided. Banking, dairy, procurement, digital rules, industrial subsidies, and autos all belong on the table. But they should be resolved through reciprocity, not coercion.
The current approach has it backward. Washington has too often treated tariffs and public humiliation as a negotiating strategy. Ottawa, understandably angered by that treatment, has increasingly treated diversification away from the United States as a strategic end in itself. Both instincts are emotionally satisfying. Neither is a strategy.
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Canada can and should diversify trade. A country that sends the overwhelming majority of its goods exports to one market should want alternatives. Europe, Britain, Japan, India, and other partners all have a role to play. But diversification is not substitution. Canada will not replace North America with Europe, and it would be foolish to try.
The fashionable idea that Canada should join the European Union is the clearest example of mistaking a political gesture for an economic plan. It is also, as a legal matter, implausible: EU membership is available to European states, and Canada is not one. But even if Brussels chose to rewrite its treaties, full membership would be a terrible bargain for Canada.
Canada would trade its own commercial policy for the European Unions common external tariff and regulatory system. It would risk erecting a customs and regulatory border with its largest customer, most important supplier, and closest industrial partner. It would become a distant member of a bloc whose decisions are necessarily shaped by European geograp