Donald Trump is set to speak to the leaders of Canada and Mexico later but warned them against retaliating to his tariffs, saying: “We can play the game all they want.”
However, the US president returned to Washington from Mar-a-Lago on Sunday night and brushed aside the reprisals.
“I love the people of Canada. I disagree with the leadership of Canada. And something’s gonna happen there.
“If they want to play the game, I don’t mind. We can play the game all they want.”
Mr Trump also threatened to impose steeper tariffs elsewhere, telling reporters import taxes will “definitely happen” with the European Union.
When asked about potential tariffs on the UK, Mr Trump told reporters “we’ll see what happens”.
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The Trump administration had said the tariffs aimed to stop the spread and manufacturing of the opioid fentanyl, as well as pressuring America’s neighbours to limit illegal immigration to the US.
But it risks a trade war and higher prices for American consumers.
Image: Donald Trump speaks to reporters next to Air Force One after arriving back at Joint Base Andrews. Pic: AP Photo/Ben Curtis
Shares on Asian markets tumbled in early trade on Monday and US equity futures pointed sharply lower in the wake of Mr Trump’s imposition of tariffs.
Japan’s Nikkei opened down 2% this morning, with large falls also reported on Taiwan and South Korea’s indices.
“Trump’s trade war has started,” said Alvin Tan, head of Asia currency strategy at RBC Capital Markets in Singapore.
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Earlier on Sunday, Mr Trump said any potential pain caused by the trade war would be worth it.
“Will there be some pain? Yes, maybe (and maybe not!). It will all be worth the price that must be paid.”
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10:47
Trump tariffs: ‘You could be next’
Meanwhile, Canada’s high commissioner to the UK Ralph Goodale, speaking to Sky News’ Kamali Melbourne, had a warning for allies.
He said: “I would just say to our allies around the world watch this closely, you could be next, and in the meantime, stand by your friends.”
He added Mr Trump’s words were a “salesman’s pitch” and despite the historically close relationship between the countries “we don’t want to be each other”.
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