Trade Disputes Lead To Buying Local in Canada

When the trade disputes began between Donald Trump and Canada, it coincided with my decision to forgo my weekly pizza nights with Tom Gore. In truth, this was a separation foisted upon me, yet it left me unbothered. Tom was my go-to wine before it was ousted from liquor store displays, a repercussion of the national and local government’s action towards tariff imposition on U.S. products from Canada. The aftermath has been filled with so much commotion that tracking the situation has become challenging. What remains clear is the lasting departure of Tom and his California companions, replaced by options that leave me equally gratified.

It seems clear that many share my sentiment. American wine sales to Canada reportedly plunged by 94%, mirrored by a surge in sales of Canadian alcoholic beverages, likely a highly visible result of our collective disillusionment with our primary trading ally. A survey by Angus Reid revealed in the early stages of this chaotic trade scenario that four-fifths of Canadians were favoring local products as a counter-strategy to Trump’s tariff schemes.

Furthermore, three-fifths openly admitted to intentionally shunning U.S products. These views were captured around February, back when showing disapproval during America’s national anthem at hockey matches was common, an act we have, thankfully, outgrown. Expectations are that Canada’s disinclination towards all things U.S. will start to ease as Trump’s focus shifts from annexing Canada as the 51st state to other issues.

Nevertheless, a recent Ipsos poll indicates that the reluctance to buy American products has a wider reach. Less than half of respondents from 29 countries expressed confidence in purchasing American-made goods. The survey concluded that 63% of Canadians were unlikely to buy American, with food and drinks leading the list of consumer items where shoppers have the power to express their defiance towards Trump’s policies each time they replenish their stocks.

Given the circumstances, the swelling U.S. agricultural trade deficit comes as an expected outcome to all, except perhaps the American administration. The deficit enlarges contrary to the promises made through their protective economic strategies which have included taxing imports, dismissing immigrant employees essential to their own food supply, and detaining tourists under the veneer of `making America great again`.

The recent USDA quarterly trade report originally stating the tariffs and the ‘buy Canadian’ movement as causes for the declining demand for U.S. agricultural products was said to have been held back and shorn of its typical analysis. This pruned version projects a trade deficit of US$49.5 billion in the 2025 fiscal year, a spike of US$500 million. The situation serves as a reminder of the consequences of deriding your foremost clients.

This lesson is one we Canadians should bear in mind as we steer through the complex trade waters that lay ahead. It definitely pays to support local commerce whenever possible. Even if it incurs a bit more expense, supporting our local businesses benefits our community by reinvigorating our money within it – a factor that leads to job creation and boosts our economic growth. Our farmers would, without a doubt, appreciate both the moral and monetary support.

Nevertheless, what sets Canada apart as a nation is its capacity as a worldwide supplier of food commodities. Over half of our farmers’ produce is exported, either directly or indirectly. The U.S remains our principal trading partner, with over half of Canada’s agri-food imports coming from U.S sources, and 60% of Canada’s agri-food exports heading to the U.S.

The vitality of this bilateral trade is recognized by the food sectors in both countries. This is why export-oriented sectors persist in advocating for rule-governed trade and opposing any policy that unduly defends access to domestic markets. Trade should ideally facilitate the exchange of goods in both directions.

With Canada Day looming, it feels particularly patriotic for us to celebrate by treating ourselves to Canadian-produced fare. Our collective personal choices do indeed make a difference. However, should local support translate into boycotting foreign providers? Each of us faces this question and would need to determine our stance.

In times of trade disputes such as those instigated by Trump’s administration, the importance of supporting local suppliers and all that they bring to our communities cannot be overstated. Simultaneously, we must remain cautious not to let patriotism morph into narrow-mindedness or hostility towards international commerce.

While an emphasis on local suppliers is important, nurturance of an unbiased approach to trade is also vital for the global marketplace in which we operate. Finding a balanced stance amidst these competing demands is a challenge we all face as consumers and citizens. Robust domestic economies and international commerce are less in opposition and more two sides of the same coin—a dynamic, thriving picture of prosperity.

As the economic landscape changes and global attitudes shift, our actions will inevitably hold broader implications. Balancing ‘shop local’ values with a broader, more inclusive outlook will be crucial to the long-term prosperity of not only our local economies but also our place in the global marketplace.

Though this difficult time gives birth to new challenges and calls for an agile response, it also presents an opportunity for us to reflect on our economic choices and values. Weighing the benefits of buying local against the need for broader economic relationships is one such complexity. But through reflection and conscientious decisions, we can make choices that simultaneously boost our local economy and foster global unity.