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As U.S. Tariffs Become Reality, Canadians Prepare for Economic Pain
The trucks that carry about $300 million worth of auto parts each day over the bridge from Windsor, Ontario, to Detroit are still rolling as usual. But in the aftermath of President Trump’s decision to impose 25 percent tariffs on most categories of Canadian exports, the mood in Windsor, like all of Canada, was transformed.
Mr. Trump’s move has ignited a sense of economic anxiety and anger among Canadians about how they are being treated by their neighbor, ally and best customer. Most are still puzzling over Mr. Trump’s motivations and objectives for the tariffs, as well as his comments about annexing Canada as the 51st state.
And as they turned their attention to getting the potentially crippling tariffs, and a 10 percent levy on Canadian oil and gas and some minerals, lifted, politicians, business people and ordinary Canadians say that the relationship between the two countries will never return to what it once was.
Flavio Volpe, the head of a Canadian auto-parts maker trade group, said that his members could start shutting down factories in days, and that he feels betrayed by the United States.
“We’ve built two societies on the same values,” said Mr. Volpe, who is also a member of Prime Minister Justin Trudeau’s Council on Canada-U.S. Relations. “The man in the White House did a U-turn and drove right over us.”
Mr. Trudeau and anxious business leaders throughout Canada said that their country’s focus must be on ending the tariffs as quickly as possible.
Most forecasts project that Canada’s export-dependent economy will be sent into a recession, although they differ on timing and its initial severity.
“We have a limited experience for this magnitude of a trade shock,” the Royal Bank of Canada, the country’s largest financial institution, said this week. Some Canadians reached back for comparison to the Smoot-Hawley tariffs of 1930, which raised the average U.S. import duty to a staggering 59.1 percent. Many economists believe that they worsened the Great Depression, but the two countries’ economies were far less integrated at that time.
Aside from oil and gas, Canada’s largest export sector is the auto industry. On Tuesday, Mr. Trump suggested that the only way out of tariffs for the sector is to move all of its production to the United States. Aside from abandoning a skilled work force, that would require billions of dollars in new investments.
Historically, automotive trade has been largely balanced between the United States and Canada. Parts often swirl around between Canada, the United States and Mexico, sometimes crossing borders repeatedly before winding up in vehicles in a dealer’s showroom.
Mr. Volpe, of the Automotive Parts Manufacturers’ Association in Canada, said that, aside from the tariffs, trade remained unchanged on Tuesday, an assessment backed up by the usual migration of trucks to the Ambassador Bridge.
The 25 percent tariffs are being paid by the importers, either other parts makers or automakers. Most contracts allow an automaker to deduct tariffs it pays when settling a parts company’s bill.
Mr. Volpe said that those deductions will make parts suppliers, which have generally have single-digit profit margins, instantly and deeply unprofitable.
He expects that most of his members can cover those losses from their cash reserves for about a week. After that, they will be forced to stop shipments.
“No one is going to burn up their cash reserve for the president of the United States,” he said.
For more parts, automakers usually have no alternative suppliers, let alone ones in the United States. Setting up new suppliers would take time and substantial investment. The result, experts say, will be a parts shortage that rapidly cascades into assembly-line shutdowns. Thousands of workers in Canada, the United States and Mexico would be left idle.
Some industries began idling small numbers of workers before the tariffs came into effect.
Bill Slater, the president of a United Steelworkers local in Sault Ste. Marie, Ontario, said that Algoma Steel laid off about 20 of his members who are salaried employees, citing the tariffs. He said that a number of probationary hourly workers were also let go by the mill.
Truck drivers had a mixed experience. Stephen Laskowski, the president of the Ontario Trucking Association, said that some had a surge in business as companies moved to get products into the United States before the tariffs came into effect, while others were laying off drivers because customers were canceling shipments.
Canada’s forestry industry knows tariffs all too well. Special U.S. duties on softwood lumber go back decades and were a factor in Canada seeking the 1989 free trade agreement with the United States, which was later expanded to include Mexico. (Canada has repeatedly failed to get an exemption from the U.S. trade complaints system that imposes the softwood lumber tariffs.)
But Kurt Niquidet, the president of the British Columbia Council of Forest Industries, said that adding the 25 percent tariff “really puts us into unprecedented territory.”
