Trade tensions escalate as U.S. faces retaliatory tariffs from China, Canada
China and Canada are cracking down on U.S. exports.
CNN– The ongoing trade dispute between the U.S. and its partners intensifies as American farmers face new retaliatory tariffs, starting today. Some of America’s largest trade partners, including China and Canada, are cracking down on U.S. exports.
In a move expected to hit U.S. agricultural producers hard, China has imposed an additional 15% tariff on key American exports, including chicken, wheat, corn, and cotton. Other products, such as beef and soybeans, are facing a 10% tariff. The tariffs, a response to trade policies from the Trump administration, come as American farmers are voicing concerns over the long-term impact on their ability to sell goods abroad. Farmer Stan Lundell expressed his worries about the escalating trade tensions, saying, “Everything we produce far exceeds what the domestic market could handle.”
The trade dispute is also creating ripples in Canada. Mark Carney, the newly elected leader of Canada’s Liberal Party, reaffirmed Canada’s position on retaliating against U.S. tariffs. “My government will keep our tariffs on until the Americans show us respect,” Carney declared, signaling a continued stalemate in trade relations.
President Donald Trump is doubling down on his aggressive trade policies. Speaking about tariffs on Canadian and Mexican goods, Trump warned that the rates set for April 2nd “could go up.” Meanwhile, Commerce Secretary Howard Lutnick confirmed that the 25% tariffs on steel and aluminum imports would take effect Wednesday, escalating tensions even further. Economists caution that such tariffs could be inflationary, causing prices to rise across various sectors. Lutnick acknowledged that some prices might indeed increase in the U.S., but Trump insists that any potential pain would be short-term.
When asked whether he expected a recession this year, Trump remained cautious, responding, “I hate to predict things like that. There is a period of transition because what we’re doing is very big. We’re bringing wealth back to America.”
