Canada, Mexico and China respond to Trump’s rates

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Canadian, Mexican and Chinese flags.

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US president Donald Trump On Saturday imposed a long threatening Tariffs for imports from Canada, Mexico and China – And it didn’t take long for the parties to react.

Trump signed an order that slammed 25% rates for goods from Mexico and Canada, and 10% duty on Chinese imports, which should start on Tuesday. Canada’s energy resources are facing a lower, 10% tariff to “minimize any destructive effects that we could have on the prices of gasoline and home heating,” according to a senior administration official.

In the executive order, Trump said that if the countries-three largest US-US-to-duplicate trading partners can be met with a “increase or expansion of the scope” of the obligations already imposed.

In a PostTrump said the obligations were imposed “due to the main threat of illegal alien and deadly drugs that kill our citizens, including fentanyl.”

The US makes about $ 1.6 trillion business every year with Canada, Mexico and China. Tariffs are expected to be used as negotiating chips and methods for achieving foreign policy changes – more special about immigration and drug trading problems – from the Trump administration.

The reaction from one of the three countries was quick and decisive, while the others seemed to take a more waiting approach to Trump’s tariffs. Here is a look at their answers.

Canada

Canadian Prime Minister Justin Trudeau has hit a 25% $ 155 billion goods in the United States shortly after Trump’s tariffs are announced.

He said the $ 30 billion duties for US goods will be imposed on Tuesday, with $ 125 billion rates for 21 days to allow Canadian companies and shipping chains to strive to strive to find alternatives. “

“Like American tariffs, our answer will also be distant and will include everyday items such as American beer, wine and bourbon, fruits and fruit juices, including orange juice, along with vegetables, perfume, clothing and shoes,” Trudeau said at a press conference at Saturday night. “It will include large consumer products such as household appliances, furniture and sports equipment and materials such as timber and plastics, along with many, much more.”

Canada Prime Minister Justin Trudeau speaks, surrounded by (L), Public Safety Minister David McGouinti, Foreign Minister Melanie Jolie and Minister of Finance and Intergovernmental Dominic Leblan, during a press conference on February 1, 2025.

Dave Chan AFP | Ghetto images

Turning directly to US citizens, Trudeau added: “This is a choice to harm the Canadians, but it will also have real consequences for you, the American people.”

Revenge tariffs are expected to further increase price increases in both the United States and other places. The price of everything from cars and electronics to toys and food is expected to be influencedS

Trudeau added that “it shouldn’t be that way.”

“Yes, we have had our differences in the past, but we have always found a way to overcome them. As I said before, if President Trump wants to introduce into a new Golden Age for the United States, the better way is to partner with Canada, and Not to punish us, “he said.

Mexico

Read more CNBC rates coverage

“Mexico does not want a confrontation. We are starting from cooperation between neighboring countries,” she said in a publication translated by NBC. “Not only does Mexico do not want fentanyl to reach the United States, but it does not want him to reach anywhere.”

“We have to work together exhaustively, but always under the principles of shared responsibility, mutual trust, cooperation, and, above all, respect for sovereignty that is not negotiating. Coordination, yes; submission, no,” she added.

China

Chinese exporters apply adaptation strategies to Trump's Tariff threats

The fact that China stopped having instant escalation he hopes there may be some place to avoid a comprehensive trade war between the two countries. The lower, 10% tariffs imposed on goods produced by China can also be relief by having repeated threats made by Trump on the traces of the campaign to impose obligations of 60% or more for imports from the country S

In its statement, China repelled Trump’s comments about Fentanyl, describing it as an “internal question”.

“China is calling on the United States to take an objective and rational approach to its internal problems, including fentanyl, instead of resorting to tariff threats against other countries,” the statement said.

Synthetic opioid fentanyl is an addictive drug that causes many thousands of deaths from overdose every year in the United States, the chemicals needed to prepare the drug are produced most in China and Mexico. Washington and Beijing have previously agreed to cooperate On the subject.

“A global trade war

On Sunday’s note, Paul Ashworth, North America’s chief economist at Capital Economics, said the tariffs were “only the first strike in what could become a very destructive global trade war.”

He said he expects the European Union’s import to be directed over the next few months, with universal tariffs – many announced by Trump along the campaign path – expected in April.

The economic impact will be important for all participating countries, according to Ashworth.

“Because US exports represent about 20% of GDP, today’s tariffs can immerse both the Canadian and Mexican economy in a recession later this year,” he writes.

“The resulting jump in inflation in the United States from these tariffs and other futures measures will come even faster and be greater than we initially expected.”

– Tanaya Macheel by CNBC, Kevin Breunger and Jeff Cox have contributed to this report.

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