...And Here is Where We Are

It seems to be changing daily.....

As of today, March 4, 2025, President Donald Trump has implemented significant tariff increases targeting imports from Canada, Mexico, and China, effective as of 12:01 a.m. EST. Here’s a summary based on available information:

• Canada and Mexico: A 25% tariff has been imposed on nearly all goods imported from Canada and Mexico, the United States' two largest trading partners. However, Canadian energy products, such as crude oil, are subject to a lower tariff rate of 10%. These tariffs were initially proposed with a deadline that Trump confirmed would not be delayed, citing insufficient progress by these countries in curbing the flow of fentanyl and illegal migration into the U.S.

• China: Tariffs on all Chinese imports have been increased from an existing 10% to 20%. This additional 10% levy builds on tariffs imposed earlier in Trump’s term, reflecting his administration's stance that China has failed to adequately address the export of fentanyl precursor chemicals. This move coincides with the start of China's annual parliamentary meetings, adding pressure on Beijing.

These tariff increases are part of Trump's broader trade policy aimed at addressing drug trafficking and reshaping U.S. trade relationships. The measures have sparked immediate reactions, with China announcing retaliatory tariffs of 10-15% on U.S. agricultural exports like chicken, pork, soy, and beef, set to take effect March 10. Canada has also signaled readiness to impose counter-tariffs, while Mexico expressed hope for a last-minute agreement but is preparing for the economic impact.

The tariffs are expected to raise costs for American consumers and businesses, potentially increasing prices for a wide range of goods, from food and auto parts to electronics. Economic analyses suggest an average household cost increase ranging from $1,000 to $2,000 annually, with industries like automotive facing significant supply chain disruptions. Markets reacted sharply, with U.S. stocks tumbling—the S&P 500 dropped 1.76%, the Dow 1.48%, and the Nasdaq 2.64% on March 3, reflecting investor concerns over escalating trade tensions and potential inflation.