Lumber mills in the western province are facing a dizzying array of tariffs. This week’s 25 percent tariff is on top of a 14.4 percent tariff that the U.S. government expects to raise this summer, to more than 27 percent. Then Mr. Trump announced last weekend that he’s opened an investigation into lumber imports that could result in even more tariffs.
While the United States supplies about 70 percent of its own lumber, Mr. Niquidet, an economist, said that American forests and mills cannot replace all the lumber from Canada, nor can it be sourced from other countries.
“There will still be imports from Canada,” he said. “Prices in the U.S. will rise.” Some Canadian lumber mills, however, may not survive the trade assault, he added.
While Mr. Trudeau speculated that Mr. Trump was seeking a “total collapse of the Canadian economy, because that’ll make it easier to annex us,” Mr. Volpe said he was not sure it’s that complicated. “If it looks like he is dismantling the structure of the postwar economy, then he is,” Mr. Volpe said. “What are you going to do about it?” Some Canadians believe that their country is simply being used as part of Mr. Trump’s plan to fund substantial U.S. tax cuts with tariffs.
Jean Simard, the president of the Aluminum Association of Canada, fought a successful battle over the 10 percent tariff on Canadian exports of the metal Mr. Trump enacted in during his first administration. Now Mr. Simard is attempting to fend off additional tariffs that Mr. Trump has promised to put on top of Tuesday’s 25 percent. He said that he believes the president is telling the world: “This is what I’m able to do to my closest allies — think about what’s awaiting you.”
Mr. Simard added: “It’s an old barbarian approach to war.”
As the tariffs were rolled out, actions against American goods quickly came into play. Government-owned liquor stores, including in Ontario, pulled U.S. beer, wine and spirits from off their shelves, and that province canceled a 100 million Canadian dollar ($69 million) contract with Elon Musk’s Starlink satellite service to provide internet in rural areas.
Some Canadians are also vowing not to travel south, a decision perhaps also informed by the decline of the Canadian dollar brought on by the tariffs.
Most winters, Lee Miller, a retired electrician from Saint John, New Brunswick, would be traveling in his motor home through sunny warm states, including Florida.
“As soon as Trump started talking tariffs, I said, ‘Nope, not going,’” Mr. Miller said. After canceling this year’s trip, he plans not to enter the United States as long as Mr. Trump is president. That will, however, mean missed visits with friends and family who live across the border.
“This is one of those things that tears families apart,” he said.
PHILADELPHIA (AP) — Jordan Walker wore his Cardinals hat backward, chewed a big wad of bubble gum and wore the top of his jersey splayed open as he dug in for his final Home Run Derby swing.
The picture of Cardinals cool, Walker chased down Kyle Schwarber, shut up a rambunctious Philly crowd and introduced himself to a much wider baseball world.
Walker used six swings to swat six homers, besting Schwarber in a dramatic final round that silenced all those boo birds and made him the first St. Louis Cardinal to win the Home Run Derby on Monday night.
Schwarber hit 11 homers during his 15-swing turn in the final round. Philly fans, who jeered everyone but Schwarber and Bryce Harper throughout the night, quietly headed toward the exits when Walker’s winning shot soared over the left field wall.
“I was once told you don’t boo nobodies,” Walker said. “So it feels pretty good.”
The 24-year-old Walker sported the Derby champions’ chain, slipped on a leather jacket and still wore his batting gloves as he broke down what it took to take down Schwarber on his home turf.
“My thought was Philly is brutal,” Walker said. “I mean, honestly. But I think it’s pretty special because they love their players and that’s what you want from your home, like, where you play. I mean, I’d never hear people cheer so loud for, like, Schwarber and Harper. And those guys did their thing, for sure.
“But, you know, I can’t hate them, because that’s their guy, so I just got to play the game.”
Walker played a pretty great game in the first half for the Cardinals.
Walker is a first-time All-Star and having a breakout season in St. Louis. He already has a career-high 22 homers this season after struggling with a combined 11 over the previous two years.
Those final six in Philly all flying high with Iron Man on his bat are now stamped on the Derby highlight reel.
His cap backward just like Hall of Famer and Derby great Ken Griffey Jr., Walker celebrated with his family immediately on the field. His father rejoiced in recalling how Walker started hitting long home runs when he was 6 years old.
“When things got tough, they were always there in my corner to talk to them about it,” Walker said of his family. “They kept the energy levels high. They kept the feelings high.”
