US President Donald Trump has once again imposed tariffs. This time, he has placed duties on goods from Canada. On Monday, he signed an executive order introducing a new 50% tariff on a range of Canadian products, citing 'discrimination' in the alcohol, automotive, and dairy sectors.
Effective Date and Exemptions
According to information from the White House, these duties will take effect in 30 days. It was noted that although some imported goods, such as energy resources, potash, and goods subject to special tariffs, are exempt from duties, the new tariffs also apply to goods imported under the America-Mexico-Canada agreement.
Reasons for Imposing Tariffs
Three statements signed by Trump on Monday list the Canadian goods affected, including cooling equipment and machinery. The White House statement indicated that the president is taking steps to hold Canada accountable for persistent unfair and unequal practices against America, which, according to the administration, has created a burden and caused damage to the US.
Legal Basis and Context
Trump cited Section 338 of the Tariff Act of 1930. This law allows the president to impose tariffs of up to 50% on goods from a country suspected of discriminating against American goods without prior Congressional approval. Previously, Trump had threatened to impose high tariffs on Canadian goods as punishment for damages caused to Americans due to severe fires in Canada last week. However, on Monday, a special administrative official told journalists that this action was not related to that issue. According to CNN, this official also noted that the president has other options in this regard.
Previous Supreme Court Rulings
It should be noted that previously, US President Donald Trump had imposed tariffs on many countries, but the Supreme Court deemed all these tariffs illegal and ordered a refund. Nevertheless, the introduction of new tariffs on Canada has once again raised concerns.
