Saint John faces trade war risks, heavily linked to oil

Saint John, a city in New Brunswick, Canada, is facing serious risks from a potential trade war with the United States. Local leaders believe the oil industry will be especially hard-hit. Andrew Beckett, the CEO of Envision Saint John, mentioned that the city has Canada's largest oil refinery, which sends over 80% of its exports to the U.S. Recently, the Canadian Chamber of Commerce identified Saint John as the Canadian city most likely to suffer from U.S. tariffs. U.S. President Donald Trump has threatened high tariffs on many Canadian goods, including a 10% tariff on energy. Though Trump paused these tariffs briefly, the uncertainty has already affected jobs in the area, raising unemployment to 7.5%. It is estimated that the city could lose up to 11,000 jobs due to this situation. Local businesses are feeling the strain as it becomes more expensive to import materials from the U.S. This increase in costs is passed on to consumers, leading to rising prices and lower consumer confidence. Beckett warned that the uncertainty surrounding tariffs could cause businesses to invest less in the community. To counter these challenges, Beckett suggested that Saint John should focus on expanding its exports to countries in Europe and South America. Mayor Donna Reardon has also highlighted the need for the city to strengthen international relationships. She openly expressed frustration with the U.S., saying, “we’re breaking up with the U.S. and it’s time to move on.” Despite the difficulties, Reardon believes Saint John will adapt and survive these trade pressures.