He fulfilled this childhood dream in striking fashion. Walker hit his seventh homer with two swings remaining and his eighth on the next swing to earn bonus swings. Needing to hit four straight homers to win, the right-handed Jordan knocked one off the top of the center field fence 401 feet away. He reached 10 homers and Philly fans booed with all their might, only for Jordan to finish the sensational surge and celebrate as fireworks shot off around him.
“You can’t say enough about how he was able to kind of slow the moment down, too, and lock it in,” said Schwarber, a Derby runner-up for the second time. “All of our fans were we’re raring and trying to will me to it.”
A revamped Derby format delivered great drama
MLB ditched its timed clock this season and returned to a swing format, with each hitter continuing to swing if he went deep on his final one.
The extra time between swings gave hitters time to track their home runs — and Philly a smidge more time to unleash those throaty boos at Contreras and Walker.
Each player had 20 swings in the first round and the top four advanced. Hitters were seeded for the second round, where No. 1 faces 4 and 2 meets 3.
Each player got 15 swings in the second round, with batters homering on their final swings continuing until not homering.
Boston’s Willson Contreras, Tampa Bay’s Junior Caminero, New York’s Ben Rice and Kansas City’s Jac Caglianone, and Chicago White Sox first baseman Munetaka Murakami also participated.
Philly came ready to celebrate its slugging stars
Phillies fans were wildly optimistic that Schwarber and Harper could somehow reach the final and crown the franchise’s third Derby champion.
Harper hit only eight in the first round and was the final slugger to try and advance. Schwarber could only watch as Harper failed to join him. Schwarber, then with the Chicago Cubs, made the finals in 2018 at Nationals Park before losing to Harper when he played with the Nationals.
Schwarber and Harper — the first pair of teammates to participate in the Derby since 2018 — received roaring ovations when famed ring announcer Michael Buffer introduced them ahead of the competition.
As for the other six sluggers in the field, all wearing their home jerseys with red, white and blue uniform numbers?
Yeah, they were about booed out of the ballpark, with the loudest jeers saved for Rice. He gamely laughed as he walked out of his Liberty Bell entrance.
Harper — who said earlier Monday this would be his last Derby — waved his arms and exhorted the crowd to get louder as he walked to the home plate platform placed at second base. Harper about broke the ring ropes as he shook them like a pro wrestler, and the Philly crowd went bonkers for the star known as The Showman.
The ball-shagging kids in the outfield were even booed.
The Derby’s public address announcer implored the fans to cheer during some quiet stretches when homers — non-Phillies edition — were hit.
The fans did get a rise when Caglianone smoked one into Ryan Howard territory into the third deck in right field. Contreras socked ’em into the rarified air of the left field upper deck. One homer cleared the last row of stands in that section and bounced off the concourse in front of a bar. His 490-footer was the longest of the first round.
This was the first Home Run Derby and All-Star Game held at Citizens Bank Park since it opened in 2004 and the first derby in Philadelphia since Barry Bonds outslugged Mark McGwire in 1996 to win an afternoon event in front of thousands of empty seats at Veterans Stadium.
This derby was sold out and aired on Netflix for the first time, with the streamer getting into the game this season with a three-event package. Netflix already aired the opening night game, and the third attraction is the Field of Dreams game between the Minnesota Twins and Philadelphia Phillies on Aug. 13.
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The U.S.-designated terrorist Houthi movement that controls northern Yemen condemned Saudi Arabia for allegedly targeting the Sanna airport with airstrikes, sparking a possible new front with Iran’s terror-proxy.
While the Houthis agreed to a 2022 truce with the Saudi-led coalition that opposes its rule, the Houthis have frequently disrupted commercial shipping in the Red Sea since they joined Hamas following its invasion of Israel on Oct. 7, 2023. The latest flare up of military strikes could lead to a resumption of war between the Kingdom of Saudi Arabia and the Houthis.
Houthi military spokesperson Yahya Saree called the attacks “blatant aggression” and said they had ended a period of de-escalation. He said Saudi Arabia would bear the consequences and that the attack would not go unanswered. The Houthis threatened to strike King Khalid Airport in Riyadh in Saudi Arabia. Iran’s Press TV reported on its X account that, “Iran condemns Saudi attack on Sana’a airport as breach of law, Yemen sovereignty.”
