Officials from Mexico, Canada, and China have raised concerns over US President-elect Donald Trump’s proposal to impose hefty tariffs on these countries, warning that such actions could destabilize their economies and trigger retaliatory measures.
Mexican President Claudia Sheinbaum expressed her concerns, stating that the imposition of tariffs would likely lead to a series of retaliations, threatening businesses across the nations involved. “One tariff will lead to another, putting our shared business interests at risk,” she warned.
Trump, in a recent statement, outlined plans to introduce 25% tariffs on imports from Mexico and Canada, and 10% on goods from China. His stated goal is to combat issues like illegal immigration and drug trafficking.
Canadian Prime Minister Justin Trudeau responded by saying that he spoke to Trump soon after the announcement, and he planned to convene a meeting with provincial leaders to discuss Canada’s response. Trudeau emphasized Canada’s willingness to collaborate with the US, while also pointing out that the number of migrants crossing from Canada is far smaller than those entering from Mexico.
A spokesperson from China’s embassy in Washington criticized the proposed tariffs, highlighting that a trade war would have no winners. They disputed Trump’s claims regarding China’s role in the flow of illegal drugs into the US, stating that China had already taken action against drug smuggling and had cooperated with US requests.
Sheinbaum, in a statement to the press, rejected the notion that tariffs or threats would address migration or drug issues effectively. She reiterated that Mexico had already implemented measures to reduce migrant caravans and pointed out that drug consumption and the illegal trade were more significant issues within the US. She also warned that tariffs could harm industries, particularly US car manufacturers, many of which rely on parts produced in Mexico and Canada.
Meanwhile, Trudeau downplayed the severity of the situation, urging lawmakers not to panic. He emphasized the importance of continued cooperation and took a calm, methodical approach to handling the situation.
In Canada, provincial leaders expressed their concerns, with Ontario Premier Doug Ford describing the proposed tariffs as potentially devastating to workers and jobs in both countries. Other provincial leaders echoed these concerns, stressing the critical importance of trade between the US and Canada. The Canadian American Business Council also opposed the tariffs, arguing that they would undermine the North American trade agreement and harm businesses on both sides of the border.
The announcement from Trump has already caused significant market reactions, with the Canadian dollar dipping below 71 US cents, marking its lowest level since May 2020. The Mexican peso also fell, reaching its lowest point this year, highlighting the immediate economic impact of the tariff threats.
Although some believe that the tariff proposal is a negotiation tactic by Trump, the situation remains fluid, and the international community is closely monitoring any further developments.
SOURCE: BBC
Join our WhatsApp channel: https://whatsapp.com/channel/0029VakDz4u9RZATWh53yC1a
