Why Retaliating Hurts Canadians — and What Real Strategic Responses Look Like
BY BOB GALLAGHER MTWX EDITORIAL TEAM
You’ve probably heard the phrase: “They hit us, we’ll hit them back.”
It sounds tough. It plays well on TV. And it almost always makes things worse.
What’s worse than a bad policy? A bad reaction to it. That’s what happens when governments use tariffs not to lead—but to posture. One dumb move from abroad is met with another dumb move at home. And guess who gets hit the hardest? Not the politicians. Not the corporations. You do.
You pay more. You sell less. And your future becomes a bargaining chip in someone else’s PR war.
We’ve seen this play out with U.S. trade battles before. Aluminum, dairy, lumber, wheat—you name it. The other side blinks, and our side blows a gasket. But retaliatory tariffs don’t just hit exporters. They raise prices for Canadian businesses and families. They increase instability. And they’re not even strategic.
🧨 THE COST OF RETALIATION
- Consumers pay more for essentials
- Canadian exporters lose contracts and global trust
- Small businesses get squeezed between import costs and collapsing margins
A tariff war might sound patriotic. But economically, it’s a self-inflicted wound. And the people who feel it most are rarely the ones who started the fight.
🧠 WHAT A STRATEGIC RESPONSE LOOKS LIKE
Real leadership doesn’t match stupidity with more stupidity. It outmaneuvers it.
- Use trade pressure with precision, not ego
- Strengthen domestic supply chains before threatening others
- Build coalitions with other affected nations to isolate the aggressor
- Invest in trade diversification before the next crisis
A strategic response solves problems without causing more.
It’s not about pounding the table. It’s about moving the pieces. Bold leadership isn’t loud—it’s surgical.
And that’s where Canada must lead—not by retaliating, but by reframing the whole game.
WHY THIS MATTERS FOR CANADA
Because we’re not the global bully. We’re the economy that gets caught in the crossfire. That’s why we can’t afford short-term emotional politics. We need long-term economic thinking.
Leadership isn’t measured by how angry you sound on camera. It’s measured by whether people feel safer, stronger, and more stable afterward. That’s the kind of leadership we need now.
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— Bob Gallagher
bob.gallagher@mtwx.ca
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