Washington (AFP) – From tariffs to counter “unfair trade” to duties over illegal immigration and fentanyl smuggling, President Donald Trump has unleashed a volley of threats since taking office, sparking fears of widening trade tensions. Since January, Trump has unveiled and suspended levies on Canada and Mexico, and imposed additional tariffs on China that he plans to ramp up further.
What are Trump’s plans, and where do we stand?
– Feb 4: China tariffs take effect – On February 1, Washington unveiled a 25 percent tariff on Canada and Mexico imports, with a lower rate on Canadian energy resources. Chinese goods faced an additional 10 percent duty. Hours before those levies were due to take effect on February 4, Trump agreed to pause the tariffs on Canada and Mexico for a month. But the Chinese duties took effect, prompting Beijing’s retaliation.
– March 4: Canada, Mexico, China – Trump’s month-long pause expires March 4, and he affirmed Thursday that the proposed tariffs on Canada and Mexico would “go into effect, as scheduled.” On top of that, he said China would be charged an additional 10 percent tariff on this day. He cited a lack of progress on the flow of drugs like fentanyl into the United States. China has pushed back on its alleged role in the deadly fentanyl supply chain, saying Beijing has cooperated with Washington and arguing that tariffs would not solve the drug problem.
– March 12: Steel and aluminum – In February, Trump signed orders to impose 25 percent tariffs on US steel and aluminum imports from March 12, ramping up a long-promised trade war. The justification was to protect US steel and aluminum industries, on grounds that they have been “harmed by unfair trade practices and global excess capacity.” The European Union has vowed to retaliate with firm and proportionate countermeasures.
– April 1: Trade policy updates – On the day of his inauguration, Trump released a presidential memo titled “America First Trade Policy,” calling for government agencies to study various trade issues. Most of these reports are due by April 1. They include an investigation on US trade deficits in goods and whether measures like a global supplemental tariff would be an appropriate remedy.
– April 2: Reciprocal tariffs – Trump has also inked plans for sweeping “reciprocal tariffs” that could hit both allies and adversaries. He said Thursday on social media that an April 2 reciprocal tariff date “will remain in full force and effect.” The levies would be tailored to each US trading partner and consider the tariffs they impose on American goods, alongside taxes seen as discriminatory, such as value-added taxes, according to the White House.
– April 2: Autos? – Trump has said that tariffs on automobiles, semiconductors, pharmaceuticals, and lumber are upcoming, with a rate of around 25 percent. He added that an announcement could come as early as April 2. Trump has also said this week that tariffs on EU products would be 25 percent, adding that the bloc has “taken advantage of us.”
© 2024 AFP
