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Trump’s 25 Percent Tariff Threat Shakes Canada and Mexico

In what can only be described as a whirlwind of cross-border tension, President-elect Donald Trump reminded everyone that he means business when it comes to trade. Monday night saw Trump declaring his intention to slap a hefty 25% tariff on imports from Canada and Mexico right off the bat as he takes office. The news sent Canadian Prime Minister Justin Trudeau scrambling to the phone, presumably wondering if the call could potentially involve a request for maple syrup negotiations.

Trump’s sharp words regarding the tariffs promise to be one of his first executive actions, showcasing his classic approach to border security. As he put it on Truth Social, the tariffs would stay in place until the southern border is secure and the flow of dangerous fentanyl levels off. It’s almost as if he’s telling these countries, “You can have your trade deals, but first, how about addressing that little issue of illegal drugs pouring into the U.S.?”

On Tuesday, Trudeau acknowledged he had a “good call” with Trump. One can imagine the conversation was a polite tug-of-war over who really has the tighter grip on economic realities. Trudeau painted a rosy picture of cooperation, perhaps hoping to deflect Trump’s wrath—and maintain his own standing as a national leader in the process. However, whether that call changed anything remains to be seen.

Meanwhile, Mexican President Claudia Sheinbaum was quick to jump into the fray, vehemently asserting that caravans of migrants are a thing of the past thanks to Mexico’s stellar efforts. It’s a great PR move, but does anyone truly believe that neighboring Central American countries—and their people desperate for a better life—will just pack up and head home because a tariff was threatened? Sheinbaum also took the opportunity to lecture the U.S. on spending priorities, suggesting reallocating war funds to development might address the root causes of migration. Perhaps she doesn’t grasp that many in the U.S. would prefer to see hard work—rather than handouts—address these issues.

The ramifications of Trump’s impending tariffs do not sit lightly with our neighbors to the north and south. Sheinbaum pointedly warned that retaliatory tariffs could quickly spiral out of control, with U.S. automakers potentially caught in a vicious crossfire. In the world of international trade, it’s uncertain how far Canada and Mexico are willing to push back against a powerhouse like the United States, but they’re certainly signaling that they’re not keen on being pushed around.

Among the responses to Trump’s bold moves, conservative voices like Congressman-elect Abe Hamadeh declared that a rapid reaction from the Canadian and Mexican leaders indicates a realization that their security cooperation relies heavily on U.S. action. Hamadeh suggested that Mexico is likely to shore up southern border fixes, a realization perhaps ignited by the reality of impending tariffs. It seems that even the leaders north and south of the United States can feel the distinct weight of American leverage in trade conversations, nudging them to act before January 20.

Written by Staff Reports

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