US President Donald Trump said on Monday that 25% tariffs on goods from Mexico and Canada would be effective on Tuesday, which prevents the fears of a trade war in North America and send financial markets again.
Trump’s comments sent us a fast stock in late afternoon business. Both Mexican Peso and Canadian dollars fell after his comment.
Trump said at the White House, “They are going to be tariffs.
He said that there was a “no room left” for a deal that would stop the tariff by curbing the Phantanel flow in the United States.
Trump also said that mutual tariffs would be effective on 2 April on countries that implement duties on American products. He also confirmed that he would increase tariffs on all Chinese imports from the last 10% levy, which would punish Beijing for the continuous shipment of Phantanel in the US.
Trump said China has “not taken enough steps to reduce the illegal drug crisis”.
CEOs and economists say Trump’s tariffs on Canada and Mexico suffered a serious setback for the highly integrated North American economy, covering more than $ 900 billion annual US imports.
The tariff was scheduled to be effective on EST (0501 GMT) at 12:01 pm on Tuesday, confirming the Trump administration. At that point, Canada and Mexico face 25% tariffs, with 10% for Canadian energy. Mexican officials did not immediately respond to the remarks requests.
Canadian External Affairs Minister Melani Jolie told reporters that Ottawa was ready to respond. “There is a level of unexpectedness and anarchy that comes out of the Oval office, and we will work with it,” he said.
Dow Jones Industrial Average fell 649.67 points, or 1.48%, S&P 500 lost 104.78 points, or 1.76%, and Nasdaq Composite dropped 497.09 points or 2.64%.
The automekar shares fell rapidly, with General Motors, which has significant truck production in Mexico, 4% below and Ford is falling 1.7%.
Professor Gustavo Floors-Mysias, a public policy professor at Cornell University, said that consumers can see the price increase within days.
“The automobile region, in particular, is likely to see a fairly negative results, not only due to the dissolution of the supply chains, which cross the three countries in the construction process, but also due to the expected increase in the price of vehicles, which can reduce the demand,” said “Floorce-Mysias.
Mexico’s response plan
After avoiding the first round of the Tram, the Mexico, Trump, by killing a last -minute deal to send thousands of soldiers to their northern border, the anti -drug efforts were carried forward and indicated on new measures on imported Chinese goods.
In a press conference on Monday before Trump made his comment, President Claudia Shinbaum said that his government was calm as it was waiting for Trump’s decision, but Mexico would reply if the tariffs were imposed.
“We have a plan B, C, D,” Shinbam said without any details. He said that coordination with the US on trade and fentenell smuggling “has been very good.”
According to the disease control and prevention centers, 72,776 people died from synthetic opioids in the US in 2023, mainly from Fantenal.
A Democrat, a Democrat from the state of Washington, Representative Sujan Delbene said that the decision to move forward with tariffs on Canada and Mexico would spend thousands of dollars to US families at a grocery store, gas station and pharmacy counter.
He said in a statement, “No President should be able to increase taxes without votes in Congress.”
White House business advisor Peter Navaro, however, told CNBC on Monday that the influence of inflation from any tariff “will be shorter in the second order, so I am not looking at the President on any of it, because he knows to go to a world in which America is strong and rich in a world in which the US is strong and rich, with real wages and (more) with real wages.
Trump on Saturday added another business action to a waterfall of tariff announcements in the last one month, which may result in a national security check in the import of wood and wood products, resulting in standing tariffs. Canada, already facing 14.5% US tariffs on softwood wood, will be particularly difficult to hit.
During the previous week, Trump ordered a revival of tariff probe on countries that levy digital service taxes, every time a Chinese-made ship started an American port of $ 1.5 million, and a new tariff probe into copper imports.
These come out of their plans to match the tariff rates of other countries and determine the higher American “mutual tariffs” to match the tariff rates and to overcome their other trade obstacles, a step that can work hard to the European Union’s valued taxes charged by the European Union countries.
But Trump’s “Tariff on Steroids” agenda can keep inflation more and tip the global economy in recession, a senior partner of Conservative American Enterprise Institute Desmand Lachman.
(Except for the headline, the story has not been edited by NDTV employees and is published by a syndicated feed.)
