Canada and Mexico order retaliatory tariffs after Trump signs order marking start of US trade war: Live
Canada and Mexico have ordered retaliatory measures against the US after President Donald Trump placed sweeping tariffs on goods from its two neighbors and China.
Prime Minister Justin Trudeau said he would “not back down in standing up for Canadians.” He set out “far-reaching” tariffs of 25 percent. These will start with $30 billion worth of US goods on Tuesday, and another $125 billion in 21 days to give Canadian firms time to adjust.
This comes after Trump signed executive orders implementing 25 percent tariffs on imports from Canada and Mexico, and 10 percent tariffs on goods from China, potentially setting up rapid price increases for American consumers.
The orders include retaliation clauses, which means the U.S. will increase tariffs if the countries respond with similar moves, Bloomberg reports.
Trump aims to use tariffs as leverage to encourage those countries to take more action against illegal immigration and the smuggling of chemicals used in fentanyl production.
Trump defended the tariffs on Truth Social post: “THIS WILL BE THE GOLDEN AGE OF AMERICA! WILL THERE BE SOME PAIN? YES, MAYBE (AND MAYBE NOT!). BUT WE WILL MAKE AMERICA GREAT AGAIN, AND IT WILL ALL BE WORTH THE PRICE THAT MUST BE PAID.”
