Donald Trump has threatened sweeping new tariffs on Mexico, Canada and China on his first day in office.
The president-elect, who takes office on 20 January next year, said he would introduce a 25% tax on all products entering the country from Canada and Mexico.
Posting on his Truth Social platform he also threatened an additional 10% tariff on goods from China on top of any additional tariffs he might impose as one of his first executive orders.
What Trump’s tariffs could mean for UK, EU, China and the world
If implemented, the tariffs could raise prices for ordinary American consumers on everything from petrol to cars and agricultural products.
The US is the largest importer of goods worldwide and Mexico, China and Canada are its top three suppliers according to the country’s own census data.
More than 83% of exports from Mexico went to the US in 2023 and 75% of Canadian exports go to the country.
“On January 20th, as one of my many first Executive Orders, I will sign all necessary documents to charge Mexico and Canada a 25% Tariff on ALL products coming into the United States, and its ridiculous Open Borders,” Mr Trump said.
He also spoke against an influx of illegal immigrants heading into the country.
While migrant arrests reached a record high during President Joe Biden’s administration, illegal crossings fell dramatically this year as new border restrictions were introduced and Mexico stepped up enforcement.
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Mr Trump added: “Both Mexico and Canada have the absolute right and power to easily solve this long simmering problem. We hereby demand that they use this power… and until such time that they do, it is time for them to pay a very big price!”
After issuing his tariff threat, Mr Trump spoke with Canadian Prime Minister Justin Trudeau and they were said to have discussed trade and border security.
“It was a good discussion and they will stay in touch,” a Canadian source said.
Turning to China, the president-elect said he “had many talks with China about the massive amounts of drugs, in particular Fentanyl, being sent into the United States – But to no avail.”
“Until such time as they stop, we will be charging China an additional 10% Tariff, above any additional Tariffs, on all of their many products coming into the United States of America,” he wrote.
The Chinese Embassy in Washington said that there would be losers on all sides if there is a trade war.
“China-US economic and trade cooperation is mutually beneficial in nature,” embassy spokesman Liu Pengyu posted on X. “No one will win a trade war or a tariff war.”
It isn’t clear if Mr Trump will actually go through with the threats.
He won the recent election in part due to voter frustration over inflation and high prices.
Mr Trump’s nominee for treasury secretary Scott Bessent – who if confirmed, would be one of a number of officials responsible for tariffs – has said previously that tariffs are a means of negotiation.