Canadian manufacturing and exporting industries were under fire on Sunday, feeling the heat from both the United States and Saudi Arabia. According to the official Saudi Press Agency, Saudi Arabia will suspend new trade and investment with Canada because the Canadian foreign ministry pressured Riyadh to release civil rights activists that were incarcerated in the Kingdom. In addition to threatening trade with Canada, Saudi ministers gave the Canadian ambassador 24 hours to leave the Kingdom. The demand came after Canada had already recalled its ambassador.
According to Human Rights Watch, Saudi Arabia arrested two women’s rights activists last week, Samar Badawi and Nassima al-Sadah. The Saudi government has been targeting activists, clerics and journalists since the spring. “We urge the Saudi authorities to immediately release them and all other peaceful human rights activists,” Global Affairs Canada said on its Twitter feed.
Also bringing Canada into the spotlight over the weekend was a White House statement that Washington reserves the right to impose tariffs on automobiles made in Canada. Among the carmakers that operate in Canada are Honda, General Motors, Ford and Fiat Chrysler. The plans for tariffs on Canadian cars came on the heels of a pause in the plans for tariffs on cars from France, Italy and Germany. The Canadian dollar was lower against the U.S. dollar on Monday morning, trading at C$1.2991. The Australian dollar was up 0.07 percent against the loonie to C$0.9618 as of 10:17 a.m HK/SIN.
The dollar started the week stronger with the dollar index gaining 0.09 percent early on Monday, to trade at 95.23 .DXY. The dollar ws up against the yen to 111.32, and was up against the euro and the Australian dollar as well.