The American prices against Canada and Mexico are expected to come into force on Tuesday, but their level will be decided by Donald Trump, said US Secretary to Trade.
The American president threatened to impose prices of 25%, which is a tax on imports, on his two neighbors on March 4, in response to what he says to be an unacceptable flow of drugs and illegal migrants in the United States.
Commerce secretary Howard Lungick said on Sunday that prices will occur as planned, but exact details would depend on the negotiations.
A 10% tariff on Chinese imports should also be implemented in response to the American accusations that Beijing is not enough to stop the fentanyl flow in the United States.
This means that if they are put into force, Chinese exports to the United States will face a total levy in total, following a 10% rate that came into force a month ago.
The Chinese state media claim that the leaders of Beijing have prepared a series of countermeasures to occur the same day, which increases the prospect of a total trade war between the two best economies in the world.
The Journal de la China Global Times managed by the State said that countermeasures probably target American agricultural and food products.
Analysts believe that Beijing still hopes to avoid a total trade war and negotiate a truce with the Trump administration, but so far, there has been no signs of contract between the two economic giants.
Trump has long argued that prices are a useful tool for correcting commercial imbalances and protecting American manufacturing.
Speaking on Sunday morning in the long term on Fox News, the Secretary of Commerce, Lutnick, said: “There will be prices on Tuesday in Mexico and Canada. Exactly what they are, we will leave this for the president and his team to negotiate.”
Canada has repeatedly said that prices will harm the two economies, but have added that it would defend themselves if they occur.
Canadian Minister of Internal Trade Anita Anand has met officials in Washington in recent days and said this weekend will be an answer.
“We are stable at the wheel. We are ready for any eventuality, but we will defend the economy of our country at each turn,” she told CBC News.
Last month, Canada had prepared a list of $ 30 billion (23.6 billion pounds sterling) of American goods which it indicated that it would receive in response to American prices. The articles on this list included everyday goods such as pasta, clothing and perfume.
The Canada Border Services Agency (CBSA) said it “increased” its efforts to fight fentanyl crossing the United States.
It is believed that only 1% of the fentanyl seized in the United States comes from Canada, according to American data.
Canadian Prime Minister Justin Trudeau said a Ukrainian summit in London on Sunday that Canada was “no problem” as an illegal fentanyl source in the United States.
President Trump also announced a 25% burden on all steel and aluminum imports, which is supposed to come into force on March 12.
In addition, he threatened to impose personalized “reciprocal” prices on individual countries, as well as 25% tariffs on the European Union.
