Trump's Trade Tactics: New Tariffs on Canada and Mexico

U.S. President Donald Trump plans to announce 25% tariffs on imports from Canada and Mexico, effective March 1, offering some exemptions. The move could disrupt the $1.6 trillion North American trade. Trump's decision involves using the International Emergency Economic Powers Act due to national crises like illegal immigration and fentanyl overdoses.

President Donald Trump is preparing to shake up North American trade by introducing 25% tariffs on imports from Canada and Mexico, effective March 1. Sources say there might be limited exemptions available, as Trump aims to address concerns like illegal immigration and fentanyl trafficking.

The potential economic disruptions from such tariffs could spell an end to three decades of integrated trade among the U.S., Canada, and Mexico. The President also hinted at potential exemptions for oil imports from these two countries, indicating concerns over rising gasoline prices.

Economists warn that these tariffs could lead to increased prices for various goods. Meanwhile, Canada and Mexico have indicated potential retaliatory measures. Trump may also use the International Emergency Economic Powers Act to bolster his stance amid national crises.

(With inputs from agencies.)