The National Telegraph - Wyatt Claypool - June 27, 2025


Trump ENDS Canada trade talks - Carney screwed up!


Episode Stats

Length

14 minutes

Words per Minute

182.03189

Word Count

2,607

Sentence Count

151

Misogynist Sentences

2

Hate Speech Sentences

5


Summary

In the middle of negotiations with Donald Trump and the U.S., Canada implemented a digital services tax that mostly targets American tech firms. This was a brilliant idea, but it came at the expense of a deal that could have been done on both sides of the border.


Transcript

00:00:00.000 Hey guys, Wyatt Claypool here.
00:00:02.960 Doubtless you are all shocked today that our Prime Minister, Mark Carney, and the Liberal
00:00:07.900 Government just screwed up trade talks with Donald Trump and the United States.
00:00:12.980 In the middle of negotiations where Donald Trump and the Americans were pursuing reciprocal
00:00:18.500 lowering of trade barriers on both sides of the border, the Liberal Government and Carney
00:00:24.080 implemented a digital services tax that mostly targets American tech firms.
00:00:31.340 Genius move.
00:00:32.800 Obviously, I'm being very sarcastic.
00:00:35.160 They have been acting extremely foolishly in these trade talks, basically offering nothing
00:00:40.020 to the Americans, not willing to lower any of the tariffs we have on dairy, softwood,
00:00:45.540 lumber, and many other goods that we basically do not allow into Canada.
00:00:49.680 Yes, you can still import American dairy goods and cheese and whatnot into Canada, but the
00:00:56.740 trade barrier is so high, nobody bothers doing it.
00:01:01.040 And now Trump was willing to lower his tariffs if we lowered some of our long-time historical
00:01:06.520 tariffs on their goods, and then we're like, hey, how about a 10% tax on all digital service
00:01:12.680 products?
00:01:14.280 Okay, so this is the statement that President Donald Trump just put out.
00:01:18.180 He says, we have just been informed that Canada, a very difficult country to trade with, including
00:01:23.680 the fact that they have charged our farmers as much as 400% tariffs for years on dairy
00:01:28.560 products, has just announced that they are putting a digital service tax on our American
00:01:33.260 technology companies, which is a direct and blatant attack on our country.
00:01:38.560 They are obviously copying the European Union, which has done the same thing and is currently
00:01:42.740 under discussion with us also.
00:01:44.480 Based on this egregious tax, we are hereby terminating all discussions on trade with Canada
00:01:49.680 effective immediately.
00:01:51.480 We will let Canada know the tariff that they will be paying to do business with the United
00:01:55.680 States of America within the next seven-day period.
00:01:58.720 Thank you for your attention to this matter.
00:02:01.260 Yeah, this was extremely stupid to do for multiple reasons.
00:02:05.400 I know I don't like the tariffs that the U.S. currently has on Canada, but I also don't
00:02:10.880 like the tariffs that Canada has had on the Americans for over four decades at this point.
00:02:17.020 He may not be right that it's a 400% tax on dairy.
00:02:20.860 It's some high number.
00:02:22.240 It's like 200% or so, 250%, depending on the type of product.
00:02:26.160 But it has basically made it so that multiple industries in the United States, like places
00:02:30.420 like Wisconsin, cannot trade cheese into Canada.
00:02:34.560 It is obviously a bit of a tick off to the Americans when we've been tariffing them like
00:02:39.500 that for a long time, and then we get very angry that they implement a 10% across the
00:02:44.340 board tariff on us when we tariff them far greater amounts on specific products and have
00:02:50.420 been for a very long time.
00:02:52.360 The digital services tax, too, is just a cash grab for the liberals.
00:02:56.380 So they're letting their cash grab politics get in the way of a trade deal with the Americans.
00:03:02.420 This is not a neutral policy.
00:03:04.800 Yes, it also applies to Canadian firms, but the problem is that most tech services come
00:03:11.900 from the United States.
00:03:13.540 Amazon, you have Apple, Google, they're all in the United States.
00:03:18.600 And now we're just wanting 10% of their revenues in our country for anything that they do here,
00:03:24.240 even though it's not really like a trade good going over the border and out-competing our
00:03:29.240 own firms.
