Trump vows big tariffs on Mexico, Canada and China

U.S. President-elect Donald Trump said Monday he intends to impose sweeping tariffs on goods from Mexico, Canada and China, prompting a swift warning from Beijing that "no one will win a trade war."

In a series of posts to his Truth Social account, Trump vowed to hit some of the United States' largest trading partners with duties on all goods entering the country.

"On January 20th, as one of my many first Executive Orders, I will sign all necessary documents to charge Mexico and Canada a 25 percent tariff on ALL products coming into the United States," he wrote.

In another post, Trump said he would also be slapping China with a 10 percent tariff, "above any additional Tariffs," in response to what he said was its failure to tackle fentanyl smuggling.

Tariffs are a key part of Trump's economic agenda, with the Republican vowing wide-ranging duties on allies and adversaries alike while he was on the campaign trail.

Both China and Canada issued swift responses, each calling their trade relationships with the United States "mutually beneficial."

"No one will win a trade war," Liu Pengyu, a spokesman for China's embassy in the United States, told AFP by email, defending Beijing's efforts to curb fentanyl smuggling.

"China believes that China-US economic and trade cooperation is mutually beneficial in nature," Liu added.

Canada said it was "essential" to US energy supplies, and insisted the relationship benefits American workers.

"We will of course continue to discuss these issues with the incoming administration," said the statement from Deputy Prime Minister Chrystia Freeland.

Trump's first term in the White House was marked by an aggressive and protectionist trade agenda that also targeted China, Mexico and Canada, as well as Europe.

While in the White House, Trump launched an all-out trade war with China, imposing significant tariffs on hundreds of billions of dollars of Chinese goods.

At the time he cited unfair trade practices, intellectual property theft, and the trade deficit as justifications.

China responded with retaliatory tariffs on American products, particularly affecting U.S. farmers.

The U.S., Mexico and Canada are tied to a three-decade-old free trade agreement, now called the USMCA, that was renegotiated under Trump after he complained that the US businesses, especially automakers, were losing out.

"Mexico and Canada remain heavily dependent on the US market so their ability to walk away from President-elect Trump's threats remains limited," Wendy Cutler, vice president at the Asia Society Policy Institute, and former US trade official, told AFP.

By citing the fentanyl crisis and illegal immigration, Trump appeared to be using national security concerns as a means to break that deal, something that is usually allowed under the rules set by the World Trade Organization or in trade deals.

But most countries and the WTO treat national security exceptions as something to be used sparingly, not as a routine tool of trade policy.

Trump in 2018 cited national security justifications to impose tariffs on steel and aluminum imports that targeted close allies like Canada, Mexico, and the European Union.

This led to retaliatory measures from the trading partners.

- 'Bet on China tariffs' -

Many economists have warned that tariffs would hurt growth and push up inflation, since they are primarily paid by importers bringing the goods into the US, who often pass those costs on to consumers.

But those in Trump's inner circle have insisted that the tariffs are a useful bargaining chip for the US to push its trading partners to agree to more favorable terms, and to bring back manufacturing jobs from overseas.

Trump has said he will put his commerce secretary designate Howard Lutnick, a China hawk, in charge of trade policy.

Lutnick has expressed support for a tariff level of 60 percent on Chinese goods alongside a 10 percent tariff on all other imports.

William Reinsch, senior adviser at the Center for Strategic and International Studies, said that that move was classic Trump: "threaten, and then negotiate."

"In terms of what might actually happen, I'd bet on some China tariffs going into effect. That's legally easier and politically more palatable," he said.

"On Canada and Mexico there was going to be a renegotiation of their trade deal (the USMCA) anyway in 2026."

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Sen. Ted Cruz's warning to Republicans that state Rep. James Talarico could claim victory in a contentious Texas race spurred uproarious laughter on MS NOW early Friday morning.

Cruz's dire words on the Sean Hannity Show Wednesday night centered on Talarico's chance to defeat the state's Attorney General Ken Paxton in the race to claim a seat in the Senate.

"Texas is a mess!" declared political analyst and Republican strategist Mathew Bartlett. "We're kinda lucky more people aren't paying attention."

Host Ali Vitali threw back her head and laughed out loud as Bartlett named the reason for that luck: the focus on Graham Platner's withdrawal from his own Senate race in Maine.

Bartlett also noted the strange timing of Paxton's antics, noting he was seen abroad the same week America celebrated its 250th anniversary.

Paxton was recently caught on video walking in the streets of London with a woman who is not his wife and facing questions about an address where he did not live that was used while voting in six elections in the past two years, including in May’s runoff, reports show.

