The customs duties launched by US President Donald Trump recently on Canadian exports raised real concerns about the country’s economy, and according to Canada Bank estimates, the customs duties imposed by the United States by 25% may reduce the growth of Canadian GDP by about two years.
Tig Becha in an article by the British Financial Times press that Canada could overcome these sanctions, and become a major economic power by unleashing its enormous and unbelieving capabilities so far.
The potential inherent
The history of Canada is the second largest area in terms of area, and has the longest coastal line in the world, which makes it an ideal location for international trade, and the country has huge natural resources, including the largest global high -quality uranium reserves, the third largest confirmed oil reserve, and the fifth largest production of natural gas.
Canada also includes huge amounts of minerals and other commodities, including the largest potash reserves, more than a third of the globally approved forests, and one -fifth of superficial water on the planet, as well as it is rich in rare minerals such as cobalt, graphite and lehium used in renewable energy techniques.
The chief strategy at the BCA Research Foundation, Marco Babic, says that Canada has enormous possibilities to become a global superpower, but the country lacks leadership and political will to benefit from its advantages.
Trump’s penalties are an opportunity to discover self
The history of the “Lord of Warmed harmful” says that the new American tariffs have changed the political scene in the country. There is now a growing consensus on the necessity of unleashing the economic capabilities of Canada, and reducing its dependence on exports to its southern neighbor.
To achieve this, the Canadian economy needs to become more efficient, increase investments, and attract more skilled workers for the country.
Challenges and obstacles
According to the date, Canada imposes bureaucratic restrictions that hinder its economic dynamism, such as restrictions on the sale of some products across the regional borders, and the disparity in licenses and technical standards, and it is irony that the Canadian economy is exporting to America more than it is issued to other Canadian provinces, which weakens internal economic integration.
He cited a study conducted by the McDonald-Laurer Institute in 2022, indicating that the removal of internal commercial barriers may increase Canadian GDP by up to 7.9%, equivalent to 200 billion dollars annually.
The need for structural repairs
The writer believes that policies such as simplifying the complex tax system, alleviating obstacles to foreign direct investment, and removing internal commercial barriers can help stimulate the economy, and Canada can play a major role in meeting the global demand for natural gas, uranium and rare ground minerals.
It calls for the strengthening of commercial links with Asia and Europe, as three -quarters of Canadian exports are currently going to the United States.
“The importance of investing in commercial infrastructure such as ports, roads and railways.”.
https://www.youtube.com/watch?v=q8V1p-483ko
Housing and immigration problem
The date indicates that the population of Canada is only 40 million, and is one of the lowest populations in the world, but it faces a severe housing crisis. House prices have multiplied 3 times in the past two decades, which led to a high mortgage debt that weighs the shoulders of consumers.
The infrastructure suffers from great pressure as a result of high immigration rates, which made it difficult to keep up with the needs of the population.
But Canada, according to the writer, needs to attract talents to maintain its economy, especially as the population is old. According to the “Economist” magazine, about 17 million international university graduates want to move to Canada if they have the opportunity.
Financial resources and future investments
The date indicates that Canada has one of the lowest levels of debt and deficit in the Group of Seven, which gives it an opportunity to finance investments that enhance economic growth, and Canadian retirement funds also run 1.6 trillion dollars, which can be directed to support capital investments.
It is also possible, according to the date of taking advantage of the natural resources revenues to create a sovereign wealth fund similar to the Norwegian model, which enhances long -term economic stability.
The writer concluded his article that the world needs the resources that Canada possesses in abundance, and it has a unique opportunity to achieve a major economic leap, and with the implementation of appropriate reforms, Canada can become a global economic power.
