Online Reporter
President Donald Trump signed an executive order on Sunday issuing tariffs on goods coming into the United States from Canada, Mexico and China. The order implemented a 25 percent tariff on Mexican and most Canadian goods while imposing a 10 percent tariff on Canadian energy products and Chinese goods.
Trump said Americans could feel “some pain” after the tariffs take effect.
Canada and Mexico hit back, with Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum threatening retaliatory measures that included tariffs.
Canada’s retaliatory tariffs would begin Tuesday, the day US tariffs on Canadian imports are scheduled to take effect. Sheinbaum said in a video message today that she could announce details of what she calls “Plan B” as soon as tomorrow.
The Chinese Commerce Ministry responded by announcing that China would file a lawsuit with the World Trade Organization “and take necessary countermeasures to firmly safeguard its rights and interests.”
Asia-Pacific markets traded lower Monday after Trump levied tariffs on Canada, Mexico and China over the weekend.
Australia’s S&P/ASX 200 dropped 1.61 percent.
Japan’s Nikkei 225 fell 1.99 percent, while the Topix lost 1.87 percent. South Korea’s Kospi dropped 2.52 percent, and the small-cap Kosdaq traded 2.79 percent lower. Hong Kong’s Hang Seng Index dropped 1.23 percent at the open.
Trump’s tariffs against China, Canada and Mexico target a trade provision that helped fuel the explosive growth of budget online retailers, including Temu and Shein.
Trump on Saturday signed executive orders imposing tariffs on the country’s top three trading partners.
Goods imported from Canada and Mexico will be slapped with a 25 percent tariff, while goods from China will be charged a 10 percent tax. Energy resources from Canada will have a lower 10 percent tariff.
The duties are expected to take effect Tuesday.
The orders against China, Canada and Mexico all halt a trade exemption, known as “de minimis,” which allows exporters to ship packages worth less than US$800 into the United States duty free. — NBC News
