‘Utter madness’: B.C. political scientist wary of true cost of U.S. tariffs on metal
Posted February 17, 2025 9:58 am.
As the country waits to see if U.S. President Donald Trump goes ahead with tariffs on Canadian goods heading south, an expert out of the Fraser Valley says it pays to look at what happened during the first Trump administration.
In 2018, the U.S. levied 25 per cent tariffs on Canadian steel and 10 per cent tariffs on Canadian aluminum.
Associate Political Science Professor Hamish Telford at the University of the Fraser Valley says, on the surface, the idea was to simulate the U.S. economy and strengthen the domestic industry south of the border.
“And there was a modest bump in steel production. I’ve read upwards of maybe 1,000 jobs were created in the steel sector, but I’ve also read that upwards of 75,000 jobs were lost in the manufacturing sector — those sectors that buy steel to make products. And after a year, when the magnitude of job losses became apparent, Trump backed off,” Telford explained.
“But here we are, seven years later, and he’s threatening the same tariffs on steel and an increase in the aluminum tariff to 25 per cent. It’s utter madness.”
Telford says he isn’t so sure Trump will back off if the same job losses happen this time around.
“Unlike last time when Donald Trump was president, when he did call upon some people of stature to work in his government and to be advisers: this time, he has surrounded himself with ‘true believers.’ So I don’t think there’s going to be anybody who tells Donald Trump, ‘Hey, boss, this might not be a good idea. Last time we did it, we lost a lot of jobs.’ I rather suspect they will go forward with it, and only when economic repercussions become obvious to them, that they may back off.”
He says Canadian and American workers alike will feel the brunt of the adverse effects.
“And American consumers,” Telford added.
“A lot of people voted for Donald Trump because of the cost of living issue. They were furious with Joe Biden, with the inflation crisis, and the cost of their groceries. But when Americans see the cost of their Pepsi and Budweiser go up, I don’t think they’re going to be happy.”
