Global Trade Tensions Escalate as Tariffs Take Effect in Multiple Countries

The U.S. has begun collecting additional tariffs from 86 countries, causing a major shake-up in the global economy. The most notable of these tariffs is a 104% duty being imposed on goods imported from China.

In response to this escalation, China announced it will increase its tariffs on goods from the U.S. from 34% to 84%.

"China will continue to take resolute and strong measures to safeguard our legitimate rights and interests," said China's foreign ministry spokesperson Lin Jian.

President Trump has sought to lower the trade deficit with China through tariffs, citing a loss of U.S. manufacturing jobs due to the imbalance.

"China’s non-market policies and practices have given China global dominance in key manufacturing industries, decimating U.S. industry," the White House said. "Between 2001 and 2018, these practices contributed to the loss of 3.7 million U.S. jobs due to the growth of the U.S.-China trade deficit, displacing workers and undermining American competitiveness while threatening U.S. economic and national security by increasing our reliance on foreign-controlled supply chains for critical industries as well as everyday goods."

Canada's minister of foreign affairs, Mélanie Joly, expressed concerns about the impact on their economy: "The relationship between Canada and the U.S. will never be the same. The trust was affected by what happened. This trade war was launched out of nowhere against your best ally, friend and neighbor, and we want to make sure that we can be constructive, but we're not naive neither. We know we have to protect our own jobs and our own economy."