The Globe and Mail reports in its Friday, Nov. 1, edition that economists at CIBC state that a general U.S. tariff would encourage companies to establish locations in the U.S. rather than in Canada for products intended for the American market. The Globe's Tony Keller writes that this could also necessitate compensating for the difference with a cheaper Canadian dollar or lower wages in Canada. They highlight the impact of Donald Trump's steel tariffs implemented in 2018, which adversely affected Canada more than many people realize. Exports of manufactured metals from Canada to the U.S. plummeted by 35 per cent, leading to a 0.5-per-cent reduction in Canadian GDP. Economists from the Peterson Institute for International Economics modelled the effects of a second Trump presidency, estimating that a 10-per-cent U.S. tariff on all imports and global retaliation would reduce U.S. GDP by $721-billion (U.S.) by 2028, and Canadian GDP by $60-billion (U.S.). However, their model says Canada would benefit if, instead of starting a trade war with the whole planet, the U.S. aimed only at China. Mr. Trump s previous moves to limit trade with China have already pushed some manufacturers to shift production from China.