Trump launches trade war against Mexico, Canada, China, imposes sweeping tariffs on goods

Per Second NewsFebruary 2, 2025318

President Donald Trump of the United States on Saturday followed through on his threat by ordering sweeping tariffs on goods from Mexico, Canada and China.

Trump demanded that the three countries stanch the flow of fentanyl and illegal immigrants in the case of Canada and Mexico into the United States, kicking off a trade war that could dent global growth and reignite inflation.

Meanwhile, Mexico and Canada, the top two U.S. trading partners, immediately vowed retaliatory tariffs, while China said it would challenge Trump’s move at the World Trade Organization and take other countermeasures.

Trump had in three executive orders, imposed 25% tariffs on Mexican and most Canadian imports and 10% on goods from China, starting on Tuesday.

The U.S. President vowed to keep the duties in place until what he described as a national emergency over fentanyl, a deadly opioid, and illegal immigration to the U.S. ends.

The White House provided no other parameters for determining what might satisfy Trump’s demands.

Responding to concerns raised by oil refiners and Midwestern states, Trump imposed only a 10% duty on energy products from Canada, with Mexican energy imports facing the full 25% tariff.

Canadian Prime Minister Justin Trudeau said Canada would respond with 25% tariffs against $155 billion of U.S. goods, including beer, wine, lumber and appliances, beginning with $30 billion taking effect Tuesday and $125 billion 21 days later.

Trudeau warned U.S. citizens that Trump’s tariffs would raise their grocery and gasoline costs, potentially shutting down auto assembly plants and limiting supplies of goods such as nickel, potash, uranium, steel and aluminum.

The Canadian prime minister urged his own citizens to forego travel to the U.S. and to boycott U.S. products.

On her part, Mexican President Claudia Sheinbaum, in a post on X, said she was instructing her economy minister to implement retaliatory tariffs but gave no details.

Canada and Mexico said they were working together to face Trump’s tariffs.

Meanwhile, China’s Commerce Ministry did not specify its planned countermeasures. Its statement left open the door for talks between Washington and Beijing.

“China hopes that the US will view and handle its own fentanyl and other issues in an objective and rational manner,” it said.

It said Beijing wanted to engage in frank dialogue, strengthen cooperation and manage differences.