The ecalating trade war with the United States went to another level on Tuesday, with China and Canada responding with tariffs on American imports and Mexico flagging a similar move.
As the 25% tariffs on U.S. imports from Mexico and Canada took effect on Tuesday, China announced additional tariffs of 10%-15% on some U.S. goods and new export restrictions for some U.S. entities.
Canada hit back with 25% tariffs on imports from the U.S. including orange juice, peanut butter, wine, spirits, beer, coffee, appliances and motorcycles and Mexican President Claudia Sheinbaum said she would announce Mexico's response on Sunday.
"They've chosen to launch a trade war that will, first and foremost, harm American families," Canadian Prime Minister Justin Trudeau said. "This is a very dumb thing to do."
Trudeau said Canada would be implementing 25% tariffs against $155 billion of American products, starting with $30 billion worth of goods immediately and the balance in 21 days.
“Today, the United States launched a trade war against Canada: their closest partner and ally — their closest friend. Canadians are reasonable, but we will not back down from a fight. Not when our country is at stake,” he wrote in a post on X.
The Canadian leader was also quoted by Reuters in a news story as saying the tit-for-tat tariffs would harm American families, making it “a very dumb thing to do."
He accused the U.S. of starting a trade war with its closest allies at the same time as it was “appeasing [Russian President] Vladimir Putin, a lying, murderous dictator” by pausing military aid to Ukraine.
In Beijing, foreign ministry spokesperson Lin Jian was quoted in a BCC news story as saying: “China will fight to the bitter end of any trade war."
"We advise the US to put away it's bullying face and return to the right track of dialogue and co-operation before it is too late.”
Mexico's Sheinbaum said on Tuesday there was "no reason, rationale or justification" for Trump's actions after Mexico took "decisive actions" against organised crime and fentanyl trafficking.
Canada and China said they would take action against the U.S. in the World Trade Organisation.
