PRESIDENT'S TARIFF DECISIONS
President Donald Trump has sent shockwaves through stock markets by imposing tariffs on imports from Canada, Mexico, and China. The move has been met with vows of revenge sanctions from Mexico and Canada.
RESPONSES AND RETALIATION
Mexico and Canada have both announced retaliatory measures against the US. Mexican President Claudia Sheinbaum has ordered a "Plan B" involving tariffs on various goods, while Canadian Prime Minister Justin Trudeau has imposed retaliatory tariffs worth $107 billion on US goods.
MARKET REACTIONS
Global stock markets have reacted negatively to Trump's tariffs, with London's FTSE 100 Index falling over 1% on opening. Asian markets, including Japan's Nikkei and Australia's benchmark, also experienced significant drops in early trading.
TRUMP'S JUSTIFICATION
Trump believes that the tariffs are necessary to combat the import of the deadly drug fentanyl and address trade deficits with these countries. He has urged companies to manufacture products in the USA to avoid tariffs.
