Roundup: The reality of enduring tariffs

On his way into the Cabinet meeting yesterday, Mark Carney made remarks to the press that it looks like there is little chance that we’ll get any kind of trade deal that doesn’t include some kind of tariffs, and that the commercial landscape has changed globally, so his focus would continue to be on what he can control, which is building a strong Canadian economy. It’s a lot in three sentences, but it does look like he’s coming around to a more honest assessment of where we’re at. Well, at least slightly so—they’re still pursing some form of “trade and security” agreement, which is continues to be a waste of everyone’s time because there is no agreement to be had, as Trump is not a rational actor and won’t live up to any agreement he does sign, if that ever happens. But at least Carney is no longer signalling that the old status quo is just around the corner, so that’s progress.

Pierre Poilievre, meanwhile, is calling this a “unilateral concession,” and seems to be under the impression that he (or anyone else) could somehow secure a better deal with Trump, even though there is no deal to be had. Trump loves tariffs, and won’t be dissuaded, and we have to learn to live with that (because it’s going to be a long while before it sinks in that they are driving up costs for Americans, because a whole lot of them refuse to believe the truth). We need to be wide-eyed about this, and Carney needs to be more upfront as well. There is no deal to be had. They can go through the motions of negotiating but it won’t get us anywhere, and sure, we need to focus on what we can do…but that has to mean more than just putting all of our eggs in the resource extraction basket, which can’t be our only option.

Effin' Birds (@effinbirds.com) 2025-07-15T21:22:14.842Z

Ukraine Dispatch

Russian drones and missiles struck Kharkiv, Kryvyi Rih, and Kyiv, but there was no damage at the latter. It looks like under the latest missive from Trump, NATO members will buy US equipment for Ukraine from the US, but the US won’t spend any of their own money to send weapons to Ukraine even though it’s in their own interests to do so. (Well, it was until the US became an autocratic state).

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Roundup: It’s not five percent

Now that the big NATO summit is over, can we please stop saying that the commitment is to five percent defence spending? Because it’s not. It’s 3.5 percent within a decade, but the whole other 1.5 percent is stuffing a whole lot of things to pad the numbers, whether it’s ports, or airports, or critical mineral mines. It’s creative accounting designed to make Trump think everyone is doing more (because he doesn’t understand NATO and tries to treat it like a protection racket), from a summit that was pretty much an exercise in placating him at all costs. (Takeaways more broadly, and for Canada specifically).

I’m much more concerned about Carney’s vague talk that this spending means trade-offs and possible cuts in other areas, but won’t give any examples of what that could look like. I’m especially concerned because of the way he’s talked about things like using AI, which is entirely in the vein of his having bought into the hype, and what that will inevitably mean are job cuts/losses, and a very, very costly mistake by government when it turns out that AI can’t do what they were sold on it doing for them, and it will compound all of those problems. I’m also not convinced about all of those future revenues that he thinks critical minerals are going to bring in, which sounds a little too much like counting chickens before they’ve hatched, and so on.

Bill C-5 in the Senate

Bill C-5 began deliberations in the Senate yesterday, and passed second reading on a pro forma voice vote, and will have study in committee of the whole today. There was a minor bit of disruption as Senator Patrick Brazeau collapsed from an unspecified “medical event” as he was asking questions to Senator Housakos following his speech as opposition leader, but we’re going to see a lot of hand-wringing about whether the Senate will actually amend the bill. There is pressure from the AFN national chief to slow the bill down, but there will be pressure from both the Government Leader and the Conservatives to pass it as quickly as possible, without amendments, and we’ll hear the usual doom arguments about how it would cost hundreds of thousands of dollars to recall the House of Commons if they did amend it—never mind that the world would not end if the bill didn’t pass until September.

