President Donald Trump said Monday that North American neighbors Canada and Mexico will get no relief from his new tariffs on steel and aluminum imports unless a “new and fair” free trade agreement is signed.
This story by the Associated Press appeared in Automotive News Canada.
The Trump administration said the tariffs are necessary to preserve the American industries — and that doing so is a national security imperative. But Trump’s latest tweets suggest he’s also using the upcoming tariffs as leverage in ongoing talks to revise the North American Free Trade Agreement. The latest round of a nearly year-long renegotiation effort is concluding this week in Mexico City.
“Tariffs on Steel and Aluminum will only come off if new & fair NAFTA agreement is signed,” Trump tweeted. “Also, Canada must treat our farmers much better. Highly restrictive. Mexico must do much more on stopping drugs from pouring into the U.S. They have not done what needs to be done. Millions of people addicted and dying.”
The tariffs will be made official in the next two weeks, White House officials said Monday, as the administration defended the protectionist decision from critics in Washington and overseas.
Trump’s pronouncement last week that he would impose tariffs on imported steel and aluminum, roiled markets and rankled allies.