On July 31, U.S. President Donald Trump signed an executive order imposing new so-called “reciprocal tariffs” on multiple countries and regions, with rates ranging from 10% to 41%. The tariffs will take effect seven days after the order’s issuance—on August 7—instead of the previously scheduled August 1.
The same day, Trump also signed an order raising tariffs on Canadian goods from 25% to 35%, effective August 1. Canadian Prime Minister Justin Trudeau expressed disappointment with the decision on August 1. Doug Ford, Premier of Ontario, Canada, urged retaliation, suggesting a 50% tariff on U.S. steel and aluminum to protect Canadian workers and businesses.
The U.S. also continued its tariff pressure on Mexico. Trump stated on July 31 that, due to the complexity of negotiations, the two countries agreed to extend their tariff agreement by 90 days. Mexico will continue paying a 25% tariff on fentanyl, 25% on automobiles, and 50% on steel, aluminum, and copper. According to the U.S., Mexico has agreed to immediately remove many non-tariff trade barriers. Mexican President Claudia Sheinbaum confirmed that Mexico avoided the planned tariff hike and will pursue a long-term agreement through dialogue within 90 days.
Dragon TV reporter Wang TaoFeng observed sharply divided reactions within the U.S. Conservative media argued the tariffs would protect U.S. manufacturing and boost revenue, while outlets like CNN and The New York Times strongly criticized the move, warning it would further disrupt global trade, fuel inflation, and strain supply chains. U.S. consumers voiced significant concerns, and think tank experts cautioned that mixing economic pressure with diplomacy could alienate traditional allies, with short-term fiscal gains masking deep long-term risks.