6 hours Ago By Evening Standard
Canada and Mexico have launched retaliatory tariffs against President Donald Trump's new import taxes, escalating tensions between the longtime allies. Canadian Prime Minister Justin Trudeau announced a 25 per cent tax on £85.9bn worth of US goods, with energy imports facing a 10 per cent levy.
The first wave of Canadian tariffs, hitting £16.6bn of American alcohol and fruit imports, begins Tuesday, with the remaining £69.3bn following in three weeks.
In a direct appeal to US consumers, Trudeau warned: "It will have real consequences for you, the American people," pointing to inevitable price hikes on everyday items. The outgoing PM highlighted Canada's military support in Afghanistan and aid during disasters like California's wildfires and Hurricane Katrina. "The actions taken by the White House split us apart instead of bringing us together," he said, urging Canadians to buy domestic products over American ones.
Mexican President Claudia Sheinbaum ordered immediate counter-measures, rejecting Trump's claims about criminal links. "We categorically reject the White House's slander that the Mexican government has alliances with criminal organisations," she posted on X. She challenged US drug policy, stating: "If the United States government and its agencies wanted to address the serious fentanyl consumption in their country, they could fight the sale of drugs on the streets of their major cities.
" Trump's administration claims the tariffs target fentanyl trafficking and illegal immigration. The measures include 25 per cent duties on Mexican and Canadian goods, and 10 per cent on Chinese imports, with rates set to rise if countries retaliate. China vowed to contest its 10% per cent tariff through the World Trade Organisation , calling the move a "serious violation" of trade rules.
Trump signed the order Saturday, citing an economic emergency, despite risks of a trade war and higher costs for American consumers. It comes after France warned Donald Trump that America has "everything to lose" from a trade war with the European Union . Foreign minister Jean-Noël Barrot stressed that thousands of US companies based in Europe would be the "first victims" if the new president imposes tariffs.
The European Union would retaliate to such a step by Trump, he added. But Mr Barrot stressed that Trump had not threatened to hit the EU with tariffs since his return to the White House. "I think that's a good thing because the US has everything to lose from entering into a trade war with the European Union," He told France's Sud Radio.
"We are their main trade partner." "If it's true that Americans buy more European products than the opposite, well Americans invest more in Europe than we invest in the US.".
