Taxing times Trump's tariff threats send ripples around the world

European companies were wondering whether they had dodged a harmful blow to their US sales after Donald Trump promised to slap trade tariffs on Mexican, Canadian and Chinese goods in social media posts last Monday.

- Phillip Inman

They could congratulate themselves for avoiding the incoming president's gaze - so far - and watch as he turned his anger on Beijing and Washington's nearest trading partners.

Trump was in belligerent mood, just as he was in 2016 when he first used tariffs as a tactic to extract concessions on a string of foreign policy objectives. Then, the tariffs were justified as elements of US national security policy aimed at limiting immigration and stymieing Chinese attempts to access American government databases. This time, Trump's tirade against Mexico, Canada and China went a step further, accusing them of being the source of chemicals used by drug traffickers.

He said trade tariffs were necessary to punish the three governments for aiding criminal gangs, and they would remain "until such time as drugs, in particular fentanyl, and all illegal aliens stop this invasion of our country".