Meanwhile, we see columnists like Tanya Talaga once again calling on the Governor General to deny royal assent to the bill, and I just can’t. This is actual journalistic malpractice. She can’t deny royal assent. It goes against every tenet of Responsible Government, and if she did, it would be a constitutional crisis of absolutely epic proportions. If it passes and you disagree with it, challenge it in the courts. That’s how the system works. But that column should not have been published, and the editors should have either told her to take out the references to the GG going outside of her authority, or the column should have been spiked. There is absolutely no excuse for this.

Ukraine Dispatch

President Zelenskyy had a meeting with Trump on the sidelines of the NATO summit (in a more “calibrated” wardrobe), and Trump said he would “consider” more Patriot missiles, but that means absolutely nothing.

https://twitter.com/ukraine_world/status/1937826703255994570

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Roundup: Forgiveness over permission, C-5 edition

With hours left on the clock before the House of Commons would vote on Bill C-5, per the terms of the Closure motion passed earlier in the week, the Speaker agreed with an NDP motion that yes, the bill was indeed abusive omnibus legislation and agreed to split it into two parts to separate it for the final vote. It was a bit late to do so, because there was no ability to only advance one half and not the other, and it wasn’t going to matter much either considering that the Conservatives were going to vote in favour of it (because they absolutely want this Henry VIII clause on the books if they should form government in the next five years). And so, the first half of the bill, on the federal trade barriers, got near-unanimous support with only Elizabeht May voting against it, and the second half on major projects—and that Henry VIII clause—had the Bloc, the NDP, Elizabeth May and Liberal Nathaniel Erskine-Smith vote against it, not that those numbers made any kind of difference.

After the bill passed, Carney called a press conference in the Foyer, and had every Indigenous MP in the caucus as his backdrop (with a few others dropping in), and he insisted that it simply wasn’t communicated effectively how much Indigenous participation would be required for these projects, and that they would respect UNDRIP, and yes they would hold consultations with rights-holders over the summer to ensure that implementation of this legislation would be done “the right way.” Oh, and he totally swears that he’s not going to put a Henry VIII clause in any other bills—really! But all of those assurances left a sour taste.

It very much seems that Carney has taken the route of asking for forgiveness rather than permission, which is a really strange way to go about building trust with those rights-holders, especially when your MPs refused to let them speak at committee or have any participation in the legislative process. And you will forgive me if I don’t believe that they won’t ever use that Henry VIII clause to bulldoze over UNDRIP obligations on a project, because they gave themselves those powers for a reason. And if they think that they got away with asking for forgiveness rather than permission worked this time, who’s to say they won’t try that again when they do use those powers? Let’s not kid ourselves.

Effin' Birds (@effinbirds.com) 2025-06-20T22:56:10.284Z

Ukraine Dispatch

Drone attacks from Russia in the early hours of Thursday hit apartment buildings in Kharkiv and Odesa. There was another POW swap, and again, numbers were not disclosed. President Zelenskyy says that Ukraine is developing interceptor drones to deal with the Russian drones, whose numbers have increased in the past weeks.

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Roundup: Historical revisionism of federalism in the past decade

Last week had largely been spent trying to determine what the love-in with the premiers all means, so much so that Danielle Smith is losing her grip on reality as she insists that she’ll convince BC premier David Eby to let another pipeline cross his province (in spite of there being no actual proposals for one), while also claiming that Albertans have the “lowest living standards in the world,” and I just can’t even.

Meanwhile, I’m seeing comments from the pundit class that I’m just finding hard to square with reality. This one quote from the weekend dispatch of The Line is a good example of these pundit narratives that are completely ahistorical.

The Liberals under Justin Trudeau were so fantastically uninterested in working with the provinces, and so relentlessly hostile to basic economic growth, that having a prime minister simply acknowledge (as Carney has) that we are in an economic emergency seems like a massive step forward.

