Canada and Mexico each announced tariffs on U.S. imports on Saturday in retaliation for U.S. President Donald Trump placing tariffs on the two countries.
Trump had signed an executive order authorizing a 25% additional tariff on imports from Canada and Mexico and a 10% additional tariff on imports from China. Energy imported from Canada, including oil, natural gas and electricity, would be taxed at an additional 10%.
The White House cited the “extraordinary threat posed by illegal aliens and drugs, including deadly fentanyl” that it argues “constitutes a national emergency.” The tariffs will go into effect on Tuesday.
The tariffs, if sustained, could cause inflation to significantly worsen after Trump vowed on the campaign trail to lower the prices of groceries, gasoline, housing, autos and other goods, according to The Associated Press. The tariffs on America’s largest trading partners also risk harming the global economy. More here