In fresh days the planet has circulated news of the United States president Donald Trump's decision toconcerning the suspension of duties imposed on goods from Canada and Mexico. This decision, announced on the community platform fact SoThe body is crucial for trade relations between these countries.
Customs on Canada and Mexico: Why did Trump change his mind?
Donald Trump signed on Saturday a regulation imposing 25% work on imports from Canada and Mexico and 10% work on goods from China. On Monday, however, the president of the United States announced the suspension of these restrictions for a period of 30 days. This decision was made after discussions with Canadian Prime Minister Justin Trudeau and Mexican president Claudia Sheinbaum.
In the case of Canada, Trump justified his decision by a promise from the Canadian Government to increase border protection and cooperation in the fight against drug smuggling, in peculiar fentanyl. "Canada agreed to guarantee the safety of the northern border and yet put an end to the deadly plague of drugs specified as fentanyl that flood our country, killing hundreds of thousands of Americans and destroying their families and communities across the country," Trump wrote on fact Social.
Canada reaction: Retaliatory duties and border plan
In consequence to Trump's first decision, Canadian Prime Minister Justin Trudeau announced the imposition of 25% tariffs on US goods worth US$ 155 billion. However, after a telephone conversation with Trump, Trudeau undertook to implement a number of actions to increase border security. Among them was a $1.3 billion "border plan", which includes sending 10,000 border guards to defend the border. In addition, Canada will set up a “fentanyl cara” and set up a peculiar task force to fight drug trafficking.
Mexico: Suspension of duties and strengthening of the border
As with Canada, Mexico besides reacted to Trump's decision. Mexico's president Claudia Sheinbaum reported that the United States agreed to a monthly suspension of customs duties. In return, the Mexican authorities undertook to strengthen the northern border, sending 10,000 members of the National defender to prevent drug smuggling, in peculiar fentanyl, to the United States.
Sheinbaum besides stated that she had instructed officials to ‘implement plan B’, which includes tariff and customs measures ‘in defence of Mexico’s interests’. However, thanks to the agreement with Trump, these restrictions will not enter into force.
Consequences for global trade
Donald Trump's decision to suspend customs duties on Canada and Mexico is essential for global trade. Restricting restrictions can aid alleviate trade tensions between these countries and improve diplomatic relations. At the same time, promises from Canada and Mexico to increase border protection and the fight against drug trafficking can have affirmative effects on the interior safety of the United States.
However, it is worth noting that the situation is dynamic and that customs decisions may change depending on further discussions and negotiations between the parties. Therefore, both entrepreneurs and politicians should closely follow developments.
Summary
Donald Trump's decision to suspend customs duties on goods from Canada and Mexico is an crucial step towards mitigating trade tensions between these countries. Thanks to agreements with Justin Trudeau and Claudia Sheinbaum, the United States has obtained promises to increase border protection and cooperation in the fight against drug smuggling. However, the future of trade relations between these countries remains uncertain, and customs decisions may change depending on further negotiations.
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