Trudeau did work with the provinces a lot in his first parliament—he had the first face-to-face meeting with them as a group in years after Harper refused to, and they got big things done—the agreement on carbon pricing, enhancing CPP, a suite of health measures that Jane Philpott negotiated with the provinces. None of this was inconsequential, but there was a very different group of premiers in 2015 than there was in 2024. And let’s also be frank—the premiers didn’t want to work together with the federal government anymore. They wanted to gang up on him for more money with no conditions (those health transfers that Philpott negotiated didn’t go toward fixing anything), while the pleading that everyone was making around finding exceptions to the carbon levy was very unproductive (not that Trudeau did any favours in his “pause” on the price for heating oil rather than a better system of rebates in areas where energy poverty was a problem). But seriously, the premiers get away with blaming Trudeau for all of the things that they refused to do that were their responsibility, and somehow he was the problem?

As well, the notion that Trudeau was hostile to basic economic growth is, frankly, unhinged. How many trade deals did he sign or push over the finish line? What was the whole attempt to stand-up a North American EV supply chain? What were the billions spent to keep the entire economy afloat during COVID? If you’re going to cite the capital gains changes as being “hostile,” then congratulations—you’re a gullible numpty who bought the lines of people who engage in tax arbitrage and want that sweet roll to continue. If you think environmental regulation was killing economic growth, just wait until you see what climate change is already doing to the economy and is going to get exponentially worse. Just because Trudeau didn’t bow to the tax-cut-and-deregulate crowd, it doesn’t mean he was hostile to economic growth. Yes, he and his government had problems. A lot of them. But let’s not make up things that are blatantly ahistorical or outright fictional just to help put a shine on Carney.

Effin' Birds (@effinbirds.com) 2025-06-07T21:10:14.180Z

Ukraine Dispatch

Russian drone and missile attacks killed four people in Kharkiv on Saturday. Russian forces claim to have crossed into the Dnipropetrovsk region, while a row is now brewing over an agreement to exchange bodies of dead soldiers, which Ukraine says they are not delaying. Meanwhile, a drone attack on a Russian electronics factory has forced them to suspend production.

https://twitter.com/ZelenskyyUa/status/1931395337958084711

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Roundup: The new ambassador doesn’t get it

The new US ambassador to Canada, Pete Hoekstra, has been making the media rounds, and is just one more in a long line of American politicians who just can’t understand why Canadians are so upset with the Americans. (It’s a complete mystery!) Surely, we must be happy that we could have the “lowest tariffs of any country,” instead of, oh, the free trade that allowed for integrated supply chains between both countries. Why wouldn’t we be happy with that? And in a preview for an interview to be aired over the weekend, he says there are easier ways to send messages to Trump than to bring over the King.

*sighs*

Having the King open the next session of Parliament is not only about sending a message to Trump. Yes, that is part of it, and you can bet that it’s actually going to be something he pays more attention to than a phone call because his attention span only lasts as long as the next person who talks to him, so what good is a phone call in that regard? Also? This is as much about domestic reassurance as it is a message to Trump. As Trump has threatened us, we had a bunch of people wrongly believe that the King needed to act unilaterally and say something that might cause a diplomatic incident, and others actually believed that he personally invited Trump on the second state visit when no, that was at the behest of the UK prime minister, Keir Starmer. And no, he can’t say anything unilaterally, because that goes against what constitutional monarchy stands for, and why there was the Glorious Revolution in 1688. If anyone is to blame for Charles not speaking up on Canada’s behalf earlier, it was Justin Trudeau’s, because he very much liked to ignore the Crown as much as he possibly could (probably because it pulled the focus away from him).

Oh, and Hoekstra keeps saying that the “51st state” stuff is over, and that Trump isn’t saying it, and they have more important things to worry about. But he said it just two weeks ago, and do you actually think that anything is really over for Trump? He’s incredibly angry with his past self for signing the New NAFTA. And I get that Hoekstra needs to play this particular role, but come on. Demonstrate that you’ve paid the slightest bit of attention to Canada since you were named ambassador, and read the room.

https://bsky.app/profile/effinbirds.com/post/3lps2mm7mmf26

Ukraine Dispatch

Russia is claiming to have taken a settlement between Pokrovsk and Kostiantynivka in Donetsk region.

