Date: 2025-08-22 Page is: DBtxt003.php txt00028222
TRUMP'S WRECKING BALL
MASSIVE DISRUPTION OF WORLD ORDER
Canada and EU announce retaliatory tariffs, escalating Trump’s trade war
MASSIVE DISRUPTION OF WORLD ORDER
Canada and EU announce retaliatory tariffs, escalating Trump’s trade war
Original article:
Peter Burgess COMMENTARY
I am pretty upset.
I learned some economics when I was at Cambridge University around 1960 ... about 65 years ago.
For several decades the US and international economy has had a focus on maximising the economic profit that had been the result of economic activity.
I am not and never have been opposed to a reasonable economic profit, but since the early 1900s almost all the economic profit has flowed into financial returns for owners and investors and rather little to benefit customers and producers / workers.
The
Peter Burgess
PBS News
Canada and EU announce retaliatory tariffs, escalating Trump’s trade war
Mar 12, 2025 6:55 PM EDT
Written by Stephanie Sy, Jonah Anderson and Azhar Merchant
Transcript
The trade war between the U.S. and dozens of countries escalated yet again Wednesday. Canada and the European Union announced their own tariffs designed to inflict economic pain and pressure on America. But President Trump said he would not be deterred from his campaign. Stephanie Sy reports.
Amna Nawaz:
The trade war between the U.S. and dozens of countries escalated yet again today. Canada and the European Union announced their own tariffs designed to inflict economic pain and pressure on America. But President Trump said he would not be deterred from his campaign to get better and more fair trading agreements over time.
Stephanie Sy begins with this report.
Ursula von der Leyen, President, European Commission:
The European Union must act to protect.
Stephanie Sy:
Today, U.S. allies punched back.
Ursula von der Leyen:
The countermeasures we take today as strong, but proportionate.
Stephanie Sy:
This morning, European Union Commission President Ursula von der Leyen announcing tariffs on U.S. goods totaling some $28 billion. They're set to take effect in two stages starting April 1 and cover a wide range of products from textiles to home appliances to agricultural goods.
The E.U. is targeting many products made in Republican-held states, like beef, poultry and bourbon. But von der Leyen said there's still time to reverse course.
Ursula von der Leyen:
We will always remain open to negotiations. We firmly believe that in a world fraught with geo-economic and political uncertainties, it is not in our common interest to burden our economies with such tariffs.
Stephanie Sy:
Meanwhile in Canada:
Man:
We're hitting back against these unjustified U.S. tariffs.
Stephanie Sy:
Twenty-five percent reciprocal tariffs take effect tomorrow on more than $20 billion worth of steel, aluminum and other U.S. imports. That's in addition to the 25 percent tariffs Canada imposed last week on $30 billion worth of U.S. goods.
During the announcement today, Canada's foreign affairs minister spoke directly to Americans.
Melanie Joly, Canadian Foreign Minister:
Canada is not the one driving up the cost of your groceries or of your gasoline or any of your construction. President Trump's tariffs against you are causing that. And there are no winners in a trade war.
Donald Trump, President of the United States: Canada is absolutely one of the worst, worst in terms of charging tariffs.
Stephanie Sy:
In an Oval Office meeting with Ireland's leader today, President Trump suggested he was prepared to escalate the charges.
Donald Trump:
We're going to be doing reciprocal tariffs. If they charge us 25 or 20 percent or 10 percent or 2 percent or 200 percent, then that's what we're charging them.
Stephanie Sy:
The president defended his measures.
Donald Trump:
We have been abused really for a long time and we will be abused no longer.
Stephanie Sy:
Saying other countries have taken advantage of the U.S. and that tariffs will protect domestic industries.
Stephen Capone, President, Capone Iron Corporation:
The tariffs actually align with something that I have been working on for over 30 years.
Stephanie Sy:
Stephen Capone is the president of Capone Iron Corporation of Raleigh, Massachusetts. He agrees that tariffs will benefit his business.
Stephen Capone:
I think it's a positive thing. I am supportive of the tariffs. We are being decimated by the Canadian steel fabricators, and they're just coming down and taking jobs at will. They control 95 percent of the publicly funded construction projects and over 80 percent of the private market. And there aren't much of us left, actually. They have been systematically and intentionally boring their prices and putting us out of business.
Stephanie Sy:
He says that, although tariffs may come with a cost, they will benefit U.S. businesses down the line.
Stephen Capone:
What people don't realize, OK, there's a cost to a tariff. I get that. But there's also something associated with keeping projects domestic. In my industry, it's an economic multiplier of 1.5. So a $10 million steel job resonates $15 million through the local and regional economy. That's real money. And that could do a lot of good for the economy and the communities.
Stephanie Sy:
But outside of steel, many American companies are worried. Despite a positive report out of the Labor Department today showing inflation slowed by more than expected last month, the optimism is constrained by fears of higher prices to come.
The Consumer Price Index increased 2.8 percent from last year, down from 3 percent the previous month. But the latest data does not reflect the casualties of the current tariff war.
For the 'PBS News Hour,' I'm Stephanie Sy.
PBS NewsHour from Mar 12, 2025
Related
Mar 12 Trump’s steel and aluminum tariffs meet swift retaliation from Canada and the EU By Lorne Cook, David McHugh, Rob Gillies, Associated Press
Mar 12 Trump’s 25 percent tariffs on all steel and aluminum imports go into effect, raising fears of economic slowdown By Josh Boak, Paul Wiseman, Rob Gillies, Associated Press
Mar 11 Trump ups planned tariffs on Canadian steel and aluminum to 50 percent By Josh Boak, Associated Press
Mar 10 Trump has touted Gilded Age tariffs, an era which saw industrial growth together with poverty By Will Weissert, Associated Press
Mar 09 Trump doesn’t rule out recession while downplaying business concerns about his tariffs By Zeke Miller, Associated Press
By — Stephanie Sy Stephanie Sy is a PBS News Hour correspondent and serves as anchor of PBS News Hour West. Throughout her career, she served in anchor and correspondent capacities for ABC News, Al Jazeera America, CBSN, CNN International, and PBS News Hour Weekend. Prior to joining NewsHour, she was with Yahoo News where she anchored coverage of the 2018 Midterm Elections and reported from Donald Trump’s victory party on Election Day 2016.
By — Jonah Anderson Jonah Anderson is a News Assistant at the PBS NewsHour.
By — Azhar Merchant Azhar Merchant is Associate Producer for National Affairs.
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