President Donald Trump has followed through on his temporarily delayed tariff threats. The US will impose a 25 percent tariff on goods imported from Mexico and Canada, while China will face an additional 10 percent tariff on top of the 10 percent tax previously enacted.
On Monday, Trump dashed hopes that a deal could be made to prevent the US from imposing tariffs on Mexico and Canada. “No room left for Mexico or for Canada,” Trump said during a press conference. “They’re all set. They go into effect tomorrow.”
Trump initially announced the tariffs in February, saying they would “hold China, Mexico, and Canada accountable for their promises to halt the flood of poisonous drugs into the United States.” However, Trump gave both Canada and Mexico a one-month extension to reach a potential agreement with the US – but that never happened.
The tariffs are expected to raise the prices of a range of products in the US, including food, clothing, fuel, lithium batteries, and more. Canadian Prime Minister Justin Trudeau said the country will retaliate with tariffs of its own, and Mexico has hinted at doing the same.
China announced on Tuesday that it’s putting a 15 percent tariff on imports of US agricultural products, including chicken, wheat, corn, and cotton. It also added 15 American companies, including drone maker Skydio, to its export control list.
This isn’t the end of Trump’s tariffs plan, either. The President also wants to put a tax on imported chips, cars, and farming equipment in April.