A. M. The 25% tariffs on products from Canada and Mexico in the U.S., announced by President Donald Trump, are now in effect. Shortly after midnight, the measure became the norm, affecting trade with the two major U.S. partners.
Trump justified the decision by saying that time ran out to negotiate a deal. “There is no room left for Mexico or Canada”, he said monday at the White House. The U.S. stock market reacted with a sharp drop after the tariffs were confirmed.
Canada’s response was swift. Prime Minister Justin Trudeau announced tariffs of 25% on US$30 billion worth of U.S. goods, rising to US$155 billion in 21 days. The measure seeks to balance the economic impact.
From Mexico, President Claudia Sheinbaum demanded respect for her country and announced retaliatory measures. “We will respond with tariff and non-tariff measures that I will announce on sunday”, she said at a conference where she also called for a citizen mobilization.
China announced new tariffs on the US as of march 10. It imposed 15% on wheat and 10% on beef, fruits, vegetables, and dairy products. It also called Washington’s measures “unilateralism and bullying”.
In addition, the US raised tariffs on China with an additional 10% on its imports, adding to the 10% already in force since february 4. The trade escalation is affecting more and more products that are essential to the global economy.
With these moves, the US, Canada, Mexico and China have increased their trade barriers in a matter of weeks. The tension in the markets continues to grow, while governments evaluate new retaliations and strategies in the face of this trade conflict.
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