Trump ramps up China tariff threats over alleged fentanyl inaction
US President-elect Donald Trump is ramping up his tariff threats, targeting friends and adversaries alike.
On Tuesday, Trump posted on his Truth Social platform that he plans to levy a tariff of 10% on all imports from China – on top of tariffs of at least 60% he has already committed to – due to China's alleged failure to follow through on its pledges to help curb the flow of drugs, particularly fentanyl, into the US.
- This announcement came shortly after another post in which Trump unveiled plans to impose a 25% tariff on imports from Canada and Mexico on his first day in office, accusing both countries of failing to control fentanyl trafficking and illegal immigration into the US.
China bristled at the threat and defended its fentanyl cooperation with the US. A Chinese embassy spokesperson in Washington told the BBC that:
- “China-US economic and trade co-operation is mutually beneficial in nature.”
- “The idea of China knowingly allowing fentanyl precursors to flow into the United States runs completely counter to facts and reality.”
Get smart: While Trump may follow through with his tariff threats, it’s equally plausible that he’s using them as bargaining chips to extract concessions from other countries.
- But by announcing huge, off-the-cuff tariffs, he risks overreaching and prompting US trade partners to band together in opposition to US protectionism.
Get smarter: Cooperation on fentanyl control has been one of the few bright spots in US-China relations of late.
- Trump’s decision to use fentanyl as a justification for tariffs will only convince Chinese officials that he’s acting in bad faith.