Trump Suspends Tariffs on China, Reviews Trade Policies with Canada and Mexico
On January 20, 2025, U.S. President Donald Trump announced a suspension of the proposed 60% tariffs on Chinese imports, opting instead to investigate ongoing trade discrepancies and currency manipulation issues. This decision follows mounting concerns over illegal immigration and fentanyl trafficking, prompting Trump to consider implementing a 25% tariff on imports from Canada and Mexico, with potential actions expected by February 1.
A presidential memo has directed federal agencies to assess the implications of trade imbalances, hinting at possible global tariffs or alternative measures. Trump emphasized the need to review China's compliance with a previous trade agreement while seeking to engage in negotiations with Chinese President Xi Jinping.
The announcement marks a significant shift in Trump's trade approach, as he prioritizes bilateral discussions and comprehensive evaluations of trade relations with both Canada and Mexico, alongside reconsidering strategies concerning China.
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