Eye on Trump strongholds, Mexico hits back with pork, bourbon tariffs

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"There are better ways to negotiate trade deals than by punishing American consumers and businesses with higher costs", he added.

The Trump administration hit Mexico and Canada with 25-per-cent steel tariffs and 10-per-cent aluminum tariffs on June 1 as part of a campaign to pressure the countries to agree to America's demands on a revised NAFTA.

The dispute with Mexico over tariffs makes it more hard to conclude talks on renegotiating NAFTA between the three countries, discussions that began previous year because Trump said the deal needed to be reworked to better serve the United States.

However, Trump has repeatedly said he views the tariffs as being tied to progress on NAFTA talks and those negotiations have been increasingly deadlocked in recent weeks.

One major point of contention between the two countries has been the more than $370 billion trade deficit the US has with China.

Trade with the U.S.is particularly important to Mexico because about 80% of its exports go to its northern neighbor whereas only around 16% of USA exports come to Mexico. Marco Rubio's Florida, and agricultural products from the California district of Rep. Kevin McCarthy, the House majority leader.

The Trudeau government says gender equality will be a top priority as a reachable goal at the G7 leaders' summit in Quebec this week, despite concerns Canada's agenda could be overshadowed by tensions between U.S. President Donald Trump and other leaders over trade and tariffs.

"The way it was handled by the United States stunned everybody", Martin said.

Trump wrote in a series of tweets that his trade negotiations with China and a slew of USA allies would break down large trade barriers faced by American farmers.

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Macron's proposal that envisaged an instrument with budgetary firepower of around EUR200 billion ($233.2 billion). Merkel's comments came as investors are wary of the impact of Italy's new populist government on the eurozone.

Economists expect that the US ran a trade deficit of $49 billion in April, in-line with March's deficit and matching an annualized run rate of just under $600 billion.

But the question of tariffs - as well as the US decision to pull out of a deal created to curb Iran's nuclear ambitions - is what most G7 members want to sort out.

He compared the tariffs to one infamous example of American tariff policy: the Smoot-Hawley Tariff Act, passed by the U.S.in 1930, just as the Great Depression was taking hold.

The US last week said it's levying the new metals duties on imports from the nations and the European Union on national security grounds, ending their temporary exemptions.

The EU, Canada and Mexico had previously been exempt from the tariffs, which Trump originally announced in March.

Mexican President Enrique Pena Nieto and his Canadian counterpart, Justin Trudeau, spoke as soon as Washington announced the new duties.

The lawmakers were trying to draft a narrowly focused bill that would require a vote in Congress to approve tariffs when the administration claims they're needed for national security, as it did for those on steel and aluminum from the top USA allies.

China offered to buy almost $70 billion in American farm, manufacturing and energy products to persuade Washington to drop threatened tariffs, according to a news report on Tuesday.

Mexican Economy Minister Ildefonso Guajardo said his country would now "surely" look to Europe for pork products, used in many traditional dishes in Mexico.