Overview

• President Trump plans to impose 25% tariffs on imports from Canada and Mexico, and 10% on goods from China, citing trade deficits and border control issues.
• The tariffs are intended to pressure Canada and Mexico to curb fentanyl trafficking and illegal immigration into the U.S.
• Experts warn the tariffs could increase consumer prices in the U.S., potentially raising inflation by 3-4%, while disrupting key industries like energy, lumber, and seafood.
• Canada and Mexico have prepared retaliatory measures, including targeted tariffs on U.S. exports, raising fears of a trade war.
• Uncertainty surrounds the scope and timing of the tariffs, with potential exemptions for certain goods like oil still under consideration.