US President Donald Trump’s new tariff hikes on Canada, Mexico, and China went into effect on Saturday evening, officially marking the beginning of a trade war that is expected to extend to other countries.
The White House announced the implementation of these tariffs, which include a 25% increase in imports from Canada and Mexico, as well as a 10% hike in imports from China. However, oil imports from Canada will face a lower tariff of 10%.
Reason Behind US Tariff Hikes
The White House explained the tariff measures as part of President Trump’s strategy to combat what it called a national emergency caused by the influx of illegal aliens and drugs, particularly fentanyl, into the United States.
In a factsheet, the administration stated, “President Trump is taking bold action to hold Mexico, Canada, and China accountable for their failure to stop illegal immigration and the flow of dangerous narcotics.”
Fentanyl & Drug Flow As National Emergency
The White House called the flow of fentanyl and other illicit drugs into the U.S. a public health crisis and national emergency.
The White House accused Chinese officials of failing to curb the flow of precursor chemicals used by criminal cartels. “Chinese officials have failed to take the actions necessary to stop money laundering and the flow of precursor chemicals to criminal organizations,” the fact sheet stated.
Canada’s Role In Drug Trafficking
The White House highlighted Canada’s rising fentanyl production and its growing role in international drug distribution.
“A recent study recognized Canada’s heightened domestic production of fentanyl, and its growing footprint within international narcotics distribution,” the factsheet stated.
Global Trade Consequences
As tariff hikes take effect, global trade relations face strain, with countries bracing for economic fallout. The ongoing tensions, particularly with China, Mexico, and Canada, could trigger retaliatory tariffs and further escalate the trade conflict.
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