Trump Targets Canadian Currency Imbalance
US President Donald Trump has taken aim at Canada's currency 'imbalance' with the United States, warning that it will no longer be tolerated. In a Sunday Truth Social post, Trump stated that 'Canada's (currency) Dollar imbalance with the U.S. is unacceptable. It has been that way for years, but no longer!'
The Canadian dollar has long been valued less than the US dollar, with $1 USD equaling roughly $1.38 CAD. According to Investopedia, a weaker currency can give exports from Canada a competitive advantage in other markets while making imports more expensive.
This comes amidst an ongoing trade war between the two nations, with both countries imposing sweeping tariffs across various sectors. Canadian Prime Minister Mark Carney has stated that his country is focusing on shoring up internal manufacturing, with plans to manufacture hundreds of passenger rail cars in Thunder Bay, Ontario.