“Trump is demanding payment as negotiations on tariffs intensify!”
WASHINGTON — President Donald Trump announced his plans to engage in discussions with leaders from Canada and Mexico on Monday, just a day before the 25% tariffs he put into effect on the top two trading partners of the United States are scheduled to come into force.
Shortly after Trump’s directive on Saturday, Prime Minister Justin Trudeau of Canada swiftly responded with reciprocal 25% tariffs on American products. President Claudia Sheinbaum of Mexico also indicated that she was contemplating the implementation of both tariff and non-tariff measures to safeguard Mexico’s interests.
“I will be speaking with Prime Minister Trudeau tomorrow morning and also with Mexico tomorrow morning,” Trump mentioned on Sunday upon his arrival at Joint Base Andrews in Maryland, following his return from his residence in Florida. “They are indebted to us, and I am confident that they will fulfill their obligations.”
Trump has justified the imposition of tariffs as a means to compel these nations to halt the illegal flow of migrants and fentanyl across their borders into the United States. Tariffs have become a pivotal element of Trump’s economic policy, utilized to boost tax revenue and safeguard employment opportunities while also serving as leverage in negotiations with various nations.
Trump also emphasized the necessity for these countries to rectify their trade imbalances. According to the Office of the U.S. Trade Representative, the trade deficit in goods between the United States and Canada amounted to $80.1 billion in 2022, marking a 68% surge from the previous year. Meanwhile, the trade deficit with Mexico soared to $131.1 billion in 2022, representing a 24% increase compared to 2021.
A slightly lower tariff rate of 10% was established for Canadian energy products, including natural gas and oil. Additionally, Trump has imposed 10% tariffs on goods originating from China, effective next Tuesday.
During a press briefing on Saturday, Trudeau indicated that he had not engaged in discussions with Trump since the inauguration. Trump acknowledged that Americans might experience some “short-term pain” due to the escalating trade dispute. Nonetheless, he articulated his determination to rectify what he perceived as unfair trade practices that have disadvantaged the United States in its dealings with nearly every country in the world.
“We are committed to effecting change,” Trump affirmed. “The current situation is unjust.”
Swapna Venugopal Ramaswamy, a White House Correspondent for USA TODAY, contributed to this article. For more updates, you can follow her on Twitter @SwapnaVenugopal. This piece was originally published on USA TODAY: Trump to engage in tariff discussions with leaders of Canada and Mexico on Monday.
