President Trump shows no signs of relenting in his heavy use of tariffs to get what he wants from foreign partners. In fact, he’s just getting started.
Mr. Trump, whose 25% tariffs on Canada and Mexico will go into effect on Tuesday, said neighbors flood the U.S. with goods but do not allow enough U.S. products in, so something needs to change.
He said the European Union is guilty of the same thing and would “definitely” face levies.
“They don’t take our cars, they don’t take our farm products, they take almost nothing,” Mr. Trump said late Sunday on his return to Washington from his Florida estate. “We take everything from them. Millions of cars, tremendous amounts of food and farm products.”
Mr. Trump is standing firm on his tariffs despite condemnation from Canadian and Mexican officials, Democratic lawmakers and trade groups who say the tariffs will raise prices and are a heavy-handed measure against friendly nations.
The president said Canada has restricted too many U.S. products.
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“Canada has been very tough for oil on energy. They don’t allow our farm products in, essentially. They don’t allow a lot of things in. And we allow everything to come in as being a one-way street,” Mr. Trump said. “And for what? What do we get out of it? We don’t get anything out of it.”
Tariffs are a tax or duty paid by importers on the goods they bring in from foreign markets. Mr. Trump says tariffs are a great way to force companies to return to America or keep their operations in the U.S., employ American workers and create revenue to fund domestic programs.
Presidents can impose tariffs without Congress in certain situations, such as to protect national security or address international emergencies. The U.S. relied on tariffs as a primary source of government revenue until the federal income tax was imposed in the early 20th century.
“Anybody that loves and believes in the United States of America is in favor of Tariffs. They should have never ended, in favor of the Income Tax System, in 1913,” Mr. Trump posted on Truth Social.
Tariffs can also result in higher prices for consumers. Foreign countries don’t pay the tariffs directly to the U.S. Treasury. In many cases, U.S. companies will pay the levies, and they might pass on at least some of the cost to consumers through higher prices.
Canadian Prime Minister Justin Trudeau announced more than $100 billion in retaliatory tariffs on U.S. goods and warned that American consumers and businesses would suffer alongside Canadian ones.
Mexican President Claudia Sheinbaum ordered retaliatory tariffs and “non-tariff measures” against the U.S. and took issue with Mr. Trump’s claim that drug cartels have an “intolerable alliance with the government of Mexico.”
U.S. manufacturers, meanwhile, said the tariffs would upend progress made during Mr. Trump’s first term, when North American nations updated their free-trade agreement.
“Thanks to this agreement, one-third of critical U.S. manufacturing inputs now come from Canada or Mexico, rather than from competitors like China that often engage in unfair trade practices,” said Jay Timmons, president and CEO of the National Association of Manufacturers.
“However, with essential tax reforms left on the cutting room floor by the last Congress and the Biden administration, manufacturers are already facing mounting cost pressures,” Mr. Timmons said. “A 25% tariff on Canada and Mexico threatens to upend the very supply chains that have made U.S. manufacturing more competitive, globally.”
• Tom Howell Jr. can be reached at thowell@washingtontimes.com.