Mexico Imposes Import Tariffs On US Pork, Agricultural Goods

Jermaine Castillo
June 8, 2018

The fallout from Trump's imposition of steel and aluminum tariffs on his G7 partners, as well as broader disagreements on trade and climate change, was also fuelling the G6-plus-one divide that has the US increasingly offside with its allies.

While both Macron and Trudeau have forged cordial relationships with Trump, they made it clear they would not be intimidated by the US leader - especially in the face of USA tariffs on steel and aluminum imports from Canada, Europe, Japan and Mexico.

On Thursday, Macron sent out this tweet, in English, calling out Trump ahead of the G7 Summit in Canada. He has highlighted his efforts on Twitter, writing Monday: "The U.S. has made such bad trade deals over so many years that we can only WIN!"

The call drew attention against after the CNN report in which White House sources said that Macron's tough words for Trump did not go over well.

"The president is not going to leave Nafta. The impact on Canada and ultimately on workers in the USA won't be a laughing matter".

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But the question of tariffs - as well as the USA decision to pull out of a deal created to curb Iran's nuclear ambitions - is what most G7 members want to sort out.

Canadian Prime Minister Justin Trudeau on Wednesday, June 6, rejected a United States proposal to scrap the North American Free Trade Agreement in favor of a bilateral trade pact.

"Canada is a different country than Mexico, they have different problems, and you know, he's believed that bilaterals have always been better", says Kudlow.

Trudeau heaped scorn on Donald Trump's national security justification for the new metal tariffs.

Trump announced the tariffs in March, saying they were necessary to protect the United States from unfair competition.

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"Tariffs imposed last week by President Trump on European Union and Canada have increased significantly tensions before the meeting", a senior European Union official said, adding that a breakthrough to ease trade tensions was unlikely.

Trudeau has publicly denounced the "national security" justification for the new tariffs. All members would also pledge to respect rules, and seek a reform of the World Trade Organization. U.S. Secretary of State Mike Pompeo is expected to brief the G7 leaders on the issue.

Trump and U.S. Trade Representative Robert Lighthizer, who has been running the NAFTA negotiations, have both said that the U.S. should pursue bilateral rather than multilateral trade agreements.

"There may be disagreements", Kudlow told reporters at the White House.

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