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AEB

China, Canada and Mexico begin to respond to new US tariffs

  • The tariffs ordered by Donald Trump have entered into force: Canada and Mexico will have 25% and China will have 10%. Canada will respond with tariffs of the same amount. Mexico rejects the United States Government ' s assertion that the United States has ties to criminal organizations. China will take the case to the World Trade Organization.

Mexikori ezarritako muga-zerga justifikatzeko Trumpek hau esan du: "Gure mugak zeharkatzen dituzten legez kanpoko immigranteen eta drogen uholdea gelditzeko promesa egin nuen nire kanpainan". Canadian Affairs.

03 February 2025 - 13:54
Last updated: 16:48

As of 1 February, the new tariffs imposed by the United States Government are in force. It has declared an “economic emergency” to impose new tariffs on the three countries. Canada and Mexico will have tariffs of 25% and China will have tariffs of 10%. Eldiario.es has received news that after the approval of the new tariff rates on February 1, the president has given the following reasons for the tax increase:

“This was done through the International Emergency Economic Powers Act because of the serious threat of illegal immigrants and deadly drugs that are killing our citizens, including fentanyl. We must protect the Americans, and it is my duty as president to ensure the safety of all. I made a pledge in my campaign to stop the flood of illegal immigrants and drugs crossing our borders, and Americans voted overwhelmingly for it.”

Canadian oil exemption: %10

Trump has imposed a 25% tariff on Canada, but there is one exception: oil imports will have a 10% tax. In 2023, a quarter of the oil consumed there was imported from Canada for $100 billion.

The taxes imposed on Canada are said to be in response to the “public health crisis and national emergency” resulting from fentanyl. Canada has been blamed, according to the document: “Gang members, smugglers, human traffickers and all kinds of illegal drugs have crossed our borders and reached our communities. Canada has played a key role in these challenges, including by not providing sufficient attention and resources, or by not coordinating meaningfully with U.S. law enforcement partners to effectively stem the flow of illicit drugs.”

Fentanyl has also been cited as a justification for China’s tax, using the crude phrase: “China expands and maintains its business of poisoning our citizens.”

As for Mexico, the government has been accused of having an “unacceptable alliance” with the cartels. Trump has declared that drug cartels are terrorist organizations.

The three countries have also begun to take action

The White House has threatened that if the three countries respond to the decisions made in the United States, they will have the opportunity to "change the measures." Thus, the signed rule includes a mechanism to allow tariff increases.

Canada, however, has responded to the United States with the same figure: It will impose tariffs of 25%. President Justin Trudeau explains that he will “cause harm” to the Canadians, but that the Americans will not have “real consequences.” They will detect an increase in the tax on, among other things, beers, wines, fruits, juices, perfumes and clothing, as well as on household appliances, sports equipment, wood and plastics. The President noted that consideration was being given to non-tariff measures for critical minerals and energy issues, for example.

Mexican President Claudia Sheinbaum has criticized the White House indictment, denying that the government has ties to criminal organizations. They have also rejected “any intention of interference for their territory.” In any case, the president responds on social networks that the United States has relations with criminal organizations: “If such an alliance exists, it is in the U.S. arms industry, which sells high-powered weapons to these criminal groups.” Sheinbaum, who foresees tariff and non-tariff measures, proposes to Trump to form a “working table.”

China has announced measures and stressed that it will take the case to the World Trade Organization. He stressed that the fentanyl crisis is an “internal matter” of the US and that China has always supported the country’s effort to solve the problem. They add that the issue must be addressed “objectively and rationally”, instead of using taxes to “pressure” other countries.

 

 


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