Kuwait City: Canada and Mexico have announced that they will impose tariffs on American products in response to similar measures announced by US President Donald Trump against the two countries. Canadian Prime Minister Justin Trudeau stated on Saturday that Canada will impose a 25 percent tariff starting next Tuesday on USD 125 billion worth of US products, in response to Trump's actions.
According to Kuwait News Agency, Trudeau also mentioned that Canada is considering additional non-tariff measures related to energy purchases and other partnerships as part of its response, noting that Canada and Mexico are collaborating to counteract US tariffs. On the Mexican side, President Claudia Sheinbaum announced that her government would take tariff measures to defend its national interests, following Trump's executive order imposing new tariffs on Mexico, Canada, and China.
Sheinbaum rejected the White House's claims that her government was allied with organized crime and condemned Trump's 25 percent tariff on Mexico. She directed her economy minister to implement a "retaliatory" tariff plan against the US. Mexico, the US's largest trading partner, is also part of the North American Free Trade Agreement (NAFTA) alongside Canada.
Trump's executive order imposes a 25 percent tariff on imports from Mexico and Canada, excluding Canadian energy products, which will be subject to a 10 percent tariff to help ease cost increases. Additionally, a 10 percent tariff will be imposed on all imports from China, on top of existing tariffs. These new tariffs on the three leading trading partners of the US signal the likelihood of rising costs, disruption to supply chains, and job losses in the US market.