NOS news•today, 04:21•Changed today, 07:12
President-elect Donald Trump has threatened to impose massive import duties on Canada, Mexico and China in posts on his social media channel Truth Social.
According to Trump, these countries must do more against drugs and illegal immigration. In his Social Truth post, Trump writes that he will impose a 25 percent import tax on Canada and Mexico “on all products” on the first day of his presidency.
That tax will remain in place until both countries stop what Trump sees as an “assault” on illegal immigrants and drugs, particularly the so-called zombie drug fentanyl.
China will face a 10 percent import tax, also because of the large amount of fentanyl that, according to Trump, enters the US through the country. The tax is in addition to the import duties imposed by the US on China.
‘No one wins a trade war’
China responded to Trump’s threat through its embassy in Washington. An embassy spokesman said that both the US and China benefit from good cooperation and also emphasized that “no one wins a trade war.”
Canada and Mexico did not immediately respond to Trump’s messages. The Canadian government shared a press statement stressing that a secure border is “the highest priority.”
Immediately after Trump’s posts, the dollar rose sharply in value against, among others, the Canadian dollar and the Mexican peso.
See also this explanation of import duties:
With his messages, Trump seems to be influencing the trade agreement he concluded with Canada and Mexico in 2020, during his first presidential term. The countries then agreed to trade largely without tariffs on each other’s goods.
2024-11-26 03:21:00
#Trump #threatens #large #import #tariffs #China #Canada #Mexico
What are the potential long-term consequences of maintaining high tariffs on imported goods for the competitiveness of American industries in the global market? [[1](https://taxfoundation.org/research/all/federal/tariffs/)]
Here are some open-ended questions about the article, organized thematically:
**I. The Proposed Trade Actions:**
* **Impact and Feasibility:**
* How realistic are Trump’s proposed tariffs, and what might be the short- and long-term consequences for the US, Canada, Mexico, and China?
* What types of products would be most affected by these tariffs, and how might that impact businesses and consumers in each country?
* **Motivations and Justifications:**
* Can Trump’s stated reasons for imposing tariffs – reducing drug trafficking and illegal immigration – be effectively addressed through these trade policies?
* What are alternative solutions to these problems, and how do these compare to Trump’s approach?
* **International Response:**
* China’s embassy said “no one wins a trade war.” Do you agree, and what historical examples can support or refute this statement?
* How might Canada and Mexico respond to these tariff threats, and what leverage do they have in negotiating with the US?
**II. Broader Economic and Political Context:**
* **Reciprocal Actions and Escalation:**
* How likely is it that China, Canada, or Mexico would retaliate with their own tariffs, and what impact could this have on global trade relations?
* Could these tariffs contribute to a broader economic downturn, and how might governments try to mitigate these risks?
* **Political Implications:**
* How might these policies affect the upcoming US elections and the political landscape in Canada and Mexico?
* What are the potential implications for international alliances and cooperation?
**III. Ethical and Social Considerations:**
* **Consumer Impact:**
* How might these tariffs affect the prices of everyday goods and services for consumers in all the involved countries?
* Who would be most disproportionately affected by these price increases?
* **Fairness and Equity:**
* Are Trump’s proposed tariffs a fair response to the issues he has raised?
* What are the potential consequences for workers, industries, and communities in each of the affected countries?
**IV. Future Outlook:**
* **Negotiation and Compromise:**
* What are the potential avenues for resolving this trade dispute?
* What role could international organizations like the World Trade Organization (WTO) play in mediating the situation?
* **Long-Term Consequences:**
* How might these events affect the future of trade relations between the US, China, Canada, and Mexico?
*What are the broader implications for the global economy and international cooperation?
These questions are designed to stimulate critical thinking, encourage discussion from multiple perspectives, and explore the complex issues surrounding Trump’s proposed tariffs.
