The White House says the 10% baseline tariff rate applies to Canada and Mexico ...Middle East

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The White House says the 10% baseline tariff rate applies to Canada and Mexico

It's not clear what the tariff rates are on Mexico and Canada now along with whether USMCA-compliant goods continue to trade tariff free, along with auto parts.

CNBC's Megan Casella reports:

    White House says the 10% baseline tariff also applies to Canada & Mexico. It has not said whether that's the effective new rate itself; whether it adds to the 25% fentanyl tariff, making the new rate 35%; or whether it kicks in only if the fentanyl tariff falls away

    We are going to need some clarity on this. I still suspect that the USMCA rates apply but we could see CAD and MXN selling if these 10% rates apply. It would also push effective US tariff rates back up as Mexico, China and Canada account for a great deal of total US imports.

    This article was written by Adam Button at www.forexlive.com.

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