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USA imposes tariffs on goods from Canada, Mexico and China. How will countries respond?
Donald Trump is determined to make America great again. As of March 4, tariffs for China are being raised from 10% to 20%.
For goods imported to the United States from Canada and Mexico, they will be 25%. The decision will affect the products of both countries worth about 1.5 trillion dollars at an annual rate.
Trump noted that America has been taken advantage of for the past 40 years, so those who want to trade with the US should build factories in American territory, provide jobs for citizens and taxes for the treasury.
Donald Trump, President of the United States:
"The tariffs for Canada and Mexico will be 25%. They will have to impose their own tariff. But all they have to do is build their automobile plants and more in the United States, in which case they won't have any tariffs. Otherwise, if they built a plant in Taiwan to send products here, they're going to get tariffs of 25%, or 30%, or 50%, or whatever it is, at some point. The number will only go up. But by doing it here, they're not going to pay any duties. And I would just tell people in Canada or Mexico that if they're going to build automobile plants, it's much more profitable to build here because we have the market where they sell the most."
Canadian Prime Minister Trudeau has again promised that Ottawa will respond to the US tariffs. The politician called the White House decision "unreasonable", noting that the country is already in active negotiations with the provinces and territories to adopt a number of non-tariff measures in case the levies are not canceled. The Prime Minister of the Canadian province of Ontario said that "with a smile on his face" he would stop supplying energy resources to the United States and urged his colleagues to follow his example.
Doug Ford, Premier of Ontario (Canada):
"Well, we're going to have every opportunity; we're going to use every tool in our toolbox. If they want to try to annihilate Ontario, I will do everything, including cut off their energy with a smile on my face, and I encourage all other provinces to do the same. In Manitoba, British Columbia, we all need to act in unison, in the east they rely on our power, they need to feel empowered, and we're going to respond to them with redoubled vigor."
China expressed sharp dissatisfaction and strong protest against increase in tariffs. As a retaliatory measure, Beijing imposed extra tariffs of 10-15% on U.S. agricultural products. In addition, China included new 15 U.S. companies to its export control list.