Dajiworld Media Network - Washington
Washington, Feb 2: US President Donald Trump’s first round of tariff hikes is set to take effect from Saturday, imposing a 25% duty on imports from Canada and Mexico, and 10% on China.
Sector-wise tariffs on key industries—including computer chips, pharmaceuticals, steel, aluminium, copper, oil, and gas—are expected later this month.
Trump justified the move, blaming Canada and Mexico for failing to curb illegal migration and accusing China of not stopping the flow of fentanyl into the US. Speaking from the oval office on Friday, he made it clear there was no last-minute escape for these countries, though exemptions may be considered for crude oil and automobiles under the US-Canada-Mexico agreement.
“It’ll be a tremendous amount of money for our country—big numbers,” Trump said, emphasizing the strength of US tariffs. “Nobody can compete with us because we have by far the biggest piggy bank.”
In response, Canada and Mexico have threatened countermeasures, warning that American businesses could suffer. Canadian Prime Minister Justin Trudeau vowed a “forceful but reasonable” retaliation.
The US auto industry is likely to take the hardest hit, as components frequently cross borders between the three countries, driving up costs. Additionally, agricultural imports from Mexico such as tomatoes, avocados, and berries could become more expensive, while higher tariffs on Canadian oil and lumber may push up gas and construction costs.
As trade tensions escalate, the global economic impact of Trump’s tariff strategy remains to be seen.