Economy

Trump Announces Sweeping 25% Tariffs on Mexico and Canada, Sparks Trade War Fears

US Imposes New Tariffs on Neighboring Countries

In a move that has sent shockwaves through international markets, United States President Donald Trump declared on Thursday the imposition of 25% tariffs on imports from Mexico and Canada. This decision, set to take effect on February 1, marks a significant escalation in trade tensions between the US and its North American neighbors.

Retaliation and Doubts Loom

Both Mexico and Canada have not taken the announcement lightly, with both countries announcing plans for retaliatory measures should the tariffs be enforced. Despite the looming trade war, Mexican President Claudia Sheinbaum expressed skepticism about the US following through with the tariffs, highlighting the uncertainty and tension surrounding the situation.

Oil Tariffs Under Consideration

Adding to the complexity, President Trump also mentioned that a decision on tariffs for oil imports from these countries would be made by tonight, further intensifying the stakes for all parties involved. This development underscores the volatile nature of current US trade policies and their potential impact on global economic relations.