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Roundup: Duelling tax cut offers

Day two of the campaign, and the first full day of campaigning. Mark Carney began in Gander, Newfoundland and Labrador, where he played up the Canadiana and the fact that Gander hosted passengers from aircraft stranded on 9/11 (which became the basis for the musical “Come from Away.” This was part of his appeal to Canadian values in the face of Trump and the trade war, before he jetted off to Halifax. (Day one recap here, and more about the fishers protesting his speech.). Carney also released a second, more earnest ad with Mike Myers, who officially endorsed him in it. Carney also added that he hasn’t spoken to Trump yet, but he suspects Trump is waiting until after the election to call.

Pierre Poilievre was still in the Greater Toronto Area, where he had pledged his own, larger income tax cut, and gave a faux assurance that it would be paid for with “cuts to bureaucracy, consultants, and foreign aid.” (Yeah, that’s not going to get you the money for this kind of a tax cut, it will absolutely disproportionately benefit the wealthy, and you can bet that social programmes will be on the chopping block). He also regaled the crowd with a stupid meme tale about telling a child that income tax is a “punishment for doing well,” rather than the entry fee for civilization. Because Poilievre is fundamentally an anti-government conservative (in spite of having spent his entire life in public office). (Day one recap here).

The NDP started off in Montreal, where he promised to set aside even more public land for rent-controlled homes, but didn’t exactly spell out how this would be different than what the federal government is already doing about leasing public lands (nor did he address the fact that a lot of that “government-owned land” are actually contaminated sites). He also took some jabs at a punching bag in an outdoor gym—because he’s spent the last few weeks trying to burnish a tough-guy image—before the bus went down the 401 to Toronto. (Day one recap here). He’ll spend much of the day there today, before heading to Hamilton later afternoon.

Given the two promises around tax cuts, here are some analyses of what it might mean, once we get more details. Economists, however, are pretty sceptical thus far that the maths are going to work out for these cuts.

The lowest federal income-tax bracket is currently 15%.The Liberals have promised to cut it to 14%.The Conservatives have promised to cut it to 12.75%.Here's a chart depicting how much less tax that would mean for you, depending on your income.(Earn more than $177,882? Read the fine print!)

Robson Fletcher (@robsonfletcher.com) 2025-03-24T19:35:49.136Z

I agree with Emmett. One party is promsing a 1 point cut to the lowest income tax rate; the other 2.25 points. Neither has proposed a credible way to pay for it.We need to see credible plans for big economic challenges and big defence/security threats.Hope that will be coming soon.

Kevin Milligan (@kevinmilligan.bsky.social) 2025-03-24T19:16:57.508Z

The Leadership Debates Commission announced the dates for the two official “consortium” debates as April 16th and 17thin Montreal, French first, then English, each with a single moderator after the complete gong show of the previous two election cycles. There will not be a TVA “face-à-face” debate this time, as they planned to charge the leaders $75,000 each to “offset costs,” and the Liberals balked, so it won’t go ahead. The other campaigns are trying to say Carney was too afraid of a second French debate, but charging the parties to hold it was a very, very bad precedent, and it’s probably for the best that it wasn’t’ allowed to take hold.

Leaders' debates are planned for April 16th and 17th, with one moderator apiece, and it's not going to be Shachi Kurl (who handed the Bloc the win they were looking for). #cdnpoli

Dale Smith (@journodale.bsky.social) 2025-03-24T15:08:02.031Z

Effin' Birds (@effinbirds.com) 2025-03-24T13:08:03.483Z

Ukraine Dispatch

Russian missiles hit a densely-populated part of Sumy, wounding 88 people, while there were further air attacks on Kyiv, wounding one and damaging houses. A Russian cyberattack also hit Ukraine’s state railway service, adding to the chaos of the situation.

