Donald Trump has threatened to impose sweeping new tariffs on Mexico Canada and China as soon as he takes office this is part of his effort to crack down on illegal immigration and drugs Trump said he would impose a 25% tax on all products entering the US from Canada and Mexico and an additional 10% tariff on goods from China if implemented these tariffs could dramatically raise prices for American consumers on everything from automobiles to agricultural products Trump said the new tariffs would remain in place until quote drugs in particular Fentanyl and all illegal aliens stop this invasion of our country a senior Canadian government official said prime minister Justin Trudeau and Trump discussed the matter and had a good conversation on the other hand the Chinese Embassy in Washington cautioned that there will be losers on all sides if there’s a trade War as for Mexico president Claudia Shane bom suggested that the country could retaliate with tariffs of its own economists are generally skeptical of tariffs as they view them to be a mostly inefficient way for governments to raise money