U.S. tariffs on Mexico, Canada start Tuesday, Trump says

The United States on Tuesday will start levying 25% import taxes on all goods entering the country from Canada and Mexico, President Donald Trump told reporters on Monday. The Trump administration last month threatened to impose tariffs if both countries did not take greater measures to stop illegal migration and drug trafficking across their borders with the United States.

The president previously delayed enforcing the tariffs when both countries promised to take action to stop fentanyl and illegal migrants entering the United States. Trump also appeared to use the tariffs as a motivator or impetus for greater economic investment in the United States. If companies build manufacturing plants here, then tariffs won’t be a problem, he told reporters.

What other economic updates were given? Trump called the news conference to highlight a plan by Taiwan Semiconductor Manufacturing to invest another $100 billion toward more U.S.-based manufacturing sites. Semiconductor production will bring tens of thousands of high-paying jobs to the United States and solidify American dominance in artificial intelligence, Trump said.

Combined with an earlier commitment, Taiwan Semiconductor now plans to invest a total of $165 billion toward its goal of operating out of Phoenix, according to a company news release. The company plans to erect three production sites, two packaging facilities, and an administrative hub, according to the release. Taiwan Semiconductor’s investment marks the largest direct single instance of foreign investment in U.S. history, the company added.

Dig deeper: Read Todd Vician’s report in WORLD Magazine for more insights on how tariffs work and their effects on the U.S. economy.