President Donald Trump bashed the Canadian currency “imbalance” with the United States, warning that the situation would be changed.
“Canada’s (currency) Dollar imbalance with the U.S. is unacceptable. It has been that way for years — but no longer!” Trump said in a Sunday Truth Social post.
The president did not provide additional details or policy proposals regarding his statement.
His criticism comes amidst the ongoing trade war between the U.S. and Canada, with both countries announcing sweeping tariffs across numerous sectors of the market.
The Canadian dollar (CAD) has long been valued less than the U.S. dollar (USD), with $1 USD equaling roughly $1.38 CAD.
Investopedia explained the impact a weaker currency can have on global markets. A less powerful currency simultaneously means that exports from that country receive a competitive advantage in other markets while the country also faces more expensive imports. If the nation is dependent upon imports, this can lead to trade imbalances, the outlet highlighted.
Meanwhile, Canadian Prime Minister Mark Carney stated on Friday that the country was focusing on shoring up internal manufacturing.
“For too long, we bought from abroad what we were more than capable of building right here at home. We’re bringing that work back, and we’re turbo-charging it,” he said, announcing the plan for hundreds of passenger rail cars to be manufactured in Thunder Bay, Ontario.
For too long, Canada bought what we could build here at home.
Hellbound and Down 