US President Donald Trump has reconfirmed plans to impose 25% border load on the import from Canada and Mexico, with effect from 1 February, but left open whether the measures will extend to oil replacements. He said that the decision, aimed at curbing immigration without papers, fentanyl trade and trade shortages, is necessary to protect American interests and boundaries.
From the Oval Office, Trump indicated that he would also move forward with new rates for China – toes, with earlier explanation – the preparation of illegal fentanyl intake as the driver behind hundreds of thousands of American dead.
“I also think of something with China because they send fentanyl to our country,” said the president. “So China will also pay a rate for that, and we are working on that.”
Trump hinted during his re -election campaign that he would impose rates of a maximum of 60% on Chinese goods, but, on his return to the White House, initially instructed his officials to revise trade policy before taking direct action. Although the import of the US from China has been flattened since 2018 due to the rates of its first term can be redesigned a renewed tasks between the two largest economies in the world. Earlier in January, the Deputy Prime Minister of China Ding Xuexiang told the World Economic Forum in Davos that Beijing was looking for “Win-Win” resolutions for trade problems, but warned of rising protectionism.
Ottawa and Mexico City both sworn to respond in kind when Washington continues with new border loads. The relocation is a risk for President Trump’s commitments to reduce the costs of living for Americans, in particular if the import of energy is the target. Almost 40% of the oil refined in the US is imported – most from Canada – and experts warn that rates can increase consumer prices for gasoline and daily supplies.
“Rates are an input load on goods produced abroad,” said an industrial analyst. “They often cause higher costs for consumers and companies, which can lead to inflationary pressure on vital raw materials such as fuel.”
However, Trump’s administration claims that taxes on foreign products encourage domestic consumption and protect American jobs. A spokesperson for the White House said that the president is committed to securing American borders, tackling the opioid crisis and re -balancing trade relationships – factors that believe that the administration justifies the imposition of rates.