00:03:29.740 What Canadian version of Amazon are they getting in the way of?
00:03:34.000 What Canadian version of Google are they disrupting?
00:03:37.660 What Canadian version of Apple are they disrupting?
00:03:40.440 We just are just taking 10% of their money.
00:03:43.240 And America has a big tech sector.
00:03:46.140 So this 10% tariff is way bigger than anything that we've even ever done to their dairy industry
00:03:52.100 over time because the dairy industry is kind of small in the overall grand scheme of things
00:03:57.540 in the American economy.
00:03:59.800 So while the 200 plus percent tariffs are unfair on those industries, it's not quite like a
00:04:04.180 10% tariff against a large portion of their economy.
00:04:07.940 This, again, was deeply foolhardy.
00:04:11.660 But now I want to get to some reactions in just a second.
00:04:14.820 But first, I just want to remind you guys, hey, if you like the channel, make sure to like this video,
00:04:19.580 click the like button, make sure to leave a comment.
00:04:22.200 It really helps on the algorithm.
00:04:23.620 And I do like hearing what people think about the topics of the day.
00:04:26.580 And subscribe to the channel if you are not yet a subscriber.
00:04:30.420 But I like this reaction right here from this one commentator, Alex Brown.
00:04:38.120 He says, heard through the grapevine recently from some higher-ups that the digital service
00:04:43.220 tax was going to be the next cudgel.
00:04:45.780 And here it is, going well.
00:04:48.200 So I'll take him at face value here because Alex Brown works for the, I believe, what does
00:04:54.440 he work for, I know it, the National Citizens Alliance, they, he, if somebody probably has
00:05:01.440 a good inside lane on what the government's strategy here was, it would be probably someone
00:05:05.820 like Alex Brown.
00:05:07.300 The fact the government thought that this was like going to be a power play against all
00:05:12.500 Trump is patently insane.
00:05:15.040 It was not.
00:05:15.760 We were pursuing trade, like trade barriers going down on both sides of the border that
00:05:21.160 would be good for Canadians and Americans alike.
00:05:24.440 And in the middle of that, we did the exact opposite about what Trump was proposing to
00:05:30.100 do.
00:05:30.640 Trump was proposing to remove tariffs on Canada if we got rid of some of our historic supply
00:05:38.260 management tariffs.
00:05:39.700 Supply management, as you know, unless you're a Quebec dairy farmer, are terrible.
00:05:44.340 It actually raises the price of things like chicken and dairy products all over Canada and
00:05:50.100 blocks American competition from coming in.
00:05:52.480 It makes our lives worse.
00:05:54.180 It restricts the trade opportunities of the Americans.
00:05:56.880 And in fact, makes our own industries less efficient because they don't have to be efficient.
00:06:00.680 It's like the Detroit auto sector that was completely destroyed when they finally removed trade
00:06:06.520 barriers on other, like on other, other, like, you know, automobile imports from other countries
00:06:11.980 because the Detroit automobile industry had gotten so weighed down by bloated union contracts and
00:06:20.420 inabilities to innovate because they don't have to innovate.
00:06:23.500 They can just trade, they can sell people crappy cars and Toyota can't do anything about it.
00:06:28.680 Once Toyota couldn't do something about it, it almost all folded up within a decade.
00:06:33.100 But anyways, now I just want to quickly jump over to what Conservative Party leader Pierre
00:06:39.080 Polyev has said about this.
00:06:40.500 So far, Carney and the Liberals still haven't said anything, even though this happened hours
00:06:45.380 ago now.
00:06:46.500 But Polyev said,
00:06:47.500 Disappointed that trade talks have halted.
00:06:49.840 Hopefully they resume quickly.
00:06:51.280 As always, Conservatives are ready to help get a good deal for Canada.
00:06:54.720 We must put Canada first.
00:06:56.420 At the same time, the government must take emergency action to bolster Canada's economy,
00:07:00.760 fully repeal the no pipelines law, the industrial carbon tax, the tanker ban, the emissions cap,
00:07:05.500 the EV mandate, the acts of the capital and acts of capital gains tax on reinvestment in
00:07:10.140 Canada, all to create a strong, resilient and sovereign Canadian economy.
00:07:13.940 And I do like how he's not calling for reciprocal tariffs because America's not coming to the
