The Trump administration has unveiled its latest trade proposals, but the latest is the most expansive yet, and it includes a new set of regulations aimed at curbing imports from other countries.
A draft version of the proposed regulations calls for the elimination of the country’s 10 tariffs on goods from Mexico and Canada and the elimination, within two years, of tariffs on any goods imported from countries other than Mexico.
The changes are among the most ambitious ever proposed by the Trump administration.
They come just a week after Canada said it would impose a retaliatory tariff on Canadian goods that are subject to the tariffs.
But the Canadian government said it will keep some of the measures in place, such as a one-time levy on the amount of goods and services Canadians import from other nations.
“The government of Canada has the power to impose tariffs, as long as the import is necessary to meet the domestic needs of Canada’s economy,” a spokesperson for Prime Minister Justin Trudeau told the CBC.
“We have done so for decades, and we will continue to do so.”
“We are committed to working with other countries to protect their interests in the global economy, but we have to be smart about the costs associated with it.”
The new proposals are expected to be published by the end of March.
In recent months, the Trump government has taken steps to increase U.S. tariffs on Canadian products.
Canada’s government last month imposed a 10 per cent tariff on some Chinese goods, as well as a 20 per cent border adjustment tax on Canadian dairy products.
And in October, the U.K. introduced a tariff of more than 25 per cent on Canadian cheese, prompting complaints from dairy farmers across the U