Your World Tonight - Canada’s trade deficit, Trump and Musk fall out, measles death in Ontario, and more

Episode Date: June 5, 2025

<p>Canada’s trade deficit with the rest of the world is the largest it's ever been. It’s the starkest indication of how tariffs from the U.S. are affecting Canada. Economists say the numbers are ugly, and could lead to months-long freefall.</p><p><br></p><p>And: Simmering tension between the president and Elon Musk has bubbled over. Donald Trump is now threatening to end all of Musk’s government contracts – which are worth billions. Musk says Trump would never have gotten elected without him.</p><p><br></p><p>And: Israel has recovered the body of Judih Weinstein and her husband. Weinstein is a Canadian, who grew up in Toronto. They were killed when Hamas invaded Israel on October 7, 2023. Their bodies were recovered from Khan Younis on Thursday.</p><p><br></p><p>Also: A newborn infected with measles has died. The baby’s mother had not been vaccinated. It’s the first death connected to Ontario’s measles outbreak, which has now passed two thousand probable and confirmed cases.</p><p><br></p><p>Plus: GLP-1 drugs (Ozempic and others) can increase the risk of vision loss for people with Type-2 Diabetes, reaction to Trump’s travel ban, and more.</p>

When a body is discovered 10 miles out to sea, it sparks a mind-blowing police investigation. There's a man living in this address in the name of a deceased. He's one of the most wanted men in the world. This isn't really happening. Officers are finding large sums of money. It's a tale of murder, skullduggery and international intrigue. So who really is he? I'm Sam Mullins and this is Sea of Lies from CBC's Uncovered, available now.

This is a CBC Podcast. Elon and I had a great relationship, but I'm very disappointed in Elon. I've helped Elon a lot. The explosive breakup of America's power couple. Tension between Donald Trump and Elon Musk takes a sharp turn to a full-on public fight with insults and threats from two of the most powerful personalities in the world. Welcome to Your World Tonight. I'm Susan Bonner.

It is Thursday, June 5th coming up on 6 p.m. Eastern. Also on the podcast. We're actually now really starting to feel the hit. The losses that we suffered with the trade with the U.S. have not been in any way made up by our exports to other regions. The impact of U.S. tariffs defined by a deficit. Canadian exports take a nosedive causing the gap between how much this country ships out and how much we bring in to balloon by billions of dollars.

A record high with trade walls up around Canada's biggest customer and... Are you any closer to reaching a deal? Guys do you really think I'll answer that question? I won't answer that question. We won't negotiate in public. We'll let the Prime Minister do his work. Working the phones with tariff pressure building, the direct talks and text messages between Mark Carney

and the White House as Ottawa tries to make a deal. as Ottawa tries to make a deal. A collapse of Canadian exports to the United States has caused this country's trade deficit to reach a historic level, $7.1 billion for the month of April. It's the latest proof of the economic damage U.S. tariffs are causing, and experts warn there could be more on the way. Senior business correspondent Peter Armstrong has the data. Peter this is a major hit to a trading nation like ours. What are you seeing in these numbers? I see the data catching up with the anecdotes right?

We've been hearing from businesses big and small right across the country that have been telling us about this drop off in demand. And until now though, we weren't seeing that in the official data, but now we are. Today, it's exports. Tomorrow, we're getting jobs numbers and those are expected to show a sharp drop off in employment. The pain is here. We knew that, but now we can see it in the numbers. Because the recent GDP numbers showed a surprising resilience. Can you square that for us?

I can because it's really a reflection of how big a swing we've seen. The first quarter GDP looked at January, February and March. So really that came before the bulk of tariffs kicked in and what was happening then? Well businesses on both sides of the border were scrambling to get products out the door before tariffs were imposed. So that front running, if you will, of tariffs was expected. So this is what, the corresponding drop-off? Exactly. You know, if you're a business in the U.S. that imports, say, wheat from Saskatchewan, and you tried to get shipments in before you had to pay that extra duty, well, that means now you've got a few months worth of inventory. So you don't need to buy anything this month or maybe next month or even the month after that. But eventually the inventories will

run out, won't they? They will. And remember, we've got a bit of a model to work with here. In 2018, the U.S. steel tariffs, and we saw a similar version of this, a surge in exports ahead of the tariffs, then a drop off, then about six months or so as businesses in the US tried to stretch out their inventories, then they look for alternatives, and eventually they had to start paying the tariffs. And as we all saw, that hurt those American businesses. It put pressure on Trump to provide an exemption. They did, but remember that was a much smaller sliver of trade. It was just steel and aluminum, so it was contained and it didn't lead to the broader uncertainty that's weighing on so many Canadian businesses today whether they're facing tariffs or not right now. They're concerned that you know they might be next.