00:07:20.080 table.
00:07:20.920 Foolish thing to do.
00:07:21.900 It hurts your own people and we don't have the economic power to take on the Americans.
00:07:25.640 Is that an unpatriotic thing for me to say?
00:07:27.980 No, it's a realistic thing for me to say as a patriotic Canadian.
00:07:31.980 Yes, we should be just making ourselves more competitive.
00:07:35.020 And guess what?
00:07:36.220 Know what a really great way of growing Canada's economy is?
00:07:39.480 Not taxing digital service products.
00:07:42.340 It's not adding more taxes onto our current system.
00:07:46.700 I'm going to probably make another video about this a little bit later today.
00:07:50.700 But the parliamentary budget officer is having to chase down Mark Carney because he keeps making
00:07:55.660 big spending promises and there's absolutely no ledger he can follow to figure out if we can
00:08:01.320 pay for any of it or how big the deficit this year is going to be.
00:08:05.120 Mark Carney is really obscuring what he's doing effectively on purpose because he doesn't
00:08:09.820 frankly seem to have much of a plan.
00:08:12.180 He ran on the idea that he had a plan, but it doesn't seem like it's actually there.
00:08:16.860 Now, I just want to go over to this report made by NBC News.
00:08:21.120 They said President Donald Trump on Friday said the United States is immediately terminating
00:08:25.700 all discussions on trade with Canada in response to Ottawa's decision to impose digital
00:08:30.040 service tax on American tech firms.
00:08:31.760 I just want to go down here to show this part.
00:08:36.380 The president's angry declaration suddenly imperils America's trade relationship with
00:08:40.320 a close ally as that has long been one of its top two global trading partners.
00:08:46.180 U.S.
00:08:46.440 trade with Canada totaled roughly 762 billion last year.
00:08:51.920 And I know that the American media, which is including NBC, is going to be trying to attack
00:08:58.380 Donald Trump as being the bad guy in the situation because, you know, most media tends to be a little
00:09:03.800 more left leaning on both sides of the border.
00:09:06.480 But 762 billion dollars worth of trade that we are going to put at risk for a 10 percent digital
00:09:14.440 services tax at the same time Trump was trying to do the opposite.
00:09:18.960 I hear all these people pretending like like Mark Carney was going to take it to Trump in
00:09:24.640 the election.
00:09:25.420 See, he's going to end our relationship with the U.S. and align more with Europe.
00:09:29.680 And he's still been making noises about that since the election, about how we're the most
00:09:34.120 European, non-European country that's on the planet, which is insane when countries like
00:09:39.360 Australia, New Zealand, Argentina and like pretty much most of South America exists.
00:09:44.900 But he, after the election, started being very warm to Trump, wanting to get along.
00:09:50.000 And the same liberal commentators and talking heads online said, see, no, no, no, this is
00:09:55.320 exactly what we expected Carney to do.
00:09:57.300 He was going to get along super well with Trump because Trump respects him.
00:10:00.600 So they went from saying that he's going to be a battle axe against Trump to saying, no,
00:10:03.800 no, no, he is going to be a soft feather bed that Trump will really like.
00:10:08.280 And he can, you know, lie on Mark Carney and that will somehow benefit Canada, which is
00:10:12.900 fine.
00:10:13.220 I actually don't mind Carney being nice to Trump.
00:10:15.960 But they went from he I want him to be super aggressive to I actually like that Trump likes
00:10:21.060 him.
00:10:21.400 And then we're back to he's taking Trump off and it's a good thing.
00:10:25.980 I have already been seeing this online that, oh, this shows the strategic mastery of Mark
00:10:31.660 Carney.
00:10:32.040 All these people who, again, think that who have been holding contradictory positions
00:10:37.080 on what the U.S. is supposed to like Canada's supposed to be doing with the U.S.
00:10:40.840 It's stupid here.
00:10:43.700 Here is Laura Babcock reacting to it.
00:10:47.200 Oh, sorry to bring up my other tab here.
00:10:51.580 Laura Babcock saying in response to this media touch headline, it says Trump says he's ending
00:10:57.260 all trade discussions with Canada and will be levying more tariffs against them the next
