The threat remained: US President Trump does not want to charge 50 percent tariffs. However, the import duties on steel and aluminum are said to be 25 percent as announced – they come into force at night.
In the trade conflict with Canada, US President Donald Trump has withdrawn his threat of a steel tariff of 50 percent after just a few hours. Presidential advisor Peter Navarro said that the import duties on aluminum and steel from Canada would be 25 percent as planned from Wednesday – and not twice. This is the result of discussions in the meantime with the Canadian side, said Navarro.
Ontario stops Power price increase
Previously, the Canadian province of Ontario had suspended the increase in electricity tariffs for three US states. This is done after “productive” talks with US trade minister Howard Lutnick, the head of government of Ontario, Doug Ford said.
For Thursday, talks with Lutnick and the US trade officer Jamieson Greer are scheduled for Thursday, which should be a renewal of the free trade agreement between the USA, Canada and Mexico, Ford continued. He had increased the tariffs for electricity deliveries to the three US states of Michigan, Minnesota and New York by 25 percent and thus reacted to Washington’s aggressive customs policy.
New prime minister wants to stick to tariffs for the USA
The designated Canadian prime minister Mark Carney said that he would stick to the new tariffs for the United States until the Americans showed respect and confess to free trade.
Carney, who was sworn in as the successor to Justin Trudeau in the coming days, said Trump’s recent tariffs were an attack on Canadian workers, families and companies. “My government will ensure that our answer has maximum effects in the USA and minimal effects here in Canada while we support the employees concerned,” he said.
Customs against numerous countries
The import duties on steel and aluminum of 25 percent came into force at night. Not only Canada, but also the European Union as well as Mexico, Brazil or the United Arab Emirates are affected. With Canada, one of the traditionally closest ally and most important trading partners in the United States, Trump has had a violent customs and trade dispute since taking office. The day before, he had threatened the northern neighbor with a 50 percent steel tariff and the destruction of his auto industry.
Politics der “Economic Force”
Trump relies on tariffs to force concessions and ultimately strengthen the US economy. At least in the short perspective, the tariffs also meet US companies and consumers, for example when the taxes make production in industries such as electronics or vehicle construction more expensive.
Trump had threatened Canada shortly before taking office with “economic violence” to put his plans into practice from a integration of the northern neighbor to US territory. The unprecedented threats against the sovereignty of the country ensured bright outrage among the Canadians and the formation of a united front against Trump’s takeover plans.
