Larry Summers warns Trump's tariffs could raise U.S. inflation

Former U.S. Treasury Secretary Larry Summers has warned that President-elect Donald Trump's proposed tariffs on imports from Canada and Mexico could increase inflation in the U.S. He expressed concern over the potential economic impact during an interview on CBC. Trump has threatened a 25 percent tariff on all imports from Canada and Mexico starting January 20, 2025, unless those countries address drug trafficking and illegal immigration. He also plans a 10 percent tariff on goods from China related to fentanyl smuggling. Summers noted that such tariffs would harm Canada's economy and disrupt global trade. He emphasized the need for cooperation between the U.S. and Canada on these issues and advised Canada to maintain its commitment to its principles while navigating these threats.