The Latest: Trump’s long-threatened tariffs against Canada and Mexico go into effect

President Donald Trump’s long-threatened tariffs against Canada and Mexico went into effect Tuesday, putting global markets on edge and setting up costly retaliations by the United States’ North American allies.

Also, Trump will stand before a joint session of Congress on Tuesday to give an accounting of his turbulent first weeks in office as a divided nation struggles to keep pace, with some Americans fearing for the country’s future while others are cheering him on.

Here's the latest:

China defended its efforts to control the flow of fentanyl to the US

That came as new American tariffs took effect Tuesday on Chinese imports.

The Trump administration’s stated reason for the tariffs, which hit Canada and Mexico as well as China, is to address drug trafficking and illegal immigration.

A Chinese government report said it had exercised strict supervision over fentanyl-related medications and cracked down on the smuggling, manufacturing, and trafficking of fentanyl-related substances and related precursor chemicals.

“China has achieved notable successes in in-depth cooperation with countries concerned, including the United States,” the report said.

It said China is willing to cooperate “but firmly opposes illegal sanctions and unreasonable suppression on the grounds of the so-called fentanyl issue.”

Following Trump’s lead, his allies criticize Ukraine’s Zelenskyy and suggest he may need to resign

Trump’s senior aides and allies criticized Ukrainian leader Volodymyr Zelenskyy from Washington as he attended a European summit Sunday in London to rally international support for his military’s fight against the Russian invasion.

Following Trump’s lead, White House officials and Republicans in Congress used news show appearances to demand that Zelenskyy display more gratitude for U.S. support and an openness to potential war-ending concessions to Russian President Vladimir Putin. Some suggested Zelenskyy should consider resigning even as Ukrainians rally around him.

But they offered little clarity as to what Zelenskyy and Ukraine could do after Friday’s Oval Office meeting in which Trump and Vice President JD Vance berated him before canceling the signature of an economic agreement between Washington and Kyiv.

▶ Read more about the criticism of Zelenskyy from Washington

Trump’s tariff tactics carry higher economic risks than during his first term

When Trump started the biggest trade war since the 1930s in his first term, his impulsive combination of threats and import taxes on U.S. trading partners created chaos, generated drama -- and drew criticism from mainstream economists who favor free trade.

But it didn’t do much damage to the U.S. economy. Or much good. Inflation stayed under control. The economy kept growing as it had before. And America’s massive trade deficits, the main target of Trump’s ire, proved resistant to his rhetoric and his tariffs: Already big, they got bigger.

The trade war sequel that Trump has introduced in his second term is likely to be a different matter altogether. Trump appears to have grander ambitions and is operating in a far more treacherous economic environment this time.

▶ Read more about the impacts of Trump’s tariffs

India’s steel industry contemplates potential fallout from Trump administration tariffs

Many industry workers and experts expect that the result of tariffs will be that cheap steel gets dumped in places like India. That’s because the announced tariff will make it too expensive for many companies in countries like China and South Korea to keep exporting to the U.S.

For B. Praveen of Sun Techpro Engineering, which makes products from steel metal sheets, it means his “wafer-thin” profit margins will probably grow as the steel he buys gets cheaper.

“For thousands of companies like mine, this can be a good thing,” he said. Businesses such as Praveen’s employ over 200 million Indians and are key drivers of India’s economy.

But cheaper steel in India isn’t good for everyone. In February Naveen Jindal, the president of the Indian Steel Association, which represents all India’s steelmakers, said that he was “deeply concerned,” especially since “India is one of the few major markets without any trade restrictions,” making it a target for potential steel dumping. And the increased competition could impact efforts by India to produce its own steel more cleanly. The current production of most Indian steel releases high levels of greenhouse gas emissions, which cause climate change. Reduction efforts could be cut in the interest of keeping profits up.

▶ Read more about how tariffs are impacting India’s steel industry

Here are some goods in the crosshairs of Trump’s tariffs on Mexico, Canada and China

The United States last year did nearly $2.2 trillion in the trade of goods — exports plus imports — with the countries the president is targeting: $840 billion with Mexico, $762 billion with Canada and $582 billion with China.

Energy imported from Canada, including oil, natural gas and electricity, will be taxed at a lower 10% rate — a concession to households in the U.S. Northeast and Midwest that depend on Canadian energy.

The following are just a few imported goods whose prices may be hit first:

1. Auto production

2. Gas

3. Computers

4. Clothes

5. Toys

6. Tequila

7. Canadian whiskey

8. Mexican avocