Beijing has also responded to the US decision to impose 10% tariff on China by imposing tariffs. China’s Commerce Ministry on Tuesday announced a 15% tariff on coal and LNG coming from the US and a 10% tariff on crude oil, agricultural machinery and cars with large engines. Earlier, Trump had signed the decision to impose tariffs on goods coming from China on February 1. This decision is coming into effect from today. According to a Bloomberg report, China has dragged the US to the WTO over the tariffs. This tariff war between the two countries has led to a fall in oil prices and the Chinese currency Yuan in the international market. US and European stock futures have also come down. Trump deferred the decision to impose tariffs on Canada and Mexico US President Donald Trump has deferred the decision to impose tariffs on Canada and Mexico for 30 days. Trump spoke to Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum on Monday regarding this. Trump later said that his conversation with Trudeau and Sheinbaum was good. Both the countries have agreed to secure the border with America. After this, Trump signed the executive order related to stopping tariffs on both the countries. In fact, Trump had decided to impose 25% tariff on Canada and Mexico and 10% tariff on China, which was to come into effect from today i.e. Tuesday. However, the order of 10 tariff on China is coming into effect from today. Canada-Mexico came face to face with America on tariff. Donald Trump had announced to impose tariff on Canada, Mexico and China after taking oath as President on 20 January. He had also signed the orders related to this on 1 February. After this decision of Trump, Canada also announced to impose 25% tariff on America on 2 February. This included the exports of 106 billion dollars from America. On the other hand, Mexico also talked about retaliatory action. Will invest in border security After Trump’s decision on Monday, Trudeau posted on X that in exchange for the ban on tariff, Canada will invest heavily in border security. Also, both the countries will jointly form Canada-US Joint Strike Force to deal with organized crime, fentanyl smuggling and money laundering. Apart from this, Canada will also appoint a Fentanyl Czar (officer to stop the smuggling of fentanyl). Cartels (groups) involved in smuggling will be included in the list of terrorist groups. Trudeau has also signed this order. Canada will spend 200 million dollars on this. Mexican President called Trump’s decision to postpone a victory. Mexican President Sheinbaum gave this information in a press briefing. When Sheinbaum reached to address the press brief, she was welcomed with applause. She asked the people present there if they had seen her social media post? Trump has agreed to postpone the tariff. She called the change in Trump’s decision a victory for Mexico. Sheinbaum asked America to curb the supply of weapons. Sheinbaum said that her conversation with Trump lasted for 35 to 40 minutes. During this, she complained about the supply of dangerous weapons supplied from America to Mexico. Sheinbaum said that these weapons have fallen into the hands of criminal groups, due to which their power has increased. Sheinbaum said that she wants the US to work to stop the supply of such weapons. Trump agreed to this. Sheinbaum said- Trump wants the trade deficit of America with Mexico to be reduced. I told him that it is not actually a deficit. We are commercial partners. On this, Trump said that it is necessary to impose tariff in order to continue competing with China and other countries. US’s Free Trade Agreement with Canada and Mexico It is worth noting that the US has a Free Trade Agreement with Canada and Mexico. Under this, there is no tariff on any kind of import-export between these countries. In his previous tenure, Trump had signed the North America Free Trade Agreement (NAFTA) with Mexico and Canada.