Now these numbers also show a surge in exports to countries other than the U.S. Can you lean into that for us? Is that something that can strengthen Canada's hand? Look, exports to other countries in the United States arose like 2.9% in April. China saw the biggest increase, but Susan, it's a drop in the bucket. China makes up like 4% of our total exports. Just yesterday, Bank of Canada Governor Tiff Macklin was asked about this and said, diversifying exports is important, but... Look, it's always going to be concentrated with the United States just look at a map and Canada United States I mean geography is determinant but that doesn't mean we can't diversify our trade which is why we need to negotiate an end to the trade war and

that's so important hopefully as g7 leaders gather in Alberta next week we can see some progress as Trump and Mark Carney will meet face to face again. Thank you, Peter. You bet. Senior business correspondent Peter Armstrong in Toronto. Fewer goods may be crossing the US-Canada border, but there's lots of communication flowing between officials in Ottawa and Washington

as industry leaders push the federal government to make a deal before it's too late. Rafi Boujikaneen has more. Are you any closer to reaching a deal? Industry Minister Melanie Jolie revealing little about ongoing trade negotiations with the US. I won't answer that question. We won't negotiate in public and we'll let the Prime Minister do his work.

But a source with knowledge of the talks tells CBC News and Radio Canada Prime Minister Mark Carney and US President Donald Trump have been chatting on the phone and texting each other, ever since their meeting in Washington about a month ago. How are they going with... They're doing well, thanks. And even as other ministers on the key Canada-US file, like Dominique LeBlanc on intergovernmental affairs stay mum just days after yet another trip to DC.

Sources say there could be some sort of Canada-US trade deal by the time the two leaders meet at the G7 in Alberta later in June. That could not come soon enough for steel and aluminum companies, bracing after Trump doubled tariffs on all imported products from those industries. Now at 50%. CEOs from those sectors have spent much of the day in closed-door talks with parliamentarians and ministers in Ottawa. It was a really really important discussion. Terry Sheehan is a Liberal MP for Sault Ste. Marie Algoma in Ontario. He says he took part in one meeting along with Jolie. The government for now won't

be implementing new counter tariffs. Sheehan says there are other solutions in mind, like preventing cheap US steel from being dumped on the Canadian market and supporting the industry and its workers financially. The direct and indirect jobs are in the steel industry, like 130,000 across this country, right?

That's a lot of jobs. I want to see a balanced response. Parak Shah's company is decidedly on the indirect side of tariff impacts. Toronto-based New Age Products makes steel derivatives like filing cabinets. Shah says he is not sure retaliatory tariffs would help him out, pointing out that Canada took this measure during the previous trade war with Trump in his first term as president, and the steel derivative industries lost some 75,000 jobs. I just want to see the math of why they're making a decision versus just a knee-jerk reaction.

Whatever the government does decide, the pressure to act is mounting. Today, Ontario Premier Doug Ford reiterated he's looking for counter tariffs as well, while opposition conservatives spent part of question period renewing one of their own familiar requests, demanding the Liberals get rid of industrial carbon pricing on steel industries to relieve some of their financial pain. Rafi Boudjikan, YonCBC News, Ottawa. US President Donald Trump says a deal with China may be close after he spoke with Chinese leader Xi Jinping for the first time since starting a trade war in February.

We had a very good talk and we've straightened out any complexity. It's very complex stuff and we straightened it out. The agreement was we're going to have Scott and Howard and Jameson will be going and meeting with their top people and continue it forward. But no, I think we have everything. I think we're in very good shape with China and the trade deal. The U.S. leader says he expects to travel to China himself at some point and for Xi to visit the US.