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Roundup: Danielle Smith’s personal border patrol

While Alberta premier Danielle Smith continues to prefer capitulation to Trump’s predations and boot-licking as her preferred course of action, she announced that she would be creating a $29 million Interdiction Patrol Team using Alberta Sheriffs, which are not actually police officers because they don’t enforce criminal laws, along with dogs and drones. Nevertheless, the plan is that they will create a two-kilometre “interdiction zone” along the entire border with Montana, and arrest people in said zone, which grossly exceeds their constitutional authority and any provincial exercise of power. This is supposed to be done in coordination with the RCMP and CBSA, but again, this is going well beyond her constitutional authority for a lot of security theatre, particularly because there is not exactly a lot of traffic across that border to begin with. This being said, she had been planning to do something like this for years now, likely as kayfabe because she relies on a lot of American narratives to feed her radicalised support base, but with the added context of Trump, it just legitimises his position unnecessarily.

I look forward to all the right-wingers who whined endlessly about the federal government's very reasonable use of the Emergencies Act to react to this rule-of-law destroying nonsense.

Emmett Macfarlane (@emmettmacfarlane.com) 2024-12-12T20:28:44.210Z

Meanwhile, it looks like one option the federal government might explore is potential export taxes instead of retaliatory tariffs as a last resort, but upon hearing this, Smith and Scott Moe freaked out, and Moe began demanding a federal election, because of course he did, given that he would rather capitulate. So much for Team Canada!

Between this and Ford’s musing about export controls on hydro, my intuition is this is a better approach than chats over meatloaf and ipad playlists. Granted, there’s a certain ‘spaghetti on the wall’ -ishness to handling Trump 2.0

Jennifer Robson (@jrobson.bsky.social) 2024-12-12T19:40:32.132Z

But promising to never ever, no matter what, reduce oil exports, is … not wise. Oil is leverage.Pledging loyalty is not.

Jennifer Robson (@jrobson.bsky.social) 2024-12-12T19:49:03.034Z

Of course, this is again all for show. CBSA’s president says that US law enforcement knows that the amount of fentanyl that comes from Canada is essentially “slippage,” and that the small packages are difficult to detect. The RCMP Commissioner says that there is talk with American counterparts about joint aerial patrols along the border. We’ll see how this starts to shape up over the next few weeks, but it is diverting a great deal of resources for a relatively minor problem that isn’t really our responsibility to begin with because Americans are supposed to police their own side of the border.

Ukraine Dispatch

Russian officials say that they have reclaimed three settlements in Kursk region, while Ukrainian troops have been ordered to hold the line, at least until Trump takes office. President Zelenskyy visited an artillery unit on the southeast frontline.

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Roundup: Pants-wetting about a marching song

News stories yesterday that the Royal Canadian Navy was, of their own initiative, exploring changing their marching song from “Heart of Oak” caused an inordinate amount of absolute pants-wetting from not only the usual suspects, but even some other otherwise rational voices who insisted this was all Justin Trudeau’s fault. When pointed out that the government had nothing to do with this, that the military brass was doing this on their own, they replied with things like “A military leadership shaped by, and following the direction of, the government. This horseshit is absolutely on the prime minister.”

I find it borderline incomprehensible that people cannot accept that the military itself has recognised that they need to change their own culture. They are in a recruitment and retention crisis because they can no longer count on straight white men from economically-depressed regions to fill their ranks in perpetuity. The country has changed, and they need to change with it—to say nothing of the fact that the former culture was rife with racism, misogyny, homophobia, sexual violence, and abuse of power in the top ranks. That kind of toxic environment wasn’t good for anyone, but it is being mythologised as “warrior culture.”

Even more to the point, this is being dismissed as “DEI” or “woke,” even from people who should know better. Trudeau is not sitting there forcing them to adopt “quotas” or so-called “DEI” or he’ll take away their lolly. But this goes back to my column last week about how a lot of these voices are pretty unconsciously privileging anything from straight white men as the “norm” and as the default “neutral,” and everything else is “woke,” and if you point out that privilege, you’re “divisive.” People need to grow the hell up and realise it’s 2024, and that means recognizing that the world has moved on from treating straight white men as the only “normal” that matters, and that includes the military.

