Trump’s early tariff announcements on Mexico, Canada, and China are just the “opening move,” wrote one trade-focused attorney.
President-elect Donald Trump has two months until he takes office, but he’s already dishing out orders — and shaking the markets.
On Monday, Trump took to his Truth Social platform to announce that he would sign an executive order on his first day in office to impose a 25% tariff on all goods from Mexico and Canada and an additional 10% tariff on imports from China.
“This Tariff will remain in effect until such time as Drugs, in particular Fentanyl, and all Illegal Aliens stop this Invasion of our Country!” Trump wrote.
Economists and analysts are now bracing for more uncertainty from Trump. While Monday’s tariffs announcement marked a new escalation, it’s still unclear exactly when and how the incoming administration would enact these policies.Trump jolted global markets, but the reaction was ‘benign’
Trump’s announcements surprised global markets, with the Canadian dollar and the Mexican peso losing ground against the US dollar.
On Tuesday, the Canadian dollar closed 0.8% lower against the greenback, while the Mexican peso fell as much as 2.
