PRESIDENT Donald Trump has ignited a World Trade War by imposing steep tariffs on imports from Canada and Mexico, with hints that the EU could be next in line for similar treatment.
Trump's Tariff Plans
During his election campaign, Trump vowed to prioritize import taxes as part of US economic policy. Now, he has imposed high tariffs on Canada, Mexico, and China, with the goal of addressing trade imbalances and protecting American companies.
Goods to be Hit First
The tariffs are set to impact a wide range of products, from cars and electronics to alcohol and clothing. Prices of essential goods could rise, affecting American consumers and potentially leading to a significant increase in gas prices.
Mexico and Canada's Revenge Sanctions
In response to Trump's tariffs, Mexico and Canada have announced retaliatory measures, including levies on products like pork, cheese, and fresh produce. The trade war has escalated, with both countries taking steps to protect their interests.
EU and UK Threat
Trump has also targeted the European Union, criticizing its trade practices and hinting at future tariffs on EU goods. The UK could also face tariffs, impacting sectors like fishing and mining, according to research.
Markets Tumbling
Global markets have reacted negatively to Trump's tariff announcements, with stock indexes in London, Asia, and Europe experiencing significant declines. Uncertainty looms as the trade war unfolds, affecting economies worldwide.
