On February 1, U.S. President Donald Trump signed three executive orders to impose additional tariffs on goods from Canada, Mexico, and China. Trump explained that he aims to compel these countries to combat illegal immigration and drug trafficking into the U.S. This was reported by the Washington Post on Sunday, February 2.
It is noted that starting from 7:01 PM on February 4, American importers will pay a new 25% tariff on goods from Canada and Mexico, and a 10% tariff on imports from China, which is an addition to the existing tariffs of up to 25%. The U.S. will also impose a 10% tariff on energy products, including the import of crude oil from Canada.
If any of the three countries respond with their own trade measures—as they promised to do on Saturday—the president may raise the tariff rates in retaliation, the publication points out.
Donald Trump stated that Chinese fentanyl shipments are entering the U.S. through Mexico and Canada because these two countries cannot adequately secure their borders. He criticized the Chinese government for failing to fulfill its promises to reduce fentanyl production and said that the ruling Communist Party of China has "subsidized and otherwise encouraged" companies to supply fentanyl and related substances to the United States. Trump also criticized two of America's closest allies—Canada and Mexico—for their role in facilitating drug trafficking.
“We categorically reject the White House's slander that the Mexican government has alliances with criminal organizations. If such an alliance exists anywhere, it is with weapons manufacturers in the U.S. who sell powerful weapons to these criminal groups,” wrote Mexican President Claudia Sheinbaum in response to the U.S. actions, adding that Mexico will respond with sanctions.
Canadian Prime Minister Justin Trudeau announced that his country will impose 25% tariffs on American imports valued at $106 billion. According to him, the tariffs will be implemented in two waves: the first wave on $20 billion will take effect on February 4, and the remainder will follow in 21 days.
“We certainly do not seek escalation. But we will protect Canada, Canadians, and Canadian jobs,” said Trudeau.
The Chinese Ministry of Commerce condemned Trump's tariffs, stating that they undermine "normal economic and trade cooperation" between the U.S. and China. The ministry assured that it will challenge the U.S. actions at the World Trade Organization and will take countermeasures "to firmly protect its own rights and interests."
American tariffs will remain in effect until the president determines that the three countries have taken sufficient measures to address U.S. concerns.
The president also suspended the minimum rules for these three countries that allow for the duty-free importation of small packages worth less than $800, which, according to officials, is another way for illegal drugs to enter American streets.