President-elect Donald Trump would require tariffs on foreign goods

by TMO STAFF’

President-elect Donald Trump is threatening to place tariffs on certain foreign goods. He would require China, Mexico, and Canada to pay a tariff on exports. He calls it a part of his agenda to target the illicit drug business from neighboring countries; suggesting the tariffs could help the United States economy. Trump also hopes the tariffs will force Mexico and Canada to act on border issues.

He is threatening to put forth the tariffs after his official inauguration in January. According to the United States Census Bureau, the United States has imported $632.3 billion from Mexico goods. Meanwhile, Canada has contributed to the imports of $572.9 billion. The numbers combined account for over one-third of all United States imports.

Trump is threatening a 25 percent tariff on top of all of the products that are traveling to the United States of America from Mexico, and Canada. Trump could potentially undermine a previously negotiated agreement within the U.S.-Mexico-Canada Agreement. The United States Constitution gives Congress the authority to regulate foreign trade. It would eventually fall into the hands of Congress to help decide the changes if they believe it’s needed.

Recently, Democratic representatives Suzan DelBene and Don Beyer have introduced  the Prevent Tariff Abuse Act. It would prevent the acting president from enacting the International Emergency Economic Powers Act to place tariffs, taxes, and quotas on various countries.It could potentially impact consumers with a hefty price tag in the United States.

Trump is also suggesting he would require countries  among the BRICS to commit to creating a new type of currency, or face the threat of tariffs on those countries if they do not commit to a new currency during his new administration. The group consists of Russia, India, China, Brazil, and South Africa, Iran, The United Arab Emirates, Ethiopia, and Egypt.

“The idea that the BRICS Countries are trying to move away from the Dollar while we stand by and watch is OVER. We require a commitment from these Countries that they will neither create a new BRICS Currency, nor back any other Currency to replace the mighty U.S. Dollar or, they will face 100% Tariffs, and should expect to say goodbye to selling into the wonderful U.S. Economy,” Trump posted on Truth Social over the weekend.

The new tariffs sparked several political analysts to view the threats as the beginning of a new Trade War that could potentially erupt due to the tariffs being imposed.