Trump confirms tariffs to Mexico, Canada and China and opens the door to a commercial war

The president of the United States, Donald Trump, confirmed on Monday that he plans to apply 25 % tariffs to exports from Mexico and Canada and another 10 % to the goods that China exports to their country, which opens the door to a large -scale cross -border commercial conflict.

EFE

In a press conference at the White House, Trump, which had delayed the original implementation date of these taxes so that Mexico and Canada will reinforce security at their borders, said both nations have no «margin» negotiation to avoid them.

«There is no room for Mexico or Canada, no. The tariffs are ready and enter into force tomorrow, ”Trump told the press.

Although the number of irregular immigrants who enter the US has been reduced since Trump threatened to impose these tariffs, the Republican stressed again that, for him, the efforts of neighboring countries and China to stop the traffic of fentanil, a powerful opiate responsible for thousands of deaths per year on US soil, are not sufficient.

«Huge amounts of Fentanilo have entered our country from Mexico and, as you know, also from China, from where it is sent to Mexico and Canada,» said Trump, who insisted that this drug «arrives from Canada and from Mexico.»

Additional tariff for Chinese products

The president also explained that, starting Tuesday, an additional 10 % tariff on Chinese imports will enter into force, which will be added to 10 % already applied on February 4, thus raising the 20 % tariff load on those products.

These measures against China are added to the taxes imposed during Trump’s first mandate (2017-2021) for more than 300,000 million dollars to Chinese products, most of which are still in force.

In theory, tariffs should go into force at 12.01 Tuesday’s local time (05.01 GMT on Wednesday); But what has been said in recent days by the Secretary of Commerce, Howard Lutnick, raises some uncertainty about when and to what extent they will apply exactly.

On Sunday Lutnick revealed in an interview with Fox News that the exact form of tariffs was still being discussed and that «their exact reach» is still being negotiated with Mexico and Canada.

Trump said today that tariffs will benefit American manufacturing, especially the automotive sector, which was harmed by the transfer of jobs to other countries after the entry into force of trade agreements such as the North American Free Trade Agreement (NAFTA) with Mexico and Canada in the 90s of the 20th century.

In any case, what was said today by the American president was negatively shaking Wall Street, where the Nasdaq index collapsed 2.64 %, the S&P 500 gave 1.76 %and the Dow Jones of Industrials fell 1.48 %, and it is expected to affect the Mexican parquet on Tuesday, which today did not operate by holiday.

Mexico and Canada, attentive to tariffs

Hours before Trump spoke, the president of Mexico, Claudia Sheinbaum, asked to wait with «serenity and patience» to the imposition of tariffs, although she also pointed out that her government has long contemplated different scenarios and responses, including the activation of customs taxes against US imports in retaliation.

The president of the largest business partner of the United States said that in this issue «we must have tempering, serenity and patience» and insisted that her government has «Plan A, Plan B, Plan C, Plan D».

For his part, the Canadian executive said today that he is ready to take commercial retaliation against the United States with tariffs at 155,000 million dollars of American imports, according to the Canadian Foreign Minister Mélanie Joly.

The Foreign Minister declared the media, before meeting with the rest of the Canadian government, which despite Trump’s statements, «diplomatic efforts continue» at the moment to try to avoid commercial conflict.

Delegations from Canada and Mexico met last Friday in the US with members of the Trump team to discuss their efforts to increase border security and recover fentanyl traffic, but negotiations do not seem to have provided effective results.

Gravamen to agricultural products

This same Monday, Trump also took the opportunity to announce in his social network, Truth Social, which will also impose tariffs on imports of agricultural products from April 2, although he did not detail which products and countries will be affected or if there will be exceptions.

«To the great farmers of the United States: prepare to start producing much more agricultural product to sell within the United States. Tariffs will apply to external products on April 2. Funthies! ”The president wrote.

Since his return to the White House on January 20, Trump has announced different tariff items, including reciprocal taxes, which are in the study phase, against every country that imposes what Washington considers a commercial barrier.

However, so far only one has applied: on February 4 he imposed a 10 % tax on China, which Beijing responded with tariffs on coal, oil or American liquefied natural gas.