US Tariffs on Canada, Mexico, and China Intensify Trade War
US Imposes Tariffs on Canada, Mexico, and China, Sparking Retaliatory Measures
On March 4, 2025, the United States introduced sweeping tariffs on imports from Canada, Mexico, and China, signaling a significant shift in global trade dynamics.
US Tariff Measures
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Canada & Mexico: A 25% tariff was imposed on imports from both countries, though Canadian energy products received a reduced 10% duty.
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China: Tariffs on Chinese goods doubled from 10% to 20%, adding to existing levies on approximately $370 billion in imports. The new measures specifically target consumer electronics, including smartphones, laptops, and smartwatches, which were previously exempt.
The US administration justified these actions by citing the failure of these nations to curb the flow of fentanyl and its precursor chemicals into the United States.
Retaliatory Actions
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China: Announced tariffs of 10% to 15% on select US agricultural products—such as meats, grains, and dairy—effective March 10. Additionally, China imposed export and investment restrictions on 25 US firms, citing national security concerns.
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Canada: Prime Minister Justin Trudeau declared immediate 25% tariffs on $20.7 billion worth of US goods, with plans to extend these measures to an additional $86.2 billion if US tariffs remain in place beyond 21 days. Targeted products include American beer, wine, bourbon, home appliances, and Florida orange juice.
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Mexico: President Claudia Sheinbaum is expected to announce Mexico’s response during a morning news conference in Mexico City.