Ukraine Dispatch

A Russian drone attack on residential buildings in Sumy killed two and injured more than twelve. Russians also claim to have overtaken the village of Novodmytrivka in the Donetsk region. There are more details about the hypersonic missile attack on Dnipro earlier in the week, to which president Zelenskyy says that Ukraine is developing new types of air defence to counter “new risks.”

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Roundup: Putting words in the Auditor General’s mouth

It was an Auditor General’s Report Day in the Nation’s Capital, and these reports were far more salacious than many in the past, which is in part why they dominated Question Period. The AG looked at three issues—contracts awarded to McKinsey and Company, the allegations around governance at Sustainable Development Technology Canada, and combatting cybercrime, and each report has a lot of things to say.

  1. Many of the contracts awarded to McKinsey were done sole-source with poor justification, going all the way back to 2011. And for context, these are contracts sought and awarded by the civil service, and not the political direction of the government; also, while there was a huge focus on McKinsey, they are less than one percent of these kinds of external contracts.
  2. There were governance problems at SDTC, including conflicts of interest in awarding funds, but there has been a lot of reporting in The Logic that suggests that some of this has been overblown, such as the fact that everyone on SDTC’s roster was given funds during the pandemic including operations that directors had ties to, so there couldn’t have been preferential treatment. Nevertheless, the government announced today that they are essentially pulling the plug on the organisation and folding it into the National Research Council.
  3. Cybercrime incidents have a poor record of being followed up on when reported to the wrong agency, and that many were dropped and the complainants were not told they reported to the wrong agency, meaning that a lot of files got lost along the way. The government is working on a single-window solution for reporting cyber-incidents, but that hasn’t happened yet.

On the first two, the Conservatives made up a huge fiction about these being contracts to “Liberal insiders,” or “friends of the government,” or “cronies,” or the like, when the reports said absolutely nothing of the sort. In fact, the reports quite clearly state that there was no political direction or involvement in these contracts, which means that these allegations by the Conservatives are not only false, but potentially libellous, but they want to create an air of corruption around the government. In addition, they seem desperate to avoid any scent of involvement themselves, when the McKinsey contract problems date back to when Harper was in government, and SDTC was set up by the Conservatives, including its governance structure, which proved problematic. In either case, the cries of corruption and trying to invoke the ghost of Sponsorship are little more than cheap lies, but that’s what the Conservatives do best these days, it seems, so none of it is surprising.

Ukraine Dispatch:

A pair of Russian missiles struck civilian infrastructure in Dnipro, injuring eight including two children. Ukrainian officials say that the decision to allow Ukraine to strike into Russian territory will disrupt their advances and help defend the Kharkiv region.

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Roundup: A choice of passive voice

The reported death of Russian opposition leader Alexei Navalny triggered reactions around the globe, and especially at the security conference underway in Munich, where Navalny’s wife spoke shortly after the news. Reaction from Canadian figures was pretty swift. Justin Trudeau was on CBC radio and was quite blunt: “It’s something that has the entire world being reminded of exactly what a monster Putin is.”

And then there was Pierre Poilievre, who passive-voiced the whole thing.

Between this and his votes regarding the Ukraine trade agreement, it’s not unreasonable to conclude that he is winking and nodding to a certain online audience. And while certain pundits have been “We think the initial vote was a mistake and he can’t take the L so he doubles down,” I suspect it’s more like “Sure, some Ukrainian diaspora communities are going to be pissed off, but what are they going to do? Vote Liberal? Hahaha.” They have hitched their wagon to the far-right PPC-voting crowd because they think that’ll get them the votes they need to win, and this is a crowd, that is mainlining Russian disinformation online, and believe that Volodymyr Zelenskyy is a money-launderer buying yachts, that Putin is just trying to shut down “biolabs,” and throw in some antisemitic conspiracy theories about “globalists,” and it’s all stuff that Poilievre is willing to wink and nod to. Passive-voicing this statement was a choice.

https://twitter.com/acoyne/status/1758543572578484364

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