US CLAWS BACK KEY CONCESSION TO IRAN AFTER FRESH ATTACKS ON COMMERCIAL SHIPS IN STRAIT OF HORMUZ
Smoke rises following an airstrike at Sanaa International Airport, in Sanaa, Yemen, July 13, 2026, in this screengrab taken from a video. (Al Masirah Handout via Reuters)
The official slogan of the Houthi movement (Ansar Allah) is: “God is great, Death to America, Death to Israel, Curse upon the Jews, Victory to Islam.”
Earlier on Monday, the government’s defense ministry said the runway at Sanaa International Airport had been targeted to prevent an Iranian plane from landing. An armed forces spokesman later said the aircraft had landed at Houthi-controlled Hodeidah airport.
Salman Al-Ansari, a prominent Saudi geopolitical analyst, told Fox News Digital, “The Iranian-backed Houthi militia is now in a desperate position, attempting to demonstrate its usefulness to its Iranian masters amid the ongoing U.S.-Iran war.”
Yemen’s Iran-backed armed Houthi group has warned they will move to shutter the Bab Al-Mandeb Strait through missile-drone attacks if Gulf nations join the US-Israel war on Iran. (Mohammed Hamoud/Getty Images)
He said, “This is an action taken by Yemen’s legitimate government in response to the violation of its airspace and sovereignty. It was not carried out by Saudi Arabia or the coalition. Yemeni forces struck the runway at Sana’a International Airport after the terrorist Houthi militia defied international law by allowing unauthorized Iranian flights into Yemen, despite measures intended to prevent the smuggling of weapons and explosives.”
According to Al-Ansari, “The Houthis know that these flights can land normally if they follow the agreed-upon route through a Jordanian airport, for inspection purposes. The Houthis are currently at one of their weakest points, particularly after Yemen’s legitimate government consolidated effective authority over 80% of the country’s territory. This is a marked departure from the past, when the legitimate government was fragmented between two rival camps.”
ISRAELI AMBASSADOR WARNS IRAN’S GRIP ON LEBANON IS A ‘WARNING SIGN’ FOR MIDDLE EAST PEACE
A Houthi rebel fighter fires in the air during a gathering aimed at mobilizing more fighters for their movement, in Sanaa, Yemen, Thursday, Aug. 1, 2019. The conflict in Yemen began with the 2014 takeover of Sanaa by the Houthis, who drove out the internationally-recognized government. Months later, in March 2015, a Saudi-led coalition launched its air campaign to prevent the rebels from overrunning the country’s south. (AP Photo/Hani Mohammed)
Saudi Arabia, the UAE, Israel, Lebanon and other Sunni Gulf countries have expressed concerns about the Iranian regime’s plan to establish a so-called “Shiite crescent” that stretches from Iran to Lebanon and includes such terrorist proxies as the Houthis and Hezbollah in Lebanon.
Al-Ansari noted that “By confronting the Houthis, Yemen’s legitimate government is not only defending its own sovereignty; it is helping safeguard the region and the wider world from Iran’s network of terrorist proxies.”
Nadwa Al-Dawsari, an expert on Yemen and an associate fellow at the Middle East Institute, told Fox News Digital that, “The Houthis’ warning that the strike on Sana’a airport ‘will not go unanswered’ should be taken seriously. But the significance of the incident extends well beyond the prospect of retaliation.”
She said, “The dispute was never really about civilian aviation or simply returning a Houthi delegation from Tehran. The Yemeni government had agreed to facilitate the delegation’s return aboard a Yemenia aircraft. The issue was the Iranian aircraft itself.”
Houthi terrorists walk over British and U.S. flags at a rally in support of Palestinians in the Gaza Strip, and the recent Houthi strikes on shipping in the Red Sea and Gulf of Aden on Feb. 4, 2024, on the outskirts of Sana’a, Yemen. (Mohammed Hamoud/Getty Images)
She added that “By proceeding with the Mahan Air flight despite Yemeni objections and ensuring that it reached Houthi-controlled Yemen anyway, Iran and the Houthis were sending a political message: Tehran intends to normalize direct and public ties with Houthi-controlled Yemen and is willing to challenge the restrictions that have governed access to the country since 2015.”
The U.S. government sanctioned Mahan Air for its role in supplying weapons and technology to terrorist groups such as Hezbollah.
Al-Dawsari said, “What we are increasingly seeing is a pattern in which Iran and its proxies create facts on the ground, betting that regional and international actors have little appetite for escalation and will eventually adjust to them. We have seen the same approach in the Strait of Hormuz.”