Coming up on the podcast, Clash of the Titans, Donald Trump and Elon Musk's explosive war of words and the possible repercussions. A worrying side effect of what some see as wonder drugs and the measles outbreak takes a tragic turn. drugs and the measles outbreak takes a tragic turn. One is the richest man in the world. The other may be the most powerful. And they are now engaged in an unprecedented public feud. Donald Trump and Elon Musk are trading accusations and insults on social media and it could have serious economic

and political implications. Alex Panetta is following the story. Alex, just days ago Trump gave Musk a golden key to the White House but a decidedly different tone today. Where to begin? The simple headline here is it's Splitsville for a global power couple. Donald Trump and Elon Musk have tumbled into a messy public divorce. There had been hints of tension, mere hints, as Musk left his unusual government job last week, but it really escalated today in the Oval Office. With Germany's Chancellor seated right next to him, Trump started taking digs at Musk, basically calling him bitter since leaving the administration. Look, Elon and I had a great relationship. I don't know if we're well anymore. It's

not, he's not the first. People leave my administration and they love us and then at some point they miss it so badly and some of them embrace it and some of them actually become hostile. I don't know what it is. It's sort of Trump derangement syndrome, I guess they call it, but we have it with others too. They leave and they wake up in the morning and the glamour's gone. And then it took off. The men started firing salvo after salvo on their respective social media platforms. Musk, on his site X, demanded a little more gratitude after he dumped the equivalent of nearly $400 million Canadian dollars in campaign contributions for Trump last year.

Without me, Musk said, Trump would have lost the election. Musk also said yes to a tweet calling for Trump's impeachment. He also predicted that Trump's tariffs would cause a recession. Then on his site, Truth Social, Trump issued a veiled threat to cancel government contracts with Musk's companies. And as it spiraled over the afternoon, Musk made it eye-poppingly personal. Without offering any proof or any specifics, he seemed to suggest that the real reason the US government hasn't released all the files on sexual predator Jeffrey Epstein is

because Trump's name appears in those files. So what was the catalyst for all of this, Alex? Was it Musk's criticism of Trump's signature legislation? Yes, it was the spark that lit the blaze. This big beautiful bill, as Trump calls it, would increase the budget deficit, digging the US into an even deeper debt hole. Musk called this bill a disgusting abomination. Trump says Musk just resents the bill for self-interested reasons because it kills a tax credit for electric vehicles. So beyond the war

of words, what are the implications going forward? Well, for starters, Trump's signature bill is in trouble. It hasn't gotten through the Senate yet and it has different people upset for different reasons. This spat will not help. Second is what about Musk's businesses? Tesla shares plunged 14% instantaneously today. He builds cars and rockets with SpaceX and satellites with Starlink, and the US government

uses some of these products. Now his companies are being threatened by the president. And finally, there's a democratic message here too. This feud where a leader threatens the business of a critic. We've seen this in other places. One global ranking system, VDEM, says the US risks losing its status as a full democracy and being reclassified as what's called an electoral autocracy. And the definition of an electoral autocracy is you can vote, you can express your opinion, but there are consequences for your career, for your business. And Elon Musk might just have gotten a taste of that.

Thank you, Alex. Thank you, Sue. The CBC's Alex Panetta in Washington. From one man dramatically out of Donald Trump's inner circle to millions of travelers being kept out of the country. The president has issued an order banning and restricting travel from several countries. He's concerned about what he calls terrorist threats and visa overstays. Chris Reyes is in Washington with a closer look at the policy that has caused controversy before. We don't want them. the policy that has caused controversy before. With that Oval Office declaration, U.S. President Donald Trump has issued a full travel ban on 12 countries, among them Iran, Afghanistan, Somalia, Libya, Venezuela, Haiti, and then

partial bans on seven countries including Laos and Cuba. Most countries are in Africa, the Middle East, and Latin America. The recent terror attack in Boulder, Colorado has underscored the extreme dangers posed to our country by the entry of foreign nationals who are not properly vetted, as well as those who come here as temporary visitors and overstay their visas. The suspect in the Colorado case is an Egyptian national. Egypt is not on the list. Neither are some countries with higher numbers of visa overstays than those targeted, like Spain or Colombia.

New Jersey resident Suleiman Kenyi just got back from Uganda and Kenya. He has this question. But I think the countries that have been banned, they don't know what kind of threat they pose to the United States. The African Union said as much in a statement that appealed for a more balanced and evidence-based approach. Chad, also on the list, is hitting back with a suspension of visas for U.S. citizens. Trump says he's focused on countries that represent a terror threat, have a history

of visa violations, or lack a trusted system for issuing travel documentation. I directed the Secretary of State to perform a security review of high-risk regions and make recommendations for where restrictions should be imposed. So far there hasn't been significant protest against Trump's latest ban, as there was in his first administration when he issued a similar restriction against mostly Muslim majority countries. Taufik Rahim is the Canadian author of a new book on Trump. He says the president is likely building on the success of the first ban, which was mostly upheld by the Supreme Court despite numerous legal challenges.

