MS NOW’s Stephanie Ruhle tells Morning Joe that, in the short term, retaliatory tariffs from Canada will not have a huge impact on the U.S. But in the long run, Ruhle explains an ongoing trade war with Canada “could be a disaster.” Canadian tariffs on roughly $20 billion in U.S. imports took effect early Tuesday in retaliation for U.S. tariffs on Canada put into place last month.
The tariff rates run from 15% to 50% and match Washington's tariffs dollar for dollar. They took effect at 12:01 a.m. Tuesday.
Canada's retaliatory tariffs have officially gone into effect, impacting roughly $20 billion worth of U.S. goods. The tariffs apply to a range of products, including steel and aluminum, clothing, cheese and electronics, and range from 15% to 50%. They went into effect last night at midnight, following the collapse of talks between the U.S. and Canada last month. White House columnist for The Hill Niall Stanage joins Way Too Early to break it all down.
The president has invoked a long dormant section of law to hit one of America’s closest allies, a move that has troubled courts in the past.
Following the failure of talks over the weekend, U.S. and Canadian leaders have traded barbs over the deal.
The 50 percent U.S. tariffs on $20 billion of Canadian goods went into effect early Sunday morning and were authorized under Section 338 of the Tariff Act of 1930.
As trade tensions rise, some border states could be hit especially hard by tariffs and a slowdown in cross-border business.
President Donald Trump imposed the tariffs under Section 338 of the Tariff Act of 1930, the Depression-era Smoot-Hawley law, after last-ditch talks collapsed late Friday. The duties cover about $20 billion in Canadian goods, from wine to hockey sticks to cement.
Buoys, dog muzzles, capes, national flags and “base metal statuettes” from Canada are now more expensive for U.S. shoppers.
The Section 338 tariffs were set to take effect at 12:01 a.m. Wednesday but will now be postponed until the end of Aug. 21, according to Carney's office.