Donald Trump has a double speech on tariffs. On the one hand, they formally justify them in their decrees referring to drug trafficking and fentanyl; In the Mexican case add illegal immigration. On the other, it makes clear in its interventions that what bothers you the most is the deficit you have with its main commercial partners. The president of the United States delayed on Monday the entry into force of 25% tariffs to Mexico and Canada until March 4, a month later than expected. He will try to take advantage of that month to start his two neighbors economic concessions, while putting the target in the European Union as the following objective.
In theory, the one -month pause in the application of tariff rates responds to the concessions made by Mexico and Canada in relation to drug trafficking and immigration. The president of Mexico, Claudia Sheinbaum, and the Prime Minister of Canada, Justin Trudeau, offered to allocate more means to shield the borders, in addition to assuming other commitments. But what Trump wants to rise is the commercial deficit with those countries and for that he will negotiate next month.
Trump was asked on Sunday what Canada and Mexico could do to avoid tariffs. “They have to balance their trade, number one,” he replied, before citing the other pretexts. In fact, the president of the United States acknowledged that in his conversation with Trudeau spoke of the regulatory difficulties that US banks are to operate in Canada, something that has nothing to do with fentanyl.
Trump has commissioned to lead tariff negotiations to the Secretary of State, Marco Rubio; to commerce, Howard Lutnick, and Treasury, Scott Besent, not those responsible for public health or immigration.
After referring to Mexico’s measures to shield the border, the president said Monday at the White House: “We have agreed to speak and consider other things. We have not yet agreed the tariffs, and maybe let’s do it, maybe not. ” “We are going to have a great negotiation with Mexico. I will also be involved, and President Sheinbaum will be involved to see whether or not we can reach an agreement on tariffs, ”he insisted.
But with whom he dispatched with more viciousness was with his northern neighbor. “They do not treat us well in Canada, and they have to treat us well. Did you know that US banks are not allowed to do business in Canada? Can you believe it? And that is one of the many things we are talking about, and I think we will win in most of the issues, ”he said. “It is very difficult to do business with them, and we cannot let them take advantage of the United States. For the most part, they do not buy our agricultural products. They do not buy our cars. They make cars, but basically do not buy our cars, ”he continued, with issues that have nothing to do with drug trafficking cartels.
“We don’t need them to make our cars. We do not need them to give us wood. We do not need them for agricultural products, because we have all the agriculture we need. They do not buy our agricultural products, for the most part, our milk, dairy products, and so on. A little yes, but not much. We bought his own. And in regards to cars, they have a large percentage, almost 19% of the market. I would like to make our cars in the United States. So we have a problem there. We do not need Canada to manufacture our cars, ”he insisted, making it clear that the concern is not so much for the border and economic.
Commercial imbalance
From January to November 2024, the United States imported assets from Mexico worth 466.6 billion dollars, bought merchandise for 337.2 billion and imported products for 401.4 billion from China. The largest commercial deficit in that period was with China, for the amount of 270.4 billion, followed by Mexico (157.2 billion) and Canada (55,000 million). Trump has exaggerated those numbers over and over again and has falsely presented them as subsidies.
The White House emphasizes that trade represents 67% of the Gross Domestic Product of Canada, 73% of Mexico’s GDP and 37% of China’s GDP, but only accounts for 24% of the United States GDP. In 2023, the commercial deficit of assets of the United States was the largest in the world, with more than one billion dollars. These are the figures Trump wants to correct with his aggressive diplomacy of blackmail.
“We have large deficits with Canada, as with all countries. I mean, when I look at some of the agreements that have been made, I tell myself: ‘Who has done this?’ These agreements are very bad, ”said Trump. The treaty between Mexico, the United States and Canada (TMEC or USMCA) that regulates commercial relations between the three countries was negotiated by Trump in its previous term. The pressure on the two neighbors can lead to a review of the agreement or a rebalancing of the commercial relationship by means of the facts.
The president reiterated that he would like Canada to become the 51st state number of the United States, although he acknowledged that many people tell him that it is very difficult. He stressed that, if joining the country, they would not have tariffs, their magical word for everything.
The EU, in the Diana
Trump has begun to use the same rhetoric against his northern neighbor against the European Union. “We have massive deficits with the European Union, massive such as 350 billion dollars, if you can believe it. They do not buy our agricultural products, they do not buy our cars. They buy almost nothing. But we bought their cars. We have millions of cars that come, BMW, Mercedes Benz and Volkswagen and so many different cars, and we do nothing about it, and we do not charge tariffs. They make it impossible to sell cars in the European Union. They make selling an agricultural product very difficult. Actually, they don’t accept it. And they have many excuses. Some of them are the pesticides and the different chemicals used. But they use it as an excuse not to buy our product, ”he attacked on Monday.
“I asked a couple of leaders. I don’t want to use names, but how many Chevrolet or Ford do you see in the center of Munich? The answer is none, because they do not accept any car. They don’t accept anything. So Europe has abused the United States for years, and they can’t do that, and they want to reach an agreement, ”he said.
Trump is convinced of improving his trade balance by the tariff pressure. “There is no one who doesn’t want to reach agreements. They have been abused and want to reach agreements. So we’ll see, but I think we will have some very fair. All we want is a fair treatment, ”he argued, underlining the commercial tariffs and obstacles that other countries put to US products
“There is a word: reciprocal. I would impose reciprocal tariffs for everyone now, because many of the countries that seem so horrible in which Trump treats them and you say: ‘Oh, President Trump is so terrible with them’, because they charge us tariffs. In the European Union it is a VAT, which is in the clouds, it is something similar to a tariff. And in Canada, I already talked about banks and people don’t say it. They don’t like to say it, ”his diatribe continued.
“They are scamming us a lot, and the United States is tired of scaming him and period. And that’s why we have a debt of 36 billion dollars. We have it for a reason, because we make ill -treatment with everyone, and we will not allow it anymore, ”he added. “In the end, either they will pay very, very substantial tariffs, or they will reach some kind of agreement,” he concluded
“The tariffs are very powerful, both economically and to get everything else you want,” he said, pointing out the example of deportations to Colombia. “When you are the chicken of the golden eggs, the tariffs are very good, they are very powerful, and they will make our country very rich”
The White House argues that “access to the US market is a privilege.” And Trump is willing to pay for him.
