President Donald Trump will impose tariffs on Saturday, February 1, on the United States' three largest trading partners – Canada, Mexico and China – the White House said, sparking concern for global trade.
Trump has reiterated plans for 25% tariffs on neighbors Canada and Mexico on Saturday, unless they cracked down on illegal migrants crossing the US border and the flow of deadly fentanyl. He was also threatening an additional 10% customs duty for Chinese goods on the same day, similarly over the drug.
"The February 1st deadline that President Trump put into place at a statement several weeks ago continues," White House spokeswoman Karoline Leavitt told reporters Friday.
She added that the issue remains the flow of illegal fentanyl. Fentanyl, many times more powerful than heroin, has been responsible for tens of thousands of overdose deaths a year.
Beijing has rebuffed claims of its complicity in the deadly trade, while close US ally Canada has countered that below one percent of undocumented migrants and fentanyl entering the United States comes through its northern border.
Tariffs are paid by US businesses to the government on purchases from abroad and the economic weight can fall on importers, foreign suppliers or consumers. A tariff hike would shock both industrial buyers and consumers.
It is unclear if there could be exceptions, such as on oil imports. Canadian heavy oil, for example, is refined in the United States and regions dependent on it may lack a ready substitute.
Canadian officials said Ottawa would provide pandemic-level financial support to workers and businesses if US tariffs hit, vowing their readiness to respond.
Mexican President Claudia Sheinbaum said Friday that her government was in close contact with Trump's administration.
Trump was also mulling more tariffs on Chinese goods. On the election campaign trail, Trump raised the idea of 60% or higher levies on Chinese imports.
Beijing has vowed to defend its "national interests," and a foreign ministry spokeswoman previously warned that "there are no winners in a trade war."