(Washington, DC) President-elect Donald Trump has outlined his plans for blanket tariffs on Canada, Mexico, and China. Trump announced on social media that one of his first executive orders will impose an immediate 25% tariff on all Canadian and Mexican products entering the United States.
Trump’s reasoning is that such severe economic sanctions will force the United States’ two neighboring countries to reduce the flow of illegal drugs and migrants across the country’s northern and southern border.
Shortly after the president-elect announced his blanket tariff plans, Prime Minister Justin Trudeau contacted Trump directly.
Mexican President Claudia Sheinbaum stated that her country could respond to US-imposed tariffs with sanctions, but warned that the economic consequences would be dire for all parties involved.
The Mexican president stated that “the main exporters from Mexico to the United States are factories owned by General Motors, Stellantis, and Ford Motor Company.” So, why impose tariffs that put them at risk?
A political science professor at the University of British Columbia shared her concerns. According to Max Cameron, multinational companies with facilities in the United States, Mexico, and Canada account for the majority of daily trade volume in North America.
However, a Canadian-born author who is educated and lives in the United States believes Trump may have a much larger plan.
David Frum is a political commentator and speechwriter for George W. Bush. He is currently a senior editor at The Atlantic magazine.
According to Frum, Donald Trump sees free trade between tightly integrated neighbors as a winner-take-all scenario.
Frum speculates that Trump’s ultimate goal may be to transform North America into an exclusive Trade Bloc in which most outside economies can be largely ignored.
David Frum is a political commentator and author.