Business
Biden Says Trump's Tariff Threat against Canada and Mexico is Counterproductive
November 29, 2024
February 3, 2025
By Evans Momodu
1 minute read
Canada and Mexico have responded to President Donald Trump’s steep tariffs on imports with their own retaliatory levies, escalating tensions between the three major trading partners.
Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum announced the countermeasures on Saturday night, targeting key U.S. exports.
Trudeau confirmed that Canada would impose 25% tariffs on C$155 billion (£85.9bn) worth of U.S. goods. Additionally, energy imports from Canada—including oil, natural gas, and electricity—will be taxed at 10%.
Duties on C$30 billion (£16.6bn) worth of U.S. alcohol and fruit will take effect on Tuesday, coinciding with the start of U.S. tariffs, while the remaining C$125 billion (£69.3bn) in trade measures will be implemented in three weeks.
In a strongly worded speech, Trudeau warned American consumers that Trump’s tariffs would increase grocery and goods prices.
"It will have real consequences for you, the American people," he said.
Meanwhile, Mexico has also introduced counter-tariffs, further raising concerns of an escalating trade war.
Source: Sky news
