The United States' tariffs on steel and aluminium (25 per cent), which came into effect on 4 March, triggered retaliatory tariffs in countries such as Canada, Mexico and China. Canada imposed 25 per cent tariffs on C$30 billion (about $20.7 billion) worth of US goods, Mexico is likely to take similar measures, and China has doubled tariffs on some US goods. These measures could exacerbate trade tensions and increase inflationary pressures.

Global backlash as U.S. tariff baton swings again

Recently, the United States announced the imposition of a 25 per cent tariff on all steel and aluminium imports, triggering strong dissatisfaction among the European Union, Canada, Australia and many other parties. From steel and aluminium tariffs to automobile tariffs, the United States has frequently offered trade protection measures, and the global economic outlook has been overshadowed. According to experts, the move may aggravate inflationary pressure and further push up prices.

Impact on all sides

EU: warns of retaliatory measures, transatlantic trade may be hit hard.

Canada and Mexico: plan to counter tariffs, North American trade pattern faces new challenges.

China: Exports face regulatory pressure from ‘third country transshipment’, foreign trade enterprises need to be vigilant.

It not only promotes industrial innovation, but also significantly improves industrial competitiveness and becomes a new driving force for economic growth. Industrial integration can be divided into three categories: industrial penetration, industrial crossover and industrial reorganisation.

Bilateral talks launched

U.S. Secretary of State Rubio said he would launch bilateral negotiations after imposing tariffs on major trading partners, emphasising ‘resetting the bottom line of trade’, but specific details were not released. The move could reshape global trade rules and heighten market uncertainty.

Chain reaction: Tesla warned the U.S. government that high tariffs may make it a retaliatory target; South Korea was included in the U.S. list of ‘sensitive countries’ for the first time, triggering strong dissatisfaction from the South Korean side.

Three major evils are highlighted

Undermine the multilateral trading system: unilateral tariffs violate WTO rules, disrupt the global supply chain, or lead to a global recession.

Push up the pressure of U.S. inflation: rising prices of imported goods, the burden on consumers, business investment confidence suffered a setback.

Weakening the status of the dollar: the market is worried about the U.S. economic outlook, the dollar weakened, investors turned to the European market

Where is global trade heading?

From the U.S. wielding tariffs, to the escalation of countermeasures, international trade is ushering in a new round of storms. In the short term, rising prices and supply chain disruption may become the norm; in the long term, it is still unknown how the reshaping of trade rules will affect the global economy. As ordinary people, we may not be able to change the general trend, but understand the trend, seize the opportunity, in order to stand firm in the changing situation.