![\"FILES-US-CANADA-MEXICO-CHINA-TRADE-TARIFFS<br>(FILES)](\"https:\/\/i.guim.co.uk\/img\/media\/743d865be687d51fca534f7e2d7303d6d919d926\/0_275_8256_4954\/master\/8256.jpg?width=460&quality=85&auto=format&fit=max&s=68ba17cef0b815c5bd06004cba3dc28f\")
<\/a><\/figure>\n\n\n\n\u201cMr Trump sometimes sounds as if the US shouldn\u2019t import anything at all, that America can be a perfectly closed economy making everything at home,\u201d the editorial continued. \u201cThis is called autarky, and it isn\u2019t the world we live in, or one that we should want to live in, as Mr Trump may soon find out.\u201d<\/p>\n\n\n\n
Trump reacted strongly to the outlet\u2019s editorial position, posting on Truth Social that \u201ca \u2018Tariff Lobby\u2019, headed by the Globalist, and always wrong, Wall Street Journal, is working hard to justify Countries like Canada, Mexico, China, and too many others to name, continue the decades long RIPOFF OF AMERICA, both with regard to TRADE, CRIME, AND POISONOUS DRUGS that are allowed to so freely flow into AMERICA.<\/p>\n\n\n\n
\u201cTHOSE DAYS ARE OVER!\u201d, Trump continues in the screed. \u201cThe USA has major deficits with Canada,\u00a0Mexico, and China (and almost all countries!), owes 36 Trillion Dollars, and we\u2019re not going to be the \u201cStupid Country\u201d any longer.\u201d<\/p>\n\n\n\n
Larry Summers, treasury secretary under Bill Clinton, called the impending tariffs \u201ca self-inflicted supply shock. Kirsten Hillman, Canada\u2019s ambassador to the US, told ABC\u2019s This Week that Trump\u2019s tariff move \u201cis disrupting to an incredibly successful trading relationship.<\/p>\n\n\n\n \u201cWe\u2019re really disappointed and we\u2019re hopeful that they don\u2019t come into effect on Tuesday,\u201d Hillman added. \u201cWe\u2019re ready to continue to talk to the\u00a0Trump administration\u00a0about that.\u201d<\/p>\n\n\n\n Hillman said Canada was eager to build on its trading relationship with the US but acknowledged \u201cit\u2019s hard to maintain that sense of common purpose and moving forward if we get into this kind of a dynamic on tariffs\u201d.<\/p>\n\n\n\n The Mexican president, Claudia Sheinbaum, ordered retaliatory tariffs in response to the US decision to slap tariffs on all goods coming from Mexico, saying her government sought dialogue rather than confrontation with its trade partner to the north.<\/p>\n\n\n\n Sheinbaum pointed to her government\u2019s action against fentanyl production in Mexico since she took office in October, saying it had seized 20m doses of the synthetic opioid and detained 10,000 individuals tied to drug trafficking.<\/p>\n\n\n\n Mexico has ordered retaliatory tariffs and Canada\u2019s prime minister said the country would put matching 25% tariffs on up to $155bn in US imports. China\u2019s Ministry of Commerce said it would file a lawsuit with the World Trade Organization for the \u201cwrongful practices of the US\u201d.<\/p>\n\n\n\n But some US business leaders have reacted neutrally to Trump\u2019s tariffs that the Budget Lab at Yale University estimates would cost the average American household $1,000 to $1,200 in annual purchasing power.<\/p>\n\n\n\n Gregory Daco, chief economist at the tax and consulting firm EY, calculates the tariffs would increase inflation, currently running at 2.9%, by 0.4% and cut US GDP by 1.5% this year.<\/p>\n\n\n\n Jamie Dimon, CEO of JP Morgan, the world\u2019s largest bank, said at the World Economic Forum in Davos, Switzerland, last week that tariff threats can be used effectively to \u201cbring people to the table\u201d to negotiate more favorable trade terms.<\/p>\n\n\n\n Tariffs are \u201can economic tool\u201d or \u201can economic weapon\u201d, depending on how they\u2019re used, Dimon remarked to CNBC. \u201cI would put in perspective: if it\u2019s a little inflationary, but it\u2019s good for national security, so be it. I mean, get over it.\u201d<\/p>\n\n\n\n William Reinsch, a former US trade official now at the Center for Strategic and International Studies, said many companies had stocked up on imported goods ahead of time to avoid the tariffs and would be able to draw on existing inventories.<\/p>\n\n\n\n That may be an effective strategy for non-perishable goods, like construction materials, but less so for perishable goods that are not afforded the ability to stockpile. \u201cYou don\u2019t stockpile avocados,\u2019\u2019 Reinsch said. \u201cYou don\u2019t stockpile cut flowers. You don\u2019t stockpile bananas.\u2019\u2019<\/p>\n\n\n\n The US Chamber of Commerce business group warned that the tariff policy was wrong-headed and would cause economic harm to Americans.