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‘Plan A, Plan B, and Plan C’; Here's how China, Canada, Mexico will fight ‘bully’ Trump tariffs
US President Donald Trump will slap 25% tariffs on Mexico, 25% on Canada, and 10% on China, declared the White House.
US President Donald Trump will slap 25% tariffs on Mexico, 25% on Canada, and 10% on China, declared the White House. The duties will into effect on Saturday, February 1.
Trump, on the other, declared on Friday that 10% lower taxes will be imposed on Canadian oil, maybe possibly as soon as February 18.
The US President stated that he intended to put tariffs on the European Union, citing the bloc's poor treatment of the United States.
According to White House Press Secretary Karoline Leavitt, the reason for the duties against Canada and Mexico, “the illegal fentanyl that they have sourced and allowed to distribute into our country, which has killed tens of millions of Americans.”
Trump has reiterated that the action was taken to address the significant number of undocumented migrants who have entered the United States and the trade deficits with its neighbors.
Concerns are growing that the new high tariffs may spark a massive trade war and drive up prices in the US. Notably, all three nations -- China, Canada, and Mexico -- are considered as the top trading partners of the United States, supplying 40% of the goods to the US last year.
US trading partners have responded strongly to Trump's plan to implement new tariffs on imports from China, Canada, and Mexico. While China has threatened retaliation, Canada and Mexico have laid out possible responses.
Also Read: 'Find another sucker': Trump's 100% tariff threat to BRICS members, including India
Here's what Canada has said
Canadian Prime Minister Justin Trudeau admitted that the US tariffs would cause hardships for Canadian businesses and consumers in the future. “We’re ready with a response—a purposeful, forceful but reasonable, immediate response. It’s not what we want, but if he moves forward, we will also act,” he said.
Additionally, Trudeau rejected Trump's defense of the tariffs, pointing out that fewer than 1% of fentanyl and illegal crossings into the US take place in Canada.
He cautioned that the US would suffer greatly as a result of these tariffs, which would jeopardise American jobs and drive up costs.
Meanwhile, Mark Carney, the 59-year-old frontrunner to be Canada's next PM, told BBC that his country is “going to stand up to a bully”.
He asserted Canada will “match dollar for dollar the US tariffs”.
Mexico takes cautious stance
In a more circumspect approach, Mexican President Claudia Sheinbaum made it clear that her country was prepared to take action if needed.
Sheinbaum stressed that Mexican government ill always stand up for the dignity of its people, the respect of its sovereignty, and an equal dialogue, adding that no “subordination” will be tolerated.
Sheinbaum disclosed that Mexico had already been in discussions with Trump's staff before to his return to office and had formulated a number of plans, referred to as “Plan A, Plan B, and Plan C,” to counter US trade actions.
China pledges countermeasures
China has strongly protested the tariffs, indicating that retaliation is possible. However, it has not yet announced concrete actions.
A spokesman for the Chinese Embassy in Washington stated, “There is no winner in a trade war or tariff war, which serves the interests of neither side nor the world.”
While it's uncertain how China will react this time, Beijing has typically countered US tariffs with actions aimed at significant sectors like technology and agriculture.
