Global trade war escalates

Washington [US], March 13: Yesterday, the US officially imposed a 25% tariff on all imported aluminum and steel, causing a wave of retaliation from its largest trading partners.
American Shot
From early March 12 (US time), the US's 25% import tax on aluminum, steel and products made from these two metals officially took effect with "no exceptions or exemptions", despite efforts by countries to avoid it, according to AFP.
The European Commission immediately announced retaliatory tariffs on US goods worth 26 billion euros, effective from April, but stressed its readiness for dialogue. French Minister of European Affairs Benjamin Haddad stated that the European Union (EU) is ready to take further measures on areas such as digital services and intellectual property if desired.
Close US allies such as Canada and the UK have criticised the new tariffs, while China has said it will take all necessary measures to protect its rights and interests. According to Reuters, Canada is considering retaliatory action, while UK Business and Trade Secretary Jonathan Reynolds said all options are on the table. Australian Prime Minister Anthony Albanese said the US move was completely unreasonable, but he ruled out retaliatory tariffs, saying that US consumers and the economy would suffer.
Meanwhile, White House spokesman Kush Desai said that President Donald Trump is once again using the levers of the US economy to deliver a victory for the people. Trump's previous statements about the tariff plan sent US and world stock markets reeling on March 11. According to Reuters, US stocks have plummeted since peaking in February, with nearly $5,000 billion in market value evaporated. Despite the concerns, President Trump said that the market may go up and down but he is determined to rebuild the economy.
US - Canada "fight and negotiate"
The stock market's dramatic fluctuations come as President Trump and Ontario Premier Doug Ford are arguing over tariffs. On March 10, Ford decided to raise electricity prices by 25% for three US states, Michigan, Minnesota and New York, in response to tariffs previously announced by the White House on Canada . According to a statement from the Premier's Office, the decision affects 1.5 million US households and businesses, helping Ontario earn CAD 300,000 - 400,000 per day. Ford also warned that he would raise prices further or cut off electricity if the US escalates.
In response, President Trump ordered a doubling of tariffs on Canadian aluminum and steel to 50% on March 12 and threatened that if the neighboring country's tariffs were not removed, the US would impose tariffs on imported cars from April to "permanently shut down the Canadian auto industry".
Ford later said he had a productive conversation with US Commerce Secretary Howard Lutnick, with the two sides agreeing to meet in Washington on March 13 to discuss the US-Mexico-Canada Trade Agreement (USMCA) before the next round of US tariffs in early April. Ford said Lutnick had "extended an olive branch" and Ontario agreed to suspend the electricity price increase. The US then withdrew its plan to impose a 50% tariff.
According to Reuters, most of the US-Canada trade turnover is exempted from tariffs under the USMCA signed during Mr. Trump 's first term , but he still complained about the neighboring country's high tariffs on US dairy products. After taking office, he imposed tariffs on Canada, Mexico and China but partially withdrew them from the two neighboring countries.
On April 2, the US is expected to implement a new round of tariffs equal to those imposed by other countries on Washington to correct unfair trade practices. "The tariffs are having an incredibly positive impact," President Trump said at a meeting with business leaders on March 11, arguing that the import tariffs would force companies to move factories to the US.
Source: Thanh Nien Newspaper