2024-11-26 04:28:00
Time.news – The President-elect of the United States, Donald Trumphe announced that he will inflict 25% duties on all goods from Mexico and Canada if these two countries do not stop the influx of migrants and Fentanyl in US territory and will increase those already in force against Beijing by 10% if the production in China of the synthetic drug which has become a serious social emergency in America is not combated. The spokesperson for the Chinese embassy in the US warned, in a statement to France Presse, that “no one will win a trade war”.
“Drugs and migrants at unprecedented levels”
“As everyone knows, thousands of people are pouring in from Mexico and Canada, driving crime and drugs to never-before-seen levels,” Trump writes on his Truth social network, “on January 20, among my many first executive orders, I will sign everyone the documents needed to impose a 25% tariff on ALL products entering the United States and its ridiculous open borders on Mexico and Canada. This tariff will remain in place as long as drugs, especially Fentanyl, and all illegal migrants they won’t stop this invasion of our country!”.
“I have had many conversations with China regarding the massive quantities of drugs, particularly Fentanyl, being sent to the United States – but to no avail,” the president-elect said, “China’s representatives told me they would institute the maximum punishment , that capital, for any drug dealers caught doing this but, unfortunately, they never acted, and drugs are pouring into our country, especially through Mexico, at levels never seen before.”
“Until they stop, we will charge China an additional 10% tariff on all of its many products coming into the United States of America,” the president-elect adds. “China believes that economic relations and trade cooperation between China and the US are mutually beneficial in nature,” he replied Liu Pengyuspokesperson for Beijing’s diplomatic headquarters in Washington.
Ottawa reminds us that it is “essential” for energy supplies
The Government of Canada recalled, for its part, that it is “essential for American energy supplies”. “Our relationships are balanced and mutually beneficial, especially for American workers,” Canadian Deputy Prime Minister Chrystia Freeland added in a statement, specifying that Ottawa “will continue discussions on these issues with the new” administration.
The reaction of the markets
On the foreign exchange market the dollar reacted with a sharp rise to Trump’s announcement. At three in the morning in Italy, the greenback advanced by 2% against the Mexican peso to 20.679 and rose by 0.3% against the yuan. The US currency was up 0.14% at 154.43 yen. The euro fell 0.5% to $1.0444.
Among them Asian squaresat mid-session Tokyo continued to decline and lost 1.27%. Chinese stock markets rose moderately: Shanghai recorded +0.43%, Hong Kong +0.52%, Shenzhen +0.07%. Seoul lost 0.43%. Oil made slight progress: light crude gained 0.22 cents to 69.16 dollars a barrel, Brent rose by 0.23 cents to 73.24 dollars a barrel.
How might President-elect Trump’s proposed tariffs impact the U.S. economy in the long run?
Interview between Time.news Editor and Trade and Immigration Expert Dr. Sarah Mitchell
Time.news Editor (TNE): Welcome, Dr. Sarah Mitchell. We appreciate you taking the time to discuss the recent announcements made by President-elect Donald Trump regarding tariffs on goods from Mexico, Canada, and China. Let’s dive right into the topic. What are your initial thoughts on Trump’s proposed 25% tariff on goods from Mexico and Canada?
Dr. Sarah Mitchell (DSM): Thank you for having me. Trump’s announcement is certainly provocative and highlights a growing concern about immigration and drug trafficking, especially regarding fentanyl. The proposed tariffs could lead to significant economic repercussions, not just for these countries but for American consumers as well. A 25% tariff could increase the price of everyday goods, making life more expensive for average Americans.
TNE: That’s an interesting point. Trump mentioned that these tariffs would remain in place until “drugs, especially fentanyl, and all illegal migrants” are addressed. How realistic do you think it is for tariffs to impact these issues?
DSM: It’s a complex situation. Tariffs are primarily economic tools, and while they might pressure foreign governments to alter their policies, they don’t directly address social issues like drug trafficking or migration. The root causes of these problems, such as economic hardship and violence in Central America, need to be addressed through diplomatic and comprehensive social policies, not just economic sanctions.
TNE: You mentioned the need for comprehensive policies. How might an approach focused solely on tariffs overlook essential factors contributing to the influx of migrants and drugs?
DSM: Exactly. Focusing solely on tariffs ignores the broader picture. Many migrants are fleeing dire conditions; without addressing those underlying issues—like poverty, corruption, and instability in their home countries—tariffs may only push the problem further without offering real solutions. Similarly, drug trafficking is not solely an import issue but rather a public health crisis that requires international cooperation, regulation, and education.
TNE: In light of these proposed tariffs, how do you see U.S.-China relations evolving, especially given that Trump plans to increase tariffs on Chinese goods by an additional 10% as a response to fentanyl exports?
DSM: The relations between the U.S. and China are already strained, and increasing tariffs could exacerbate tensions. While it’s true that China has been a source of synthetic opioids, dialog and cooperation are essential for tackling this global health crisis. A trade war won’t resolve the issue of drug exports; rather, it could hinder potential collaboration on crucial matters like public health and safety.
TNE: You noted the importance of dialog. Given that a spokesperson from the Chinese embassy warned that “no one will win a trade war,” what avenues do you think could promote more effective communication between the U.S. and these countries?
DSM: Effective communication would involve engaging in constructive dialogues that prioritize shared goals, such as public health and economic stability. Diplomatic channels should be used to foster collaboration on border security, drug regulation, and addressing the socio-economic factors driving migration. This would include involving various stakeholders, including health professionals and economic experts, in discussions about drug trafficking and public policy.
TNE: As we look toward the policy landscape in 2024, what do you think the American public should consider regarding these tariffs and the broader context of immigration and drug policy?
DSM: The public should critically evaluate the implications of such policies, weighing the potential short-term economic benefits against long-term social and economic costs. Understanding the complexities of immigration and drug policy is crucial. Advocating for comprehensive reforms that address root causes while ensuring secure borders and public health will be key in developing a sustainable strategy.
TNE: Thank you, Dr. Mitchell, for sharing your insights on this pressing issue. It’s clear that the intersections of trade, immigration, and drug policy require careful consideration and thoughtful solutions.
DSM: Thank you for having me. It’s been a pleasure discussing these important topics.