00:11:00.480 seven days.
00:11:01.420 Laura Babcock says the mighty Charlie Angus, leader of Canada's resistance to MAGA, joins
00:11:06.120 me today on The O Show and now is a hell of a lot to say about the latest threat from Donald
00:11:09.920 Trump.
00:11:10.540 So let's let's check that out.
00:11:12.700 Or I'm pretty sure this is should be about it, I believe.
00:11:15.760 But this is the kind of weak energy we have when we deal with the Americans.
00:11:21.100 Just just whining, just whining, hoping he's going to come back to the table.
00:11:25.380 Trump is threatening us.
00:11:27.160 We have to draw a line in the sand here.
00:11:29.000 Yeah, you can insult and swear at us all you want and say that we're a threat.
00:11:32.960 But hey, we're not shopping in your states anymore.
00:11:36.660 You can't have it both ways.
00:11:38.080 Either you're a country that lives by the rule of law or you're not.
00:11:40.980 And if you're not.
00:11:41.520 What do you mean the rule of law?
00:11:44.340 It's it's tariffs.
00:11:46.600 It's trade policy.
00:11:48.060 The rule of law.
00:11:49.480 Well, if you cared about like the supposed vague rule of law, when we're having trade
00:11:54.380 negotiations over lowering tariffs, you're not raise tariffs.
00:11:57.480 I know it's a digital service tax that's technically being levied domestically within Canada.
00:12:03.100 But that's never digital services have never been something that have been tariffed before.
00:12:07.420 And this is effectively mostly targeting American firms because Canada doesn't have that many
00:12:11.860 massive tech firms that they're that they're taxing.
00:12:14.420 They're mostly only taxing the digital firms in the US.
00:12:18.100 So this is effectively a tariff.
00:12:20.280 But the thing is, you'll never have anyone on the left say, well, those tariffs are bad.
00:12:23.280 Only Trump's tariffs are bad.
00:12:24.820 And by the way, I think all tariffs are bad.
00:12:27.180 Not a country who lives by the rule of law.
00:12:28.840 Don't come up and try and sugarcoat and suck for Canada to spend any money.
00:12:31.940 We will not spend money in a gangster state, period.
00:12:35.540 Who could guess why Charlie Angus and the NDP ended up just absolutely going down to flaming
00:12:40.940 defeat last election?
00:12:42.360 I know Angus didn't end up running again.
00:12:44.620 He's some worthless, washed up hippie who even probably knew he was going to lose his
00:12:48.600 own riding.
00:12:49.140 So he skipped out.
00:12:50.420 But the NDP folded because of just delusional thinking like this.
00:12:54.200 And the liberals gained a lot of their vote from seeming slightly less delusional.
00:12:58.060 But they were going to fight Trump.
00:12:59.180 And that was why a lot of people vote for them.
00:13:01.240 Fighting Trump, we're about to get smashed by them.
00:13:03.740 What are we going to do?
00:13:04.720 Roll tanks over the border and slap them about until they lower all their tariffs, but they
00:13:09.060 let us keep our tariffs.
00:13:10.560 That's the hypocrisy of all this.
00:13:12.040 We are saying that American tariffs are bad, but our tariffs are good.
00:13:16.320 And by the way, when I said all tariffs are bad, I am fine with tariffing like actual enemy
00:13:20.620 states like China and Iran and other countries making trouble.
00:13:25.200 But I'm saying in terms of like trading with other Western democracies, I'm pretty fine with
00:13:30.200 having no tariffs.
00:13:31.200 Again, it makes your economy more robust if your economy adapts to other competitors rather
00:13:36.820 than just being shielded from them.
00:13:39.020 Best way of fighting back on tariffs, by the way, is not only having none of our own tariffs
00:13:43.500 to justify their tariffs, but it's also lowering our own taxes, making it easier to do things
00:13:48.180 here while things become more difficult to do elsewhere.
00:13:51.700 We could easily be in command of many different industries in Canada, be the main like trading
00:13:57.860 hubs for many industries.
00:13:59.000 But we just choose not to because we'd rather tax everyone to death in order to pay for crappy
00:14:03.660 programs.
00:14:06.320 So that's it for this video, guys.
00:14:09.460 So that's going to be fun seeing if we end up getting tariff for the next seven days because
00:14:13.100 Carney and the liberals can't get their crap together.
00:14:15.840 But until then, I will see you guys all next time.