The President-elect, Donald Trump has announced plans to impose stiff tariffs on the United States’ key trading partners such as Canada, Mexico, and China once he assumes office on January 20, 2025.
Trump detailed a 25% tariff on all imports from Canada and Mexico.
He cited the need to combat drug trafficking and illegal migration for such decsion, a move that challenges the USMCA trade agreement.
READ ALSO:
Additionally, Trump proposed an extra 10% tariff on Chinese imports, escalating trade tensions as he pledges to end China’s most-favored-nation status and impose tariffs exceeding 60%.
The announcement has triggered a surge in the U.S. dollar, while Asian and European markets showed signs of strain.
This marks one of Trump’s clearest economic policy moves since winning the November 5 election.
Also, this has generated concerns over potential trade wars and their impact on global markets and U.S. trade relations.