Their desire is to one, limit, if not restrict or completely eliminate illegal immigration and overhaul legal immigration in a way that befits what they're trying to do in the country. The ban will take effect on Monday. Some exemptions, green card holders, Afghans who helped the U.S. post-9-11, and athletes and coaches taking part in big sporting events like the World Cup and the Olympics. Chris Reyes, CBC News, Washington. Saskatchewan officials estimate around 400 structures have been lost to wildfires. There's also concern the two largest fires, the Pissu and Shoe fires, could merge. The fire could grow to more

than 500,000 square hectares, eight or nine times the size of the Greater Toronto area. Over the border in Alberta, half the town of Chippewaun Lake has burned. While in Manitoba, cooler, humid weather is improving firefighting conditions, but more rain is needed. The bodies of Canadian-Israeli Judy Weinstein and her husband Gadi have been returned to Israel after a military operation in Gaza. Weinstein was one of several Canadians killed in the October 7th Hamas attack. A moment of closure that comes as the situation worsens in Gaza with growing criticism about aid efforts on the ground. Chris Brown reports.

Tel Aviv's hostages square is a place of heartbreak where the portraits of those killed by Hamas on October the 7th or those who remain missing hang from trees. Canadian Israeli Judy Weinstein who 70, and her husband Gadi were murdered and their remains taken to Gaza, where the Israeli defense forces now say they've been recovered. Jonathan Dekelhend was their neighbor in Neroz.

I am relieved for the Hagi-Weinstein family that they can now have some peace of mind. that their parents, brothers, sisters will be laid to rest. The war ignited by Hamas's attack triggered the ferocious Israeli response that has left Gaza demolished. Health authorities in Gaza City say dozens were killed in attacks over the last 24 hours. After an 11-week food and aid blockade left many in the

territory, especially children close to starvation, according to the UN, the distribution of food boxes resumed today at two locations under the auspices of the controversial Gaza humanitarian foundation. This woman said she almost died trying to get flour and two packs of pasta. The group paused operations Wednesday after dozens were killed when shots were fired at hungry crowds on three separate days. Israel's military says it didn't shoot anyone, but Palestinians on the ground claim otherwise. Members of the group, Doctors Without Borders,

have accused Israel of forcibly starving people and using food to herd them together. The group's director, Stephen Cornish, led a protest outside the UN in Geneva. We are in grave fear of ethnic cleansing and worse. We see repeated war crimes being committed. Israeli officials, including Foreign Minister Gideon Zar, remain defiant. A country when it's fighting in a war,

it's not an obligation to feed the war machine or the economy of the enemy. Israel's government also acknowledged today it's been supplying weapons to rival militia groups in Gaza, including al-Shabaab, to try to undermine Hamas's grip on the territory. Israeli opponents of Prime Minister Benjamin Netanyahu say attempting to divide Palestinians is a tactic he's tried before, and it may have inadvertently strengthened Hamas in the past. Chris Brown, CBC News, London. This is Your World Tonight from CBC News.

If you want to make sure you stay up to date and never miss one of our episodes, follow us on Spotify, Apple, wherever you get your podcasts just find the follow button and lock us in. In the middle of Canada's worst measles outbreak in decades a premature baby born with the illness has died in Ontario. The province's chief medical officer says the mother was not vaccinated and passed the virus onto her child. Health reporter Jennifer Yoon has more. Deeply disturbing.