<\/p>\n\n\n\n The group\u2019s senior vice-president John Murphy said: \u201cThe President is right to focus on major problems like our broken border and the scourge of fentanyl, but the imposition of tariffs under IEEPA is unprecedented, won\u2019t solve these problems, and will only raise prices for American families and upend supply chains.\u201d<\/p>\n\n\n\n He added: \u201cThe Chamber will consult with our members, including main street businesses across the country impacted by this move, to determine next steps to prevent economic harm to Americans.\u201d<\/p>\n\n\n\n Democratic politicians were not impressed. \u201cDonald Trump got hired \u2026 saying he was going to lower grocery prices. Two weeks in, he\u2019s doing something that\u2019s going to do the opposite,\u201d senator Mark Warner told CBS\u2019s Face the Nation.<\/p>\n\n\n\n The Minnesota senator Amy Klobuchar summed up her thoughts on the early days on the second Trump administration on MSNBC: \u201cChaos up, corruption up, and, sadly, prices of eggs up \u2026 This is not what American economy needs right now \u2026 He is not using a chisel, he is using a sledgehammer.\u201d<\/p>\n\n\n\n This story was amended on 2 February 2025 to clarify that Canada\u2019s oil and energy products would be under a 10% tariff.<\/p>\n\n\n\n source:Theguardian <\/p>\n","protected":false},"excerpt":{"rendered":" US business leaders are offering a mixed reaction to the steep trade tariffs that Donald Trump\u2019s administration has imposed on Canada, Mexico and China, as the editorial board of\u00a0the Wall Street Journal\u00a0called it \u201cthe dumbest trade war in history\u201d. Donald Trump hit Canada and Mexico with a 25% tariff on imports, and China with 10%, […]<\/p>\n","protected":false},"author":8,"featured_media":45124,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_post_source_name":"","_post_source_url":"","footnotes":""},"categories":[61,56],"tags":[3119,183,7358,11941,3195,9204,5249,1953,6369,11555,11287,12679,4024,1384,5262,9379,913,9387,9309,11273,6144,5196,6508,5494,1088,6738,9127,9018,1237,6032,2264,10321,12138,12773,6546,10954,8246,10454,3797,1510,989,7693,7964,5441,96,8386,11698,3805,12103,10390,3174,5655,12778,6082,5444,5349,11325,5348,9031,12244,1502,10329,13307,9313,13182,11753,146,214,6348,10829,9064,5251,13067,36,1012,10246],"class_list":["post-45123","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-features","tag-amy-klobuchar","tag-assault","tag-bank","tag-bill","tag-bill-clinton","tag-border","tag-budget","tag-canada","tag-chaos","tag-citizens","tag-claudia-sheinbaum","tag-clinton","tag-common","tag-corruption","tag-cut","tag-davos","tag-democratic","tag-detained","tag-dollars","tag-drug","tag-drugs","tag-economy","tag-eggs","tag-energy","tag-ey","tag-families","tag-february","tag-fentanyl","tag-gdp","tag-goods","tag-government","tag-illegal","tag-import","tag-increase","tag-inflation","tag-international","tag-jp-morgan","tag-killing","tag-mexican","tag-mexico","tag-minnesota","tag-national-security","tag-north","tag-oil","tag-china","tag-platform","tag-politicians","tag-president","tag-price","tag-prices","tag-prime-minister","tag-security","tag-seized","tag-senator","tag-slap","tag-social-media","tag-street","tag-switzerland","tag-tariff","tag-tariffs","tag-tax","tag-trade","tag-trading","tag-trafficking","tag-trump-administration","tag-trump-tariffs","tag-truth","tag-university","tag-us","tag-wall-street","tag-wall-street-journal","tag-war","tag-wars","tag-world","tag-world-economic-forum","tag-yale-university"],"blocksy_meta":[],"_links":{"self":[{"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/posts\/45123","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/comments?post=45123"}],"version-history":[{"count":1,"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/posts\/45123\/revisions"}],"predecessor-version":[{"id":45125,"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/posts\/45123\/revisions\/45125"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/media\/45124"}],"wp:attachment":[{"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/media?parent=45123"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/categories?post=45123"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nsemgh.com\/api-json\/wp\/v2\/tags?post=45123"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
<\/strong>\u201cIt means less supply because we\u2019re taxing foreign suppliers. And that will mean higher prices and lower quantities,\u201d Summers told CNN. \u201cThis is a self-inflicted wound to the American economy. I\u2019d expect inflation over the next three or four months to be higher as a consequence, because the price level has to go up when you put a levy on goods that people are buying.\u201d<\/p>\n\n\n\n