Trade tensions: China and Canada hit back at US tariffs
US President Donald Trump has announced the start of import tariffs on Mexico, Canada and China. In response, both Canada and China have retaliated by imposing additional taxes on American products.
Canadian prime minister Justin Trudeau has confirmed that Canada will impose a 25% import tariff on US goods worth a total of 155 billion Canadian dollars (102 billion euros). The tariffs took effect at midnight in Canada (6am GMT) and will remain in place until the US lifts its own tariffs.
China has also retaliated, announcing that it will impose additional tariffs on US imports from 10 March. A 15% tariff will apply to US poultry, wheat, corn and cotton, while a 10% tariff will be imposed on soybeans, beef, pork, fruit, vegetables and dairy products.
Undermining trading system
China's Ministry of Commerce criticised Washington's unilateral actions, saying the US was undermining the multilateral trading system and weakening the foundations of economic cooperation between the two countries.
Trump sees tariffs as a tool to protect American jobs and industries, and aims to encourage domestic production by making foreign goods more expensive. He also hopes to reduce the US trade deficit, which he argues has allowed other nations, including EU countries, to take advantage of the US.
War against drugs
Beyond trade, Trump has linked the tariffs to national security concerns, particularly illegal immigration and drug trafficking. Mexico faces the toughest measures, as Trump accuses it of failing to combat the flow of fentanyl, a deadly drug that has contributed to many deaths in the US. By imposing tariffs on Mexican products, he aims to increase the pressure on the country.
© ANDREW CABALLERO-REYNOLDS / AFP
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