Max Fawcett: Trump Declares Economic War on Canada

National Observer columnist says latest escalation exposes deep problems for Pierre Poilievre, Danielle Smith and Canadian conservatives

Donald Trump’s latest trade escalation against Canada may not deliver a major immediate blow to the Canadian economy, but it marks another step in a much deeper rupture in the relationship between the two countries, says National Observer columnist Max Fawcett.

Speaking with Energi Media, Fawcett said the new U.S. measures amount to an economic war, even if Trump has so far avoided imposing the maximum possible pressure on Canada.

“He clearly wants to look tough and look strong without actually putting a lot of chips on the table,” Fawcett said.

The more important issue, he argued, is that Canada can no longer assume the old trade relationship will return after Trump. Even a future Democratic administration would inherit a U.S. political system in which protectionism has become much more entrenched.

“We will always do business with them in ways and volumes that make sense for us,” Fawcett said. “But we will never again depend on them or rely on them or give them the benefit of the doubt.”

That makes trade diversification a strategic necessity rather than an optional policy choice. Fawcett pointed to Canada’s expanding relationships with Europe and Asia and argued businesses must stop comparing diversification with the pre-Trump status quo.

“The choice is between vassalhood and economic servitude and trade diversification,” he said.

The trade fight is also exposing political tensions inside Canada’s Conservative movement.

Fawcett argues Pierre Poilievre helped cultivate an online political ecosystem built around anger, culture-war politics and Trump-adjacent rhetoric. That constituency now makes it difficult for the Conservative leader to mount a forceful response to a U.S. president attacking Canadian economic interests.

The same contradiction is visible in Alberta, where Premier Danielle Smith has repeatedly rejected the idea of using oil and gas exports as leverage against Washington.

Fawcett contrasted Smith’s aggressive rhetoric toward Ottawa and other provinces with her reluctance to criticize Trump.

“For all of her vitriol about her fellow Canadians, she has none for Americans, none for Trump,” he said.

Smith has argued that threatening energy exports could encourage the United States to replace Canadian oil with barrels from countries such as Venezuela. Fawcett said Trump would pursue cheaper alternatives regardless of Alberta’s approach if doing so served U.S. interests.

The larger challenge, he said, is that Trumpism is unlikely to disappear with Trump. America First politics now has deep roots in the Republican Party, while protectionist sentiment also exists among Democrats.

Canadians therefore need to prepare for a longer adjustment rather than assume the next U.S. election will restore the previous relationship.

“We need to be mentally prepared for a bit of a longer haul here,” Fawcett said.