President Donald Trump says he plans to impose tariffs on Canada and Mexico starting next Tuesday, in addition to double the 10% universal tariffs charged for imports from China. Posting on Truth Social on Thursday, Trump said illegal drugs such as fentanyl are being smuggled into the US at “unacceptable levels” and import taxes will force other countries to force trafficking. “We cannot allow this tragedy to harm the United States, and therefore it will actually take effect, as planned, until the tariffs scheduled to come into effect on March 4th are suspended or seriously limited,” the Republican president wrote. “Similarly, China will be charged an additional 10% tariff on that day.”
The outlook for tariff escalation is already shaking the global economy into chaos – consumers express fear about worsening inflation, and the auto sector is probably struggling if Canada and Mexico’s two biggest trading partners are slapped with taxes.
The prospect of higher prices and slow growth could be a political blow to Trump.
