International
Trump Confirms 25% Tariffs on Canada, Mexico
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- Trump confirms 25% tariffs on imports from Canada and Mexico starting February 1.
- Decision on oil imports still pending as trade tensions escalate.
- China also faces potential new tariffs over fentanyl concerns.
US President Donald Trump has confirmed plans to impose 25% tariffs on imports from Canada and Mexico starting February 1, though he has yet to decide whether the levies will include oil.
Speaking from the Oval Office, Trump justified the move as an effort to curb undocumented migration, combat fentanyl trafficking, and address trade imbalances with the US’s neighbours.
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He also signalled potential new tariffs on China, citing fentanyl exports as a primary concern. While he previously floated a 10% tariff, he did not disclose further details.
During his campaign, Trump proposed tariffs of up to 60% on Chinese goods but opted for a review process upon returning to the White House.
US imports from China have remained stagnant since 2018, partly due to tariffs imposed during his first term.
At the World Economic Forum in Davos, Chinese Vice Premier Ding Xuexiang warned against protectionism while advocating for a “win-win” approach to trade.
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Canada and Mexico have vowed to retaliate with countermeasures while simultaneously seeking to reassure Washington of efforts to address border-related concerns.
A potential oil tariff could pose challenges to Trump’s pledge to lower living costs. The US imports roughly 40% of its crude oil, primarily from Canada, and higher import costs could lead to increased prices on fuel and other consumer goods.
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