Intensifying trade war could permanently alter Canada-U.S. trade, economist says

A prominent U.S. investment strategist says the intensifying trade war between Canada and the U.S. could permanently alter cross-border trade.

Peter Schiff, chief economist and global strategist at Euro Pacific Asset Management, says new tariffs and the increasing unreliability of the U.S. as a trading partner is prompting Canadian companies to seek out different markets.  

He says the new partnerships forged with other countries may not be easily unwound and could permanently affect the volume of trade between Canada and the U.S. 

Schiff says once Canadian companies invest in the logistics and infrastructure needed to service new markets, it may be more lucrative to stay in those markets rather than return to the U.S. even once the trade dispute cools.