The record-shattering measles outbreak in Ontario this year has now claimed a life. A baby born prematurely after being infected with the virus in the womb. Sylvia Jones is Ontario's Minister of Health. Listen, this is real, this is impactful, and as we have seen this week, sometimes can lead to death. The mother was infected with measles. She had not gotten the measles, mumps, and rubella vaccine. That raises the risk of an early birth,

which can lead to other problems, says Dr. Cheryl Chu, who specializes in maternal fetal health at the Royal Alexander Hospital in Edmonton. Whether that's breathing issues, stays in the neonatal intensive care unit, and having all the other problems associated with premature on top of having a new infection. In a statement, Dr. Kieran Moore, Ontario's chief medical officer, said, while measles may have been a contributing factor in both the premature birth and the death, the infant also had other

serious medical complications unrelated to the virus. And said no further details would be shared out of respect for the family's privacy. There are a lot of possible things contributing to this really sad outcome. Dr. Jacqueline Wong, who specializes in infectious diseases at McMaster Children's Hospital says without more details we may never know if the measles infection was the main reason the child died. Probably more commonly is a number of factors that happen one after the other or all at the same time. And when you have a premature baby and many of their organs might not be fully developed, it's very difficult for that baby to survive after being born and the other stressors that come along with an early birth, including infection.

There are almost 3,000 confirmed and probable cases so far this year across Canada. Because measles kills one to three people per every 1,000 infected, this death is a tragedy public health officials have been bracing for. Ontario Health Minister Sylvia Jones is imploring those who are not protected against the virus to get vaccinated. It's devastating when you hear about something that we've had a measles vaccine in Canada and around the world for almost five decades and yet we still have individuals who for many different reasons are choosing not to get vaccinated. It's a call being echoed in other provinces like Alberta, Manitoba and Saskatchewan as measles cases climb there too. Jennifer Yoon, CBC News, Toronto. There's new research about a

potential side effect to the hugely popular GLP-1 drugs which include ozempic. A Canadian study suggests patients with type 2 diabetes are at a higher risk of vision loss than previously thought. Alison Northcott has more. The doctors finally decided that I was a good candidate for Ozempic and we went on the Ozempic and 67-year-old Glenn Patton has taken the GLP-1 medication Ozempic for seven years to treat his type 2 diabetes.

He hasn't had any serious side effects from the medication but liked to know about potential risks. It's concerning for any of your motor senses, whether it's the hearing, the eyes, the mobility or whatever, you take that stuff seriously. A new Canadian study published in the Journal of American Medical Association Ophthalmology looked at a group of nearly 140,000 Ontarians 66

and over with type 2 diabetes. It found those who used GLP-1 type drugs to treat their conditions were twice as likely to develop a type of vision problem than patients who did not use the drugs. While the study says the overall risk is still low, it adds to other studies suggesting other links to eye issues. Dr. Rajiv Muni is an associate professor in the Department of Ophthalmology and Vision Sciences at the University of Toronto and the study's author. I would hope that patients and doctors who are prescribing these drugs would be aware

of this and if their patient is complaining of any change in their vision including wavy lines, distortion, reduced vision, that they would inform their doctor and then be seen by an eye care professional. Anytime there's a new risk found and a medication used as widely as GLP ones are, we are concerned about it. Dr. Brian Vanderbeek, associate professor at the Shea Eye Institute at the University of Pennsylvania says the type of vision problem this study looked at is known as wet macular degeneration. New blood vessels grow in the back of the eye and those blood vessels aren't very good.

They leak and they bleed and that causes scarring and damage to the vision. But the overall number of people who progressed was actually still very low. Vanderbeek says when a drug becomes more widely used rare complications not picked up in clinical trials can emerge. But he says GLP-1s are still safe. The GLP-1s have been profoundly effective at helping people's diabetes and preventing complications from diabetes as well as people who are trying to lose weight to be healthy.

At this point I would say the benefits far exceed the risks, especially the ocular risks. Dr. Mooney, the study's author, says if someone does end up with serious vision problems, there is good treatment for the condition if it's caught early. Alison Northcott, CBC News, Montreal. Finally tonight he is the voice behind one of the biggest hits of the 1980s, updating fans about his health. Morten Harkett is the lead singer of the Norwegian synth pop band Aha.

1985's Take On Me was a worldwide mega hit and remains one of the most popular songs of the era. 65-year-old Harkett has announced he has been diagnosed with Parkinson's disease. Ten million people worldwide suffer from the neurological condition which has no cure. In a post on the band's website, Harkett said he underwent treatment in the United States but his ability to sing is being impacted and his creative future is uncertain. Still, Harkett says he's being taken care of and tells his fans not to worry and instead just take care of themselves. Thanks for joining us on Your World Tonight for Thursday, June 5th.

I'm Susan Bonner. Have a good evening. For more CBC podcasts, go to cbc.ca slash podcasts.