Washington, 11 July (IANS). US President Donald Trump has announced that 35 percent tariffs will be imposed on all imports from Canada from August 1. He described it as a result of the failure to reduce the supply of Fantanil drug from Canada.
In a letter to Canada’s Prime Minister Mark Carney, Trump said that if Canada retaliates, the tariff may increase further. He has also shared the letter on his social media platform.
However, keeping the scope of conversation, he said that if Canada helps Phantanil to stop smuggling, we might consider a change in this letter. He further said that tariffs can be increased or reduced on the basis of relationships between the two countries.
The President’s remarks have come despite evidence that shows that most of the smuggled Fantanils in the United States enters the northern border with Canada, but from the southern border with Mexico.
Trump has imposed new tariffs on many countries, increasing the scope of trade war in recent times. Apart from Canada, Trump has recently imposed new tariffs on Japan and South Korea. Along with this, 50 percent tariff has been announced on imported copper.
In an interview with NBC News on Thursday, Trump indicated that soon other countries may also face widespread tariffs ranging from 15 to 20 percent.
The US had earlier imposed 25 percent tariff on several Canadian goods, although several items were exempted under the terms of the 2020 United States-Mexico-Canada Agreement (USMCA). It is not yet clear whether these discounts will be applicable if the new tariff is implemented.
No comments have been made by Prime Minister Carney at the moment.
-IANS
PSK/KR
