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Trade War Looms as Trump Introduces 10% Tariff on Chinese Goods

Trump plans 10% tariff on Chinese imports, citing fentanyl crisis; analysts warn of potential trade war risks. [Image via The Nation]

US President Donald Trump has announced his plan to impose a 10% tariff on Chinese imports starting on Feb. 1, a move some analysts fear could set off a trade war.

The tariff threat follows Trump’s announcement on Monday that he intends to impose a 25% duty on imports from Canada and Mexico in response to the flow of fentanyl and illegal immigrants into the US, according to local media reports.

At the White House, Trump said Tuesday the 10% tariff impositions are in response to Chinese role in the fentanyl crisis, alleging that fentanyl was being shipped from China through Canada and Mexico into the United States.

“We’re talking about a tariff of 10% on China based on the fact that they’re sending fentanyl to Mexico and Canada,” Trump said.

Trump’s plan to impose tariffs on China, Canada, and Mexico could lead to economic fallout for US industries and a trade war, according to analysts.

Also See: Trump Tariffs and BRICS: A Looming Trade Standoff

In his first term, Trump secured a new trade deal with Canada and Mexico, the United States-Mexico-Canada Agreement, and reached a limited pact with China to benefit American farmers, according to The New York Times.

He has since indicated plans to renegotiate both agreements during his second term.

Reacting to Trump’s plan, Chinese Foreign Ministry spokesperson Mao Ning said Beijing will safeguard its national interests.

“There are no winners in trade war or tariff war, and China will resolutely safeguard its national interests,” The Global Times quoted Mao as saying.

This news is sourced from The Nation and is intended for informational purposes only.

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