Global officials and economists are sounding the alarm as U.S. President Donald Trump’s recent tariffs on key trade partners are expected to drive up costs for American consumers and strain international relations.
Mexico Condemns U.S. Tariffs
Mexico’s Economy Minister Marcelo Ebrard took to social media platform X to denounce the 25 percent tariffs imposed on Mexican goods, calling it a “flagrant violation” of the United States-Mexico-Canada Agreement (USMCA). He cautioned that the move could ultimately harm U.S. economic interests.
Ricardo Monreal, a Mexican lawmaker, labeled the tariffs as “absurd, illegal, and an abuse of power,” describing them as one of the most severe economic attacks since Mexico’s independence. He emphasized that Mexico cannot accept a unilateral decision that damages its economy and infringes on its sovereignty.
Ignacio Martinez, an international affairs expert at the National Autonomous University of Mexico, warned that the tariffs would hit Mexico’s manufacturing and export-driven regions hardest, particularly in central and northern areas. He also noted that the southern region could face economic hardship due to a potential drop in remittances from migrants in the U.S.
Canada Retaliates with Counter-Tariffs
Canadian Prime Minister Justin Trudeau announced a retaliatory 25 percent tariff on U.S. goods worth 155 billion Canadian dollars (approximately $105.3 billion USD). An article from the Public Policy Forum (PPF) highlighted that these tariffs, ultimately paid by importers and passed on to consumers, mean there are “no winners in a trade war—everyone pays and hurts.”
PPF economist Trevor Tombe estimated that a trade war could result in a 4.1 percent increase in consumer prices in Canada, putting additional financial strain on households.
China Vows to Take Countermeasures
In response to additional U.S. tariffs on Chinese goods, China’s Ministry of Commerce announced plans to file a lawsuit with the World Trade Organization and implement corresponding countermeasures to protect its rights and interests. The ministry expressed hope that the U.S. would address issues objectively and rationally, urging both countries to work towards a mutual understanding.
Think Tanks Warn of Self-Inflicted Economic Harm
The Atlantic Council, an American think tank, noted that U.S. refineries may face higher prices for crude oil imports from Canada and Mexico due to the tariffs. Additionally, a Tax Foundation analysis revealed that the tariffs could shrink the U.S. economy by 0.4 percent, effectively amounting to an average tax increase of $830 per American household by 2025.
