NEW YORK: Coverage by social media was an indicator of Donald Trump’s first time period within the White Home, however many had been nonetheless shocked by his put up three weeks after successful the presidential election in November.
To the shock of Canadian officers, he introduced on his social media platform Fact Social that he would impose a 25 per cent tariff on imports from Canada and Mexico to the US.
The put up set off alarm bells throughout the northern border, the place the US is Canada’s largest buying and selling accomplice.
Canada exported almost US$600 billion price of products to America final yr, accounting for 77 per cent of its complete exports. This included fuel, automobiles, automotive elements, metal, lumber, grain and extra. As much as 2 million jobs within the nation additionally depend on its export trade.
With Trump taking workplace once more on Monday (Jan 20), his arrival is being met with warning by one of many US’ closest allies.
The tariff debate has already had implications in Canada – it was one of many crises going through Canadian Prime Minister Justin Trudeau earlier than his resignation on Jan 6.
CURRENCY ISSUES
Specialists flagged considerations over how Canada’s forex and jobs might be affected if Trump’s proposed tariffs are applied.
Ian Lee, an affiliate professor of administration at Carleton College, famous that the forex markets will “reply immediately” the second Trump places pen to paper on the tariffs.
“The primary impression is that the forex markets are terribly dynamic. They function in actual time. They reply instantaneously. There isn’t any lag. There isn’t any two-week lag or six-month lag like tariffs,” Lee mentioned.
