As US tariffs on Canada, Mexico, and China began on Tuesday ( Mar 4 ) and as a result of rapid retaliation from Beijing and Ottawa, the trade wars between the US and its largest economic partners grew even worse.
As a last-ditch effort to stop President Donald Trump’s charges, the US began imposing them on American and Hispanic products as a date to halt the countries ‘ trade wars, which is expected to snarl supply chains.
Businesses in Asia and Europe fell on Tuesday as a result of what economists said were its highest import taxes since the 1940s due to trade war anxieties.
Trump had announced and then halted the sweeping 25 % tariffs on imports from his main trading partners, Canada and Mexico, in February, claiming they had failed to stop drug trafficking and illegal immigration.
Trump cited a lack of progress in preventing the flow of drugs like methadone into the US as justification for continuing with the tasks.
Over US$ 918 billion value of US goods from both nations are affected by the jobs.
The significant obligations placed on Canada and Mexico will likely cause price increases for households.
According to the US Department of Agriculture, Mexico accounted for 63 percent of US fruit imports and almost half of US fruit and nuts imports in 2023.
Higher trade costs could cause prices for Americans to go up because more than 80 % of US bananas are imported from Mexico.
Truck drivers at the Mexican border crossing in Otay Mesa reported to AFP that as they lined up to mix into the US on Tuesday night, they were now feeling the effects of the levies.
According to motorist Angel Cervantes, labor was drained because many businesses in the Mexican border town of Tijuana trade Chinese goods.
He continued,” Work is going down for the ( transport ) companies because the tariffs are also being applied to China.”