Kani: Disappointed with the 35% tariff increase on Canada, White House: Inadequate efforts to combat fentanyl smuggling
On Thursday night, the White House stated that President Trump signed an executive order to raise tariffs on all Canadian goods not covered by the "United States-Mexico-Canada Agreement" (USMCA) from 25% to 35%, one reason being the belief that Canada has failed to prevent fentanyl smuggling. According to AFP, Canadian Prime Minister Kani expressed disappointment with the U.S. raising the tariff rate on Canadian goods to 35%. Many sectors of the Canadian economy, such as timber, steel, aluminum, and automobiles, will be significantly affected by the U.S. tariffs and trade barriers.
According to Reuters citing information released by the White House, goods transshipped to other countries to avoid the new tariffs will be subject to an additional 40% transshipment tariff.
This move is the latest step in a months-long tariff war launched by Trump, with Washington citing reasons including Canada's failure to effectively stop fentanyl (fentanyl) smuggling.
The White House condemned Canada for "continuing inaction and retaliation," and President Trump believed it was necessary to increase tariffs. Previously, Trump revealed that Canadian Prime Minister Kani had attempted to contact him before the August 1 tariff deadline, but no dialogue ultimately took place between the two sides.
Trump previously emphasized that if a country did not reach an agreement with the U.S. before August 1, its goods would face higher tariffs.
The Kani office did not immediately respond to requests for comment.
Ottawa officials have repeatedly pointed out that the proportion of fentanyl coming from Canada into the United States is very low, and Canada has taken measures to strengthen border controls.
Trump said that although he loves Canada, Canada has been "very bad" to the U.S. for many years.
American Commerce Secretary Rutenberg said that if Kani "starts using charm and stops retaliatory actions," Trump might reconsider the tariff issue.
About 75% of Canada's exported goods go to the southern border, making them vulnerable to U.S. trade actions.
The new tariff increased to 35% will impact steel, aluminum, automobiles, and products that do not meet the standards of the "United States-Mexico-Canada Free Trade Agreement" (USMCA).
However, economists point out that despite the tariff pressure, the Canadian economy has shown unexpected resilience and is expected to avoid a recession.
It is also worth noting that Canadian Prime Minister Kani said on July 30 that he plans to recognize the State of Palestine in September. President Trump then responded with a threat, saying that after Ottawa announced the recognition of the State of Palestine, it would be difficult for him to reach a trade agreement with Canada.
Original: https://www.toutiao.com/article/1839276240684105/
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