Commerce Sec. Lutnick on Canada: ‘They Have Their Socialist Regime and It’s Basically Feeding off of America’

KUDLOW: “Are you optimistic? Can we make a deal with Canada?”

LUTNICK: “I think it’s really complex. I think this is really complex because they have been basically feeding off of us for decades upon decades upon decades, right? They have their socialist regime and it’s basically feeding off of America. I mean, the president calls it out all the time. Why do we make cars in Canada? Why do we do our films in Canada? Come on. So I think the president’s going to have — I think it’s going to be a fascinating meeting. I’m glad I’m going to be there listening, but it’s going to be a fascinating meeting tomorrow. I just don’t see how it works out so perfect.”

KUDLOW: “But you’re not going to bust up USMCA? That deadline is next year for the final review.”

LUTNICK: “Correct. So next year is coming. So a lot of things are going to put into that.”

KUDLOW: “So, if it’s USMCA compliant, you’re OK. Is that still the truth?”

LUTNICK: “I think for now it’s OK. But I think what you should expect to see is a real revisiting of USMCA in a year because Donald Trump, remember, what was fun about USMCA, remember when he renegotiated the deal, he put it, they — he wanted an exit clause in three years and they said no way, we’re only going to have a six-year exit clause because we don’t want to negotiate with you. And now —“

KUDLOW: “Here they are.”

LUTNICK: “— with the Biden election went the way, you know, with the election getting stolen from our president, now here they are negotiating with Donald Trump and I don’t think they’re very happy about that.”