The National Bank of Canada noticed that Canada, as the largest trading partner of the US would benefit from the trade diversion created by the US-Chinese tariff war. The statistical analysis seems a bit suspect (a 1% reciprocal tariff increase is supposed to result in increased Canadian exports to the US that lift Canada’s real value added by about 0.8%. But the tariff increase is going to be 10%-25%). Nevertheless, it is nice to see that someone picked up on the trade diversion concept. A windfall for the Canadians and another loss for American consumers.