Canada's Trade Deficit with US Not As Bad As It Sounds, Report Finds

The Institute for Energy Research (IER) has released a report that challenges the notion of a trade deficit between the US and Canada. According to the IER, most of what America buys from Canada is discounted crude oil, natural gas, potash, and unfinished metals that U.S. workers refine into higher-value products and export at a premium.

Tom Pyle, president of the Institute for Energy Research, stated that 'Putting America First requires trade metrics that accurately reflect domestic manufacturing, supply chain resilience, and American labor, rather than figures that group discounted raw materials from an ally with finished goods from competitors.'

The report highlights that Canada supplies over 60% of U.S. crude imports, which are processed at a discount of 13% to West Texas Intermediate and 16% to OPEC crude.