"He's in London with the new girl he's dating?" Bartlett asked. "What's going on there? He has more baggage than a 747."

Paxton's actions spurred Cruz to tell Gov. Greg Abbott (R-TX) that "unfortunately," there was a chance they would not be able to "keep Texas red."

"I think this is a one or two point race," Cruz said.

MS NOW host Ali Vitali joked in response, "I love that Ted Cruz has now become the truth-teller."

Watch the interview here.

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If you ever wondered what would happen if Fyre Festival and a political rally had a baby, Donald Trump's Great American State Fair may have provided the answer.

Billed as a celebration worthy of America's 250th birthday, the GASF — which ends Friday — may instead be remembered as a case study in how hype and wishful thinking can outrun reality.

Fyre Festival organizer Billy McFarland promised a luxury music eventl complete with private villas, gourmet cuisine, supermodels, and A-list performers. Instead, attendees got FEMA-style tents, total chaos, and cheese sandwiches.

Trump promised a "first-of-its-kind World's Fair on the National Mall" — an extraordinary 16-day celebration featuring state pavilions, rides, rodeos, food, major musical acts, exhibits, and patriotic displays worthy of America's semiquincentennial. Instead, visitors were greeted by empty booths, canceled attractions, a broken Ferris wheel, melting ice cream, sparse crowds, collapsing scenery… and Vanilla Ice.

In both cases, the warning signs had been flashing for months. Organizers simply chose to believe their own marketing over the logistics.

Before Fyre Festival, contractors with decades of experience warned McFarland there was no way to build the event in the time available. Before the GASF, officials from states including Michigan repeatedly questioned whether the deadlines imposed by Freedom 250 were even remotely achievable.

One email reportedly pleaded, "We're worried about the short time frame... we'd like formal approval as fast as possible if we're going to try and do this well."

It apparently went unanswered.

Meanwhile, officials from New Hampshire questioned why Freeman—the event contractor tied to Trump and hired to furnish exhibits—was quoting roughly $12,000 for little more than a table and chairs.

As reality set in, groups from both festivals began heading for the exits.

Blink-182 pulled out of Fyre Festival before opening day. Likewise, performers including Martina McBride, Bret Michaels, and The Commodores ultimately withdrew from the Great American State Fair after learning it would be associated with a Trump rally rather than the broadly bipartisan national celebration they believed they had signed up for.

Both events also generated questions about where the money was going. Fyre Festival became synonymous with investor losses, graft, and attendee funds that failed to produce the promised experience. The Great American State Fair has drawn scrutiny over the relationship between the congressionally chartered America250 commission and Freedom 250, the separate, Trump-created, nonprofit helping organize the event, along with criticism over contracts awarded to Trump-connected companies.

And in both cases, the internet did what the internet does best.

Photos of empty spaces, malfunctioning attractions, and disappointed attendees spread far faster than the organizers' promotional videos ever did.

The main difference between the two?

After Fyre Festival, Billy McFarland went to prison.

After the Great American State Fair, Donald Trump went to the World Cup.

Sen. Ted Cruz (R-TX) showered praise on the opponent of a Trump-endorsed Senate candidate, according to reports.

While calling in on Thursday to Sean Hannity's radio show, which was being guest-hosted by Gov. Greg Abbott (R-TX), Cruz described Democratic candidate James Talarico as "charming" and "affable."

Cruz said Talarico, a state representative, has "a real chance" of beating Texas Attorney General Ken Paxton in the race to replace Sen. John Cornyn (R-TX), according to reporting by the Texas Tribune.

"He sounds like a preacher," Cruz said about Talarico. "I worry about the voters who may not be paying close attention to the issues, who just turn on the TV and say, 'Oh, he seems like a nice young man.'"

During the GOP primary runoff in May, Paxton was endorsed by Trump and beat the long-serving Cornyn. However, controversies surround Paxton, including a since-dismissed felony securities fraud indictment, a 2023 impeachment, a whistleblower corruption scandal, an affair, a divorce, and residency questions. Even Paxton's estranged wife, a state senator, hasn't endorsed him.

"I think this is a real race," Cruz said about the Talarico-Paxton race, according to reporting by The Hill. "I think it's going to be close. I think we're going to win. I think we're going to keep Texas red, but the polling right now shows this is a one- or two-point race."

According to The Hill, recent polling has suggested that the race will be a toss-up. Talarico has already raised a record-breaking $30 million in the second quarter of this year, which is more than triple what Paxton raised from April to June, The Hill reported.

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