Hindi English Translation || Editorial || ​Too close for comfort: On America’s tariff and U.S.-Canada ties

​Too close for comfort: On America’s tariff and U.S.-Canada ties

Canada is looking for new friends after the Trump-induced (प्रेरित करना) uncertainty (अनिश्चितता)

On July 10, U.S. President Donald Trump announced a 35% tariff on Canadian imports, despite Ottawa rescinding a 3% digital services tax (DST) that was to go into effect on June 30; Mr. Trump had dubbed this as an ‘attack on American firms’. Canada expected that it would generate about $5 billion from DST on revenues from Canadian-source digital services over five years dating it back to January 1, 2022. The 35% tax was imposed despite ongoing trade talks, which Canada was hoping would result in a trade deal by July 21 — as agreed upon between Canadian Prime Minister Mark Carney and Mr. Trump on the sidelines of the G-7 summit in mid-June. The new 35% tax, that was conveyed to Mr. Carney through a letter, which Mr. Trump sent to more than 20 U.S. trading partners, is likely to exempt (छूट देना, मुक्त करना) items compliant under the 2018 United States-Mexico-Canada Agreement. Canada and the U.S. are each other’s largest trading partners. In fact, despite Mr. Trump’s constant refrain (बचना, परहेज़ करना) about the flow of fentanyl, the opioid coming through America’s northern borders (less than 0.1% of what lands in the U.S.), what has rankled the American President is the trade surplus of about $63 billion in Canada’s favour. This on-again-off again approach to tariffs as a stick against America’s trading partners has forced even steadfast allies such as Canada to scramble (To make one's way quickly or awkwardly, typically by climbing or crawling; a disorderly struggle) to diversify (विविधता लाना). Hours before receiving Mr. Trump’s letter, Mr. Carney posted a picture of himself with British Prime Minister Keir Starmer on X, saying, “... the world is turning to reliable economic partners like Canada.”

America’s action against Canada brings to mind a similar episode about a decade ago between close neighbours, India and Nepal. India closed land ports following the enactment (अधिनियमन) of Nepal’s new Constitution citing fears about the treatment of the minority Madhesi community that has had close ties to India. This action crippled (To cause (someone or something) to become unable to move or operate properly; a person unable to move or walk properly) Nepal’s land-locked economy that was entirely reliant (निर्भर) on Indian ports such as Kolkata and Visakhapatnam for its trade. Acute fuel and medicine shortages followed. Nepal’s GDP collapsed from 3.3% in FY15 to 0.2% in FY16, and Nepalis began harbouring a deep resentment toward India. New Delhi’s move forced Nepal to recalibrate its foreign and economic policy, eventually leading it to join China’s Belt and Road Initiative in 2017 and accepting massive (विशाल) infrastructure funds from Beijing, much to New Delhi’s dismay (घबराहट, निराशा). This episode, between two vastly different nations, would serve Washington well to realise that mending a trade imbalance must not come at the expense of losing one of its closest allies with deep running cultural and linguistic ties, as Canada, with an economy that is one-eleventh that of the U.S. albeit with a trade surplus, now attempts to redraw its foreign and economic strategies.

Courtesy: The Hindu

Important Word List With Meaning

1.Comfort (Verb)

Hindi Meaning - सांत्वना देना
English Meaning - To soothe or console.

2.Induce (Verb)

Hindi Meaning - प्रेरित करना
English Meaning - To succeed in persuading or influencing someone to do something; to bring about or cause.

3.Uncertainty (Noun)

Hindi Meaning - अनिश्चितता
English Meaning - The state of being uncertain; doubt.

4.Exempt (Verb)

Hindi Meaning - छूट देना, मुक्त करना
English Meaning - Free from an obligation or liability imposed on others; to free from an obligation.

5.Refrain (Verb)

Hindi Meaning - बचना, परहेज़ करना
English Meaning - To stop oneself from doing something.

6.Diversify (Verb)

Hindi Meaning - विविधता लाना
English Meaning - To make or become more diverse or varied.

7.Enactment (Noun)

Hindi Meaning - अधिनियमन
English Meaning - The process of passing legislation; a law or statute.

8.Massive (Adjective)

Hindi Meaning - विशाल
English Meaning - Large and heavy or solid; exceptionally large.

9.Reliant (Adjective)

Hindi Meaning - निर्भर
English Meaning - Dependent on someone or something.

10.Dismay (Noun)

Hindi Meaning - घबराहट, निराशा
English Meaning - Concern and distress caused by something unexpected; to cause someone to feel consternation and distress.

11.Scramble (Verb)

English Meaning - To make one's way quickly or awkwardly, typically by climbing or crawling; a disorderly struggle.

12.Cripple (Verb)

English Meaning - To cause (someone or something) to become unable to move or operate properly; a person unable to move or walk properly.