President Trump on Saturday announced he is levying 30% tariffs against Mexico and the European Union. They are set to begin on August 1.
He announced the tariffs on two of the United States’ biggest trade partners in letters posted on this Truth Social account.
In his letter to Mexican President Claudia Sheinbaum, Mr. Trump acknowledged that the country has helped stem the flow of undocumented migrants and fentanyl into the U.S. But he said the country has not done enough to stop North America from turning into a “Narco-Trafficking Playground.”
In his letter to the European Union, Mr. Trump said the relationship between the bloc and the U.S. has been “far from Reciprocal.”
“We have had years to discuss our Trading Relationship with The European Union, and have concluded that we must move away from these long-term, large, and persistent Trade Deficits, engendered by your Tariff, and Non-Tariff, Policies and Trade Barriers,” he wrote.
Mr. Trump is in an announcement blitz of new tariffs with allies and foes alike, a bedrock of his 2024 campaign that he said would set the foundation for reviving a U.S. economy that he claims has been ripped off by other nations for decades.
With the reciprocal tariffs, Mr. Trump is effectively blowing up the rules governing world trade. For decades, the U.S. and most other countries abided by tariff rates set through a series of complex negotiations known as the Uruguay Round. Countries could set their own tariffs – but under the “most favored nation” approach, they couldn’t charge one country more than they charged another.
With Saturday’s letters, Mr. Trump has now issued tariff conditions on 24 countries and the 27-member European Union.
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