President Donald Trump has announced broad tariffs on major US trading partners Mexico, Canada and China, reasoning a major threat from illegal immigration and drugs.
Canadian and Mexican exports to the United States will face a 25 per cent tariff starting Tuesday, although energy resources from Canada will have a lower 10 per cent levy.
Goods from China, which already face various rates of duties, will see an additional 10 per cent tariff, said Trump.
The announcement threatens upheaval across supply chains, from energy to automobiles to food.
Trump invoked the International Emergency Economic Powers Act in imposing the tariffs, with the White House saying “the extraordinary threat posed by illegal aliens and drugs, including deadly fentanyl, constitutes a national emergency.”
The aim is to hold all three countries “accountable to their promises of halting illegal immigration and stopping poisonous fentanyl and other drugs from flowing into our country,” the White House added.
Washington additionally accused Mexico’s government of having an “intolerable alliance” with drug trafficking groups.
