BEIJING, February 20th (AMSP/CGTN) – – The US’s recent imposition of tariffs on key trading partners has triggered backlash from Canada and Germany while an economist warned of widespread economic harm.
The escalating trade tensions have raised concerns about a potential global economic downturn, supply chain disruptions and rising consumer prices.
Canadian Trade Minister Mary Ng promised that Canada would not hesitate to respond to protect its economy.
“Should Canada get tariffs that are punishing, tariffs that will hurt our economy, everything will be on the table,” Ng said in an interview with ABC on Monday. “We will respond, and we will respond with impact,” Ng said.
While the latest tariffs are currently paused between the US and Canada, Canada earlier announced a 155 billion Canadian dollars ($109.3 billion) tariff package in retaliation to what it called “unjustified” US tariffs.
American Nobel Prize-winning economist Joseph Stiglitz warned that the tariffs would likely lead to higher prices for consumers and exacerbate global economic uncertainty, including potential stagflation.
In an interview with The Guardian on Monday, Stiglitz noted, “Almost all economists agree that the tariffs will increase prices … the appreciation of the exchange rate won’t be anywhere near enough to compensate for the tariffs.”
Stiglitz also expressed concern about the broader impact of US trade policies under the current administration, saying “I cannot see a really robust economy, because I just see the global economy suffering so much from the uncertainty that Trump poses.”
US President Donald Trump on Tuesday hinted at further tariffs on automobile, pharmaceuticals and semiconductor imports, with more details to be announced in early April.
(With input from Xinhua)
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