Gambiaj.com – (WASHINGTON, DC) – President Donald Trump announced Friday that the United States will impose 25% tariffs on imports from Canada and Mexico and 10% tariffs on Chinese goods, effective Saturday. The move, aimed at curbing illegal immigration and reducing the flow of fentanyl-related chemicals, could trigger swift price increases for U.S. consumers and provoke retaliatory measures from affected countries.

“Starting tomorrow, those tariffs will be in place,” White House press secretary Karoline Leavitt confirmed. Trump, speaking in the Oval Office, emphasized that there was nothing the three nations could do to prevent the tariffs from taking effect.

The decision comes just two weeks into Trump’s second term and carries significant economic and political risks. While Trump campaigned on controlling inflation, the new tariffs threaten to increase costs across key industries, including energy, automotive, and agriculture.

Backlash and Economic Uncertainty

Democratic Senate Leader Chuck Schumer criticized the move, arguing that it penalizes allies while overlooking China’s trade practices. “If these tariffs go into full effect, they will raise prices for everything from groceries to gas, making it even harder for middle-class families to just get by,” Schumer warned.

Trump hinted at a possible exemption or reduced tariff for Canadian and Mexican oil imports but did not confirm specifics. The U.S. imported nearly 4.6 million barrels of oil daily from Canada and 563,000 barrels from Mexico in October, making any tariff impact significant.

Trade experts expect strong retaliation. Wendy Cutler, a former U.S. trade negotiator, noted that China previously targeted Trump’s voter base with retaliatory tariffs on U.S. agricultural exports. Kurt Tong, a former U.S. consul general in Hong Kong, predicted “measurable and significant” countermeasures from Beijing, which could further strain U.S.-China relations.

Canada, Mexico, and China Prepare to Respond

Canadian Prime Minister Justin Trudeau signaled that Canada is prepared to retaliate if Trump proceeds with the tariffs. “We’re ready with a purposeful, forceful, but reasonable response,” Trudeau said, warning that the tariffs could endanger U.S. jobs and fuel inflation.

Mexican President Claudia Sheinbaum stated that her government has multiple contingency plans in place. “Now it is very important that the Mexican people know that we are always going to defend our dignity and sovereignty,” she declared.

China urged dialogue over confrontation, with embassy spokesman Liu Pengyu warning that trade wars harm both nations. “There is no winner in a tariff war,” Liu said, emphasizing that the U.S. and China share common economic interests.

A Risky Gamble

Trump has suggested that additional tariffs are forthcoming, specifically on semiconductors, copper, and the European Union. While he claims tariffs will boost domestic manufacturing and federal revenues, economic studies suggest otherwise.

A report from the Peterson Institute for International Economics found that a 25% tariff on Canada and Mexico would harm all economies involved, including the U.S. The study also warned that Mexico’s economic decline from the tariffs could increase illegal immigration—counteracting Trump’s stated objective.

Cutler noted that the extent of economic damage depends on how long the tariffs remain in effect. “If they are in place for weeks or months, we’ll see supply chain disruptions, higher costs for U.S. manufacturers, and ultimately, inflationary pressures on American consumers,” she said.

Following the announcement, the stock market reacted negatively, with the S&P 500 erasing its gains for the day. Investors remain wary of the potential fallout, as global markets brace for a new round of trade disputes under Trump’s leadership.