Brian Platt, Derek Decloet, and Laura Dhillon Kane of Bloomberg report that Trump would impose 25% tariffs on Candana and Mexico if they don’t curb the flow of fentanyl and migrants. They write:
Canadian Finance Minister Chrystia Freeland was wrapping up a meeting of a special cabinet group on US relations on Monday evening in Ottawa when a fresh crisis emerged: Donald Trump made a tariff threat on social media.
Soon after, Justin Trudeau was on the phone with Trump. The Canadian dollar was sinking — it hit a four-year low — in response to Trump’s post that he would impose 25% tariffs on all goods coming from Canada and Mexico unless those countries curb the flow of fentanyl and migrants into the US.
The prime minister was trying to assure the president-elect he’d heard the message. […]
William Pellerin, an international trade lawyer and partner at McMillan LLP in Ottawa, said he was stunned by Trump’s announcement on Monday night. But while he interprets the threat as real, it’s also one that can be resolved through improved border security.
“I think that’s what Trump has always done quite well, is impose the tariff and have everyone come hat in hand begging for their exclusion from the tariff,” Pellerin said. “Absolutely, there should be a way here to give Trump a win, save face, and not have that 25% tariff apply.”
Read more here.
