Mexico to impose retaliatory tariffs on US following China and Canada as trade war heats up

Those are really short supply chains... we depend on Mexico during the winter. We're going to try and make sure we can do everything we can to protect pricing, but if there's a 25 percent tariff, those prices will go up."

Target CEO Brian Cornell told CNBC on Tuesday

We never want to raise prices... Our model is everyday low prices. But there probably will be cases where prices will go up."

CFO John David Rainey told CNBC

These new tariffs will likely increase costs for American consumers and businesses by making imported goods more expensive. History shows that tariffs often lead to higher production costs, slower economic growth, and reduced global competitiveness for U.S. exporters. The White House claims tariff revenue will help offset deficits, but in reality, it's a tax that American businesses and consumers will ultimately pay."

Tahra Jirari, director of economic analysis at the Chamber of Progress, an American trade group, previously told Newsweek

We expect our vendors across our entire assortment will pass along some level of tariff costs to retailers, making price increases for American consumers highly likely."

Best Buy CEO Corie Barry said on an earnings call, as reported by CNBC

Fruits and vegetables can't be stored long. Since we get over 60 percent of our fresh produce from Mexico, the tariffs will be applied to the goods we consume very quickly. Consumers should prepare; many items are going to get more expensive quickly. In an already weakening environment, the tariffs seriously raise the chances of a difficult recession. Very disappointing."

Economist Wayne Winegarden, who also serves as the director at the Center of Medical Economics and Innovation at the Pacific Research Institute, told Newsweek

Donald Trumppresident

For many years, the U.S. has been treated unfairly by other Countries, both friend and foe. This System will immediately bring Fairness and Prosperity back into the previously complex and unfair System of Trade. America has helped many Countries throughout the years, at great financial cost. It is now time that these Countries remember this, and treat us fairly – A LEVEL PLAYING FIELD FOR AMERICAN WORKERS."

President Donald Trump wrote previously on Truth Social

Now that these tariffs are coming into play, the cost of many of these products are going to go up quite substantially,

said Neil Saunders, managing director at GlobalData, a retail consultancy

On the plus side, ... household wealth is still enormously high, and the jobless rate is still 4%. And while excess savings have fallen sharply, we estimate that they are not fully depleted.”

the Barclays analysts wrote

The retailers will have to eat a little bit, the manufacturers are going to have to eat a little bit,

JPMorgan analyst Chris Horvers recently told CNBC, adding

Yeah, 2025 is going to be a fantastic year for us.

No retailer is coming out and saying

It is our intent as we sit here today to absorb those costs,

Chipotle’s CEO told NBC News when asked about tariffs this week

We think uncertainty (on tariffs, inflation, job cuts) is already weighing on business and consumer confidence,

they wrote, citing Trump’s announcement of an additional 10% tariff on Chinese goods, on top of the 10% hike he implemented weeks ago, and his threat to slap a 25% tariff on Europe

We continue to see the U.S. consumer and the U.S. market overall to be extremely resilient and strong,

said van der Steene

The short-term effect of any tariff clearly is inflation,

Charles van der Steene, president of Maersk North America, said during an interview at the TPM Conference in Long Beach, California, a major annual convention for the logistics industry

Tariffs and policy are not changing that…they could slow the spots down in the near term.”

Ives said

This will be an ‘uncomfortable time for growth investors’....but ultimately this is not the time to run for the hills in the tech trade and instead overn these tech AI winners.”

Ives said

Claudia Sheinbaumpresident

It’s inconceivable that they don’t think about the damage this is going to cause to United States citizens and businesses with the increase in prices for things produced in our country,

Sheinbaum said

Claudia Sheinbaumpresident

We collaborate to avoid illegal drug trafficking to the United States, but as we have said on multiple occasions, that country’s government must take responsibility too for the crisis of opioid consumption that has caused so many deaths in the United States,

Sheinbaum said

There is no motive or reason, nor justification that supports this decision that will affect our people and our nations,

she said

In hindsight, when the Conservatives had a 27-point advantage in our polling, it didn’t have anything to do with Pierre Poilievre being strong or liked, or the Conservatives being brilliant strategists,

Nik Nanos, founder of Canadian polling firm Nanos Research, told Fox News