Image Source : PTI US President Donald Trump vowed to impose taxes on India, China and Brazil.
President Donald Trump has imposed stiff tariffs on imports from Mexico, Canada and China. The move has pushed the United States – the world’s largest economy – into a trade war with neighbours. While China has not responded, Canada and Mexico have vowed retaliatory tariffs.
Canadian Prime Minister Justin Trudeau has already stated that his government will impose 25 per cent tariffs on American goods. He even urged people to purchase local products and consider spending vacations in the country, according to the Canada-based media channel, Cable Public Affairs Channel (CPAC).
Trudeau stressed that Canada’s response will be “far-reaching” and will include everyday items like American beer, wine, bourbon fruits and fruit juices.
Mexican President Claudia Sheinbaum has also ordered retaliatory tariffs.
“We categorically reject the White House’s slander that the Mexican government has alliances with criminal organisations, as well as any intention of meddling in our territory,” Mexican President Claudia Sheinbaum wrote in a post on X. Sheinbaum said that she had instructed her economy secretary to implement a response that includes retaliatory tariffs and other measures in defence of Mexico’s interests.
Tariff imposed by Donald Trump
Trump declared an economic emergency in order to place duties of 10 per cent on all imports from China and 25% on imports from Mexico and Canada. Energy imported from Canada, including oil, natural gas and electricity, would be taxed at a 10 per cent rate.
Will US impose tariffs on India?
Soon after being sworn in as the President for a second term, Trump mentioned India along with China and Brazil. He vowed to put tariffs on “outside countries and outside people that really mean harm to us.”
However, he has not announced any tariff on India yet. Experts feel that India exports fish along with pharmaceuticals, gems and jewellery to America and they can be easy targets for Donald Trump.
Currently, India’s trade surplus with America is around $33.8 billion. In the year 2021, India’s bilateral trade surplus with America increased steadily.
Meanwhile, India has already indicated that it wants to improve relations with America. India has also started reducing tariffs on American goods. In such a situation, Trump is expected to assess the situation before taking any decision soon
