Trump Imposes 25% Tariffs on Canada and Mexico
President Donald Trump announced on Monday that Canada and Mexico have “no room left” for anymore discussions in relation to avoiding a 25% tariff — officially going into effect at midnight.
Additionally, the president noted that he intends to impose a 20% tariff on China as well.
“On the tariffs, is there any room left for Canada and Mexico to make a deal before midnight?” a journalist asked Trump at the White House.
“No room left for Mexico or for Canada,” Trump replied.
“No, the tariffs, you know, they’re all set. They go into effect tomorrow.”
Trump continued, explaining that the tariff on Chinese-made goods would be 20%, which is double the amount he previously threatened — White House aides confirmed.
Canada, Mexico and China are America’s top three sources of imports, and they collectively send almost half of all goods that flow into the U.S.
Nevertheless, regarding the impact of tariffs so far, sources who reached out to Reuters say that Honda will be producing its next Civic vehicle in Indiana, not Mexico, due to Trump’s tariffs — underscoring how manufacturers are scrambling to adapt to the president’s 25% tariffs on goods.
“Trump’s tariffs are working as intended, bringing jobs back to the US. This is a huge win for Indiana and the entire country, showing that MAGA policies can revitalize our economy. Thanks to Trump’s leadership, we’re seeing a resurgence in American manufacturing, and it’s only going to get better,” said one conservative online user.
However, some leaders in Canada, such as the current premier of Ontario and leader of the Progressive Conservative Party, Doug Ford, have now begun threatening retaliation against American “red states” out of spite for what Trump has enacted.
All three major U.S. stock indexes plummeted after the president’s announcement, with the Dow Jones Industrial Average dropping close to 650 points, a drop of 1.5% and the Nasdaq dropping 2.6% of its total — almost 500 points.
Trump previously delayed the 25% tariff against goods from the neighboring countries when Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum reassured him that they would be much stricter on illegal immigration and fentanyl smuggling.
Although illegal immigration busts hit a 25-year low in February, Trump said on Monday that he was still not happy with officials’ efforts in lessening and eventually halting the flow of fentanyl across the U.S.-Mexico border.
“So you understand, vast amounts of fentanyl have poured into our country from Mexico, and as you know, also from China, where it goes to Mexico and goes to Canada,” Trump said.
According to the Centers for Disease Control and Prevention (CDC), China is the primary producer of fentanyl, which has killed at least 279,000 Americans over the past four years.
Trump specified fentanyl as the reason for proceeding with the tariffs, but he has also claimed that the measures will end up being beneficial to U.S. businesses.
Additionally, the president has put in place stricter new tariffs on steel and aluminum, noting that it is “the beginning of making America rich again.”
Meanwhile, the 47th president has also brushed off concerns about tariffs increasing inflation, highlighting low rates of increase in consumer costs during his first-term trade standoffs — especially with China.
“We don’t need the products that they have,” Trump said on January 30th, speaking on Canadian and Mexico imports — adding a day later: “There could be some temporary short-term disruption, and people will understand that.”
The Mexico-Canada tariffs are being imposed under Trump’s use of the International Emergency Economic Powers Act to target drug traffickers bringing fentanyl into the U.S.
In 2023, fentanyl was the leading cause of death for Americans between the ages of 18 and 45, peaking with an estimated 76,282 deaths — according to CDC data.
In fiscal year 2024, border agents also seized over 21,000 pounds of fentanyl coming in from Mexico, which is enough to kill 4.8 billion people
.jpeg)
Comments
Post a Comment