Online Reporter
President Donald Trump widened his tariff threats to include China and the European Union on his second day back in office after day one saw Canada and Mexico in his sights.
“We’re talking about a tariff of 10 percent on China, based on the fact that they’re sending fentanyl to Mexico and Canada,” Trump said during an event at the White House on Tuesday, specifying February 1 as a possible date.
A potential tariff war between Canada and the United States would likely take longer to resolve than it did last time, and cost Canadians much more.
Trump’s order to leave the OECD global tax pact includes investigating “whether any foreign countries are not in compliance with any tax treaty with the US or have any tax rules in place . . . that are extraterritorial or disproportionately affect American companies”.
“Other countries are big abusers also, you know it’s not just China,” Trump said. “We have a $350 billion deficit with the European Union. They treat us very badly, so they’re going to be in for tariffs.”
The threats echo comments made throughout Trump’s campaign for a return to the White House and since his sweeping November 5 victory.
But the only actual action taken so far is the call for a review of trade practices that’s due by April 1, potentially giving China and others almost 10 weeks to avert new levies or address his demands.
China’s government reiterated their opposition to tariffs, with Ministry of Foreign Affairs spokeswoman Mao Ning saying Wednesday that there are no winners in a trade war, adding that China would safeguard its national interest. — Bloomberg.
