Washington – President Donald Trump plans to implement tariffs in Canada, Mexico and China on Saturday, potentially starting a trade war, which would probably lead to the increase in prices of foodstuffs and many other products.
The press secretary of the White House Karoline Leavitt said during the briefing on Friday that Trump would put a 25% tariff for goods coming to the United States from Canada and Mexico and 10% tariff for imports from China. The tariffs are paid by companies bringing goods to the United States from other countries and often transfer to consumers an increase in costs.
“Tariffs are in Canada tomorrow, and the reason is that both Canada and Mexico allowed the unprecedented invasion of the illegal fentanyl, which kills American citizens, as well as illegal immigrants to our country,” said Leavitt.
Trump has not yet decided if he would implement the tariffs for the European Union, made up of 27 countriesAccording to Leavitt.
“I will not overtake the president for tariffs when it comes to the European Union,” she said.
Trump later said on Friday from the oval office that he did not use tariffs as a negotiating tool, but as a way to increase income for the federal government and pay attention to the inflow of fentanyl to the country.
“We are not looking for a license. We’ll see what happens, “said Trump.
He said that new tariffs would be arranged on the basis of existing tariffs.
Trump said that at some point he plans to add additional tariffs on computer systems and “things related to fries”, oil and gas, steel, aluminum, copper, pharmaceuticals and “all forms of medicine”.
Trump said that he would probably implement oil and gas tariffs on February 18, but did not provide the dates of other tariffs.
Trump rejected the question of how tariffs would affect prices, saying that he was chosen to reduce inflation. He said that he was not worried about the response of the stock market on Friday afternoon to the upcoming tariffs.
Many economists, including conservative Think tanks such as the American Enterprise Institute, warned against the wide use of tariffs in this way.
Phil Gramm, former republican chairman of the Senate Banking Committee and senior fellow of non -residents in AEI and Larry Summers, former secretary of the treasury during Clinton’s administration, Wrote OP-ed published by The Wall Street Journal On Thursday, calling Trump to not implement tariffs.
“Our united opposition to tariffs related to the defense is based not on our faith on free trade, but on evidence that the tariffs are harmful to the economy,” they have.
“Protective tariffs distort domestic production, encouraging domestic producers to involve labor and capital to produce goods and services that could be purchased on the international market,” wrote Gramm and Summers. “This workforce and capital are, in turn, redirected from the production of goods and services that cannot be obtained cheaply on the international arena. During this process, efficiency, wages and economic growth fall, and prices are rising. Tariffs and retaliation they bring also poison our economic and security alliances. “
Leavitt said during a press briefing that only Trump could decide whether he would eventually raise or change the tariffs, while rejecting the potential impact on the US economy.
The Economic Research Service of the US Department of Agriculture writes about it website that Canada and Mexico “are the first and third largest suppliers of agricultural products in the United States (on average $ 30.9 billion and USD 25.5 billion in 2017–21 respectively).
“Mexico provided the United States with 31 percent of imported garden products, including fruits, vegetables and alcoholic beverages. Canada is also a source of gardening products, as well as grains and meats. “
The Office of the United States Trade Representative writes about it website that the US was imported by goods worth $ 562.9 billion from China in 2022.
Agricultural exports in the USA to China, which may be affected by retaliation tariffs, amounted to USD 36.4 billion in a tax year 2022, According to USDA foreign agricultural service.
“Export in the US has returned to the growth of trends from the time of the Republic of China People’s Republic to the World Trade Organization (WTO), and in the last 2 years the United States has witnessed record values ​​of exports to China for soy, corn, beef, beef, chicken meat, chicken meat, Wood nuts and sorghum. Cotton exports to China, powered by strong demand, also reflected. All these products are the main factors contributing to the American farm. “
Ashley Murray contributed to this report.
Last updated 17:27, January 31, 2025
