as Trump Expands Tariff MeasuresThe ongoing trade war has escalated further after former US President Donald Trump pledged to impose additional tariffs in response to retaliatory measures from the European Union (EU) and Canada. Speaking at the White House, Trump reaffirmed his commitment to “reciprocal” tariffs, vowing to match any foreign levies with equal countermeasures.”Whatever they charge us with, we’re charging them,” he declared, signaling a growing economic standoff that has unsettled global markets.Widening US Tariffs on Steel and AluminiumOn Wednesday, Trump proceeded with his plan to broaden tariffs on steel and aluminium, imposing a 25% blanket duty and revoking previous exemptions for key trade partners. This move followed earlier tariff hikes on Chinese imports, which were raised to at least 20%.Trump has also hinted at further duties on products like copper, lumber, and cars, triggering concern among international trade partners.Global Response: Retaliation and WarningsWorld leaders swiftly condemned the new tariffs, calling them unjustified and warning of potential economic fallout:Canada: Prime Minister-designate Mark Carney announced a 25% tax on nearly C$30bn ($20bn; £16bn) worth of US goods, targeting steel, computers, and sports equipment. He expressed openness to renegotiating trade terms but insisted on “respect for Canadian sovereignty.”European Union: EU President Ursula von der Leyen confirmed a €26bn ($28bn; £22bn) retaliatory tariff package, affecting American products such as bourbon, boats, and motorbikes, set to take effect on April 1.United Kingdom: Prime Minister Sir Keir Starmer took a measured stance, stating that while he was disappointed by the tariffs, the UK would adopt a “pragmatic approach” and keep “all options on the table.””Tariffs are taxes. They are bad for business and worse for consumers,” von der Leyen warned, highlighting the potential for rising costs and job losses on both sides of the Atlantic.Economic Fallout and Industry ConcernsThe tariffs have sparked concern among businesses and consumers, with major US brands urging Trump to reconsider. Companies like PepsiCo, Conagra, and J.M. Smucker have petitioned for exemptions on essential imports such as cocoa, coffee, and tropical fruits, arguing that these goods are unavailable from domestic sources.Financial markets reacted with volatility, reflecting investor uncertainty:The Dow Jones closed down 0.2%,The S&P 500 ended up 0.5%,The Nasdaq saw a stronger rebound, rising 1.2%.Despite market jitters, Trump doubled down on his trade stance, expressing dissatisfaction with EU trade policies and repeating his threat to impose tariffs on European cars.”We’re going to win that financial battle,” he insisted.The Road AheadAs tensions mount, the global economic landscape faces increasing uncertainty. With trade talks remaining contentious, businesses and consumers brace for potential price hikes and supply chain disruptions. Whether Trump’s hardline strategy will yield better trade terms for the US or deepen economic strains remains to be seen.
