Mexican President Claudia Sheinbaum said he will announce retaliatory tariffs on Sunday in response to President Trump, who has implemented 25% tariffs on goods from Mexico.
She announced at her daily press conference Tuesday that she would be announcing her plans to convene her supporters in Zocaro, Mexico City, the day the tariffs came into effect. Bloomberg reported. She said her goal is not to launch an “economic conflict” but to “it's not to consider the damage this will cause to American citizens and businesses.”
A trade war began on Tuesday as new tariffs on Trump, which imposed imports from Canada, Mexico and China, were imposed, and those countries moved to retaliate immediately.
Trump has imposed a 25% tariff on most imports from the country's northern and southern neighbours after delaying implementation by a month as a result of negotiations between Sinbaum and Canadian Prime Minister Justin Trudeau. The two countries had agreed to more measures at the time to secure a border with the US, but Trump said Monday there was no room for more deals.
Trump also imposed a new 10% tariff on imports from China.
The Mexican peso fell 1.5% against the US dollar, but Sinbaum announced it would implement retaliatory tariffs, Bloomberg reported.
Just after midnight, Canada clashed with the US with tariffs on $30 billion in goods. “Taxes will continue until US trade measures are withdrawn,” Trudeau said in a statement late Monday.
Meanwhile, China said Tuesday it would impose a 15% tariff on imports of chicken, wheat, corn and cotton from the US and a 10% tariff on imports of sorghum, soybeans, pork, beef, seafood, fruit vegetables and dairy products.
The S&P 500 fell 1.76% on Monday, the biggest loss since last December. The Dow Jones also fell nearly 650 points. Nasdaq Composite fell 2.64% as Nvidia's shares fell nearly 9%.