Pro-Iran protesters brandish billboards depicting the Iranian Supreme Leader Ali Hosseini Khamenei, flags of Yemen and Iran, weapons, and chant slogans as they take part in a rally held to condemn the US-Israel aerial attacks on Iran and killing the Iranian supreme leader and several military officials on March 1, 2026, in Sana’a, Yemen. (Mohammed Hamoud/Getty Images)
She said, “The episode also highlights the Houthis’ growing importance within Iran’s regional network. While other members of the Axis of Resistance have been weakened in recent years, the Houthis have emerged as Tehran’s most capable and strategically important partners, particularly in the Red Sea and the Horn of Africa.”
According to Reuters, the Saudi government’s communication office did not immediately respond to the accusations.
Muhammad Al-Farah, a member of the Houthi Political Bureau, wrote on Telegram, according to the Middle East Media Research Institute (MEMRI), that the alleged Saudi attack will lead to the Bab al-Mandab Strait joining the Strait of Hormuz with respect to disruption and possible closure. As a result, the price of a barrel of oil will rise to $200 and the attacks give the Houthis a reason to “strike back and liberate Yemen from occupation.”
President Donald Trump welcomes Saudi Arabia’s Crown Prince Mohammed bin Salman to the White House, Tuesday, Nov. 18, 2025, in Washington. (Mark Schiefelbein/AP)
A State Department spokesperson told Fox News Digital that, “We are aware of these reports and monitoring closely. The United States and Saudi Arabia share a strategic partnership that has only grown stronger under President Trump. The United States stands firmly with Saudi Arabia against Iranian aggression, including Iranian-supported Houthi attacks, and remains committed to the Kingdom’s security and regional stability.”
The spokesperson added, “We continue to actively enforce the Trump Administration’s designation of the Houthis as a Foreign Terrorist Organization and condemn Iran’s flagrant violation of Yemen’s sovereignty in support of their Houthi proxies.
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“The Administration’s National Security Strategy states that our core interests in the region include ensuring freedom of navigation in the Red Sea and preventing the export of terrorism. It is critical to continue efforts to counter the Iran-backed Houthis and other terrorist groups in Yemen who threaten these U.S. interests.”
Reuters contributed to this report.
Hungarian parliament passes amendment that would remove President Sulyok, appointed under ex-Prime Minister Viktor Orban.
Published On 14 Jul 2026
Hungary’s parliament has approved a constitutional amendment to remove President Tamas Sulyok from his largely ceremonial position, the latest move to dismantle the power of figures associated with former Prime Minister Viktor Orban.
The measure, passed on Monday with 139 votes in favour and only six opposing, would immediately bring an end to Sulyok’s term in office and pave the way for parliament to elect a new president.
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Hungarians voted out the right-wing nationalist Orban in April, with new Prime Minister Peter Magyar’s Tisza Party winning in a landslide. The election result ended 16 years of power for Orban’s Fidesz party, which had come to dominate many aspects of the country.
Since Magyar’s victory, he has sought to erode that power, including by removing the current president. The constitutional amendment also introduces a series of judicial reforms, creates a body to investigate alleged financial abuses under the previous government, and imposes a 12-year term limit on lawmakers.
Sulyok now has five days to sign the constitutional amendment passed by parliament. Magyar has said that parliament will launch an impeachment procedure against Sulyok if he does not sign it.
The president and other members of Fidesz boycotted Monday’s parliamentary session.
Sweeping away the old order
The parliament elected Sulyok, a former chief of the Constitutional Court of Hungary, in February 2024. He was nominated to replace Katalin Novak, who resigned after pardoning a man convicted of covering up child sexual abuse.
But days after Magyar’s centre-right Tisza Party won a two-thirds parliamentary super-majority in April, the new prime minister declared Sulyok “unworthy to embody the unity of the Hungarian nation” and demanded that he leave office once the new government was formed.
In June, after the deadline to resign had passed, Magyar branded the president a “puppet” of Orban and promised to strip him and other holdovers from office by constitutional means. Weeks later, he unveiled a reform programme, dubbed “Operation Cleansing Fire”, which seeks to install a new constitution, purge state institutions and establish an anticorruption office.
While the presidency is a largely symbolic post, it is empowered to approve laws and can refer them to the Constitutional Court for review, raising fears that Sulyok might use his presidential powers to stymie Tisza’s ambitious reform agenda.
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