Trade Wars Erupt as Trump's Tariffs on Canada, Mexico, China Take Effect

US Leader Says All Three Failed to Do Enough to Stem Flow of Fentanyl into America

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WASHINGTON - US President Donald Trump's new 25 percent tariffs on imports from Mexico and Canada took effect on March 4, along with a doubling of duties on Chinese goods to 20 percent, launching new trade conflicts with America's top three trading partners.

The tariff actions, which could upend nearly US$2.2 trillion (S$3 trillion) in two-way annual US trade, went live at 12.01 Eastern Standard Time, hours after Mr. Trump declared that all three countries failed to do enough to stem the flow of the deadly fentanyl opioid and its precursor chemicals into the United States.

China responded immediately after the deadline, announcing additional tariffs of 10 percent to 15 percent on certain US imports from March 10 and a series of new export restrictions for designated US entities.

Canada and Mexico, which have enjoyed a virtually tariff-free trading relationship with the US for three decades, were poised to immediately retaliate against their long-time ally.

Canadian Prime Minister Justin Trudeau said Ottawa would respond with immediate 25 percent tariffs on C$30 billion (S$28 billion) worth of US imports, and another C$125 billion if Mr. Trump's tariffs were still in place in 21 days.