Trump: "25% Tariff on Canada & Mexico from the 4th... 20% on China with Additional 10%" [Comprehensive]

Trump-initiated 'Tariff War' Intensifies

"No Room for Negotiation with Canada and Mexico"

Reconfirms 'Reciprocal Tariffs' to be Imposed from April 2

New York Stock Market and Bitcoin Plunge Simultaneously

U.S. President Donald Trump has announced that he will impose a 25% across-the-board tariff on Canada and Mexico as planned, starting from the 4th (local time).

In addition, he signed an order to impose an additional 20% tariff on China, which includes an extra 10%, signaling the full-scale escalation of a global tariff war.

President Trump announced these tariff plans during a White House event unveiling TSMC's (Taiwan's foundry semiconductor manufacturing company) new investment plans in the United States on the 3rd.

When reporters asked about tariffs on Mexico and Canada, President Trump responded that there was "no room left" for negotiation.

Regarding China, he had already imposed a 10% tariff as planned on the 4th of last month, and has now added another 10%, raising the additional tariff rate to 20%.

Originally, President Trump had delayed imposing tariffs for 30 days, saying he would examine measures to prevent drugs like fentanyl from entering the United States. For China, he implemented the planned 10% additional tariff measure as scheduled.

He also reconfirmed that 'reciprocal tariffs,' which consider tariffs and non-tariff trade barriers on American products by other countries, will be imposed from April 2. The core of reciprocal tariffs is that the U.S. imposes tariffs on foreign imports based on the tariff rates and non-tariff barriers that foreign countries impose on American imports.

Locally, it is projected that if President Trump implements the tariff measures on Mexico, Canada, and China as planned, imports totaling $1.5 trillion annually will be affected by the tariff increases.

President Trump also announced plans to impose tariffs on imported agricultural products on this day.

In a post titled 'To America's Great Farmers' on his social media platform Truth Social, he said, "Get ready to start producing many agricultural products that will be sold within the United States," adding that "tariffs will be applied to external goods from April 2."

However, he did not mention specific items that would be subject to tariffs or whether there would be any exceptions.

On this day, President Trump expressed the view that he does not expect China to retaliate excessively against the tariff impositions. He also mentioned that he is considering signing a free trade agreement (FTA) with Argentina.

As President Trump announced that he would impose a 25% tariff on all imports from Canada and Mexico as planned, the New York stock market plunged across the board. Bitcoin, which had surged the previous day following Trump's strategic reserve cryptocurrency remarks, also crashed by more than 8% on this day.

Jeong-dong Noh, Hankyung.com reporter dong2@hankyung.com