Trump tariffs: which countries are affected and what does this mean? | Trump administration
On Saturday, Donald Trump followed his promise to put a customs tariff on Canada, Mexico and China in response to immigrants and illegal drugs that he says enter the United States from those countries.
The White House said that customs duties will be implemented starting from February 1, but according to the executive order of the president, entitled hypothesis duties to address the flow of illicit drugs across our northern borders, the customs duties will enter into force “at or after 12:01 am on February 4, 2025 “.
From Mar-A-Lago, Trump has signed three executive orders that put a 25 % tariff tariff on all goods from Canada and Mexico10 % tariffs on both Canadian oil exports and Chinese goods. All customs duties are imposed under the Law of Economic Forces in International Emergency Cases. If the countries that affected revenge, White House officials have clarified, the tariff rates will increase.
Here is what we know about Trump’s tariff so far:
What are the customs duties that issue Trump?
The White House said it would put a 25 % tariff on Canada Mexico and a 10 % tariff in China. How will the wide tariffs be unclear. Trump can exempt some sectors, such as oil and gas, or reduce customs tariffs to identify groups.
During the past week, as the deadline approaches, some Trump consultants seemed inconsistent whether the definitions would be imposed or whether they will be imposed. “I can’t tell you when,” Peter Navarro, chief trade and manufacturing consultant in Trump, told CNBC. Friday.
Even with Trump’s advisers who are struggling to keep pace with his following moves, anything can happen before the definitions are imposed.
What is the customs tariff and why Trump wants to use it against some countries?
The tariff is a useful tax on foreign goods imported to a country. The United States is currently the largest importer of commodity in the world – in 2022, the value of imported goods in the United States total $ 3.2TN.
Before entering his position, Trump threatened customs duties on the three largest commercial partners in the United States: ChinaMexico and Canada. Specifically, he said he wanted to see a 25 % tariff on Mexico and Canada and a 10 % tariff in China, so that the two countries deal with immigrants and illegal drugs coming to the United States.
Trump sees the definitions as a strong bargaining slice – but it comes at a high price.
Trump develops customs tariffs as a policy that can be applied to manufacturers and importers in the United States to produce goods locally.
“All you have to do is build your factory in the United States, and you have no tariff,” Trump said. But the global economy has been intertwined for decades. For example, American farmers will not be able to produce the number of Avocado Mexico for many years.
What this means is that importers probably pay the cost of definitions on consumers, which leads to high prices.
How will consumers be affected by definitions?
25 % tariffs on all imports from Mexico and Canada will make consumer prices rise. Canada is a major source of raw oil, while Mexico exports many fresh fruits and vegetables. Mexico is also the largest source of auto parts for the United States. China is a major source of chips used in electronics such as phones and laptops.
In total, the United States imported 1.2 trillion of goods from Canadaand Mexico and China Completely in 2023.
Not only the imports that consumers buy directly. When definitions increase the price of imports, this includes imported materials used to make other products locally in the United States. High material prices will make their way to consumers.
Tax Foundation, bilateral thought from the two parties, Estimates A 25 % tariff on Mexico and Canada and a 10 % tariff for China, as a tax, will increase total taxes by 1.2 tennis. Trump celebrated the idea that the United States government will get more revenues through definitions, but it will eventually be American consumers who put the bill.
It was the Americans ready To get a tariff on prices. In November Harris/the guardian reconnaissanceNearly two -thirds of the Americans said that they expect prices to rise if Trump is implementing a wide tariff.
What are the federal laws that give Trump the authority to enact definitions?
US Federal Law gives the president broad powers to the age of definitions without the approval of Congress.
Trump has the authority to declare the state of national economic emergency for its definitions. This would require the IEEPA Economic Forces Law, which gives the president the authority to manage imports during a national emergency.
Trump can also apply definitions under Article 232 of the Commercial Expansion Law, which gives the president authority to impose definitions on some industries. This is what Trump used in 2018, when he hit Canada, Mexico and the European Union with Definitions On aluminum and steel.
How did other countries respond to Trump?
Leaders from Canada and Mexico Proposal They were working with the Trump administration to address his concerns about immigration and illegal drugs. Canada said it was holding talks with US officials about the establishment of a “fentanel strike force in North America”. Meanwhile, Mexico said it would create a similar group of migration.
If this cooperation is not sufficient for Trump, Canada and Mexico are likely to implement their own tariffs against US imports of revenge, which would harm American actions. Canadian Prime Minister Justin Trudeau, He said Friday that his country will bring a “strong, but reasonable” tariff against the United States.
After Trump laid a tariff on Mexican steel and aluminum in 2018, Mexico responded by definitions on pork, cheese and other commodities, and looking to harm us manufacturers in revenge. The United States and Mexico eventually reached an agreement in 2019 to raise the tariff tariff.
Do you have a question about Trump’s tariff? I wonder how they are It affects inflation, prices or economics? We are here to help. Email Callum.jones@theguardian.com We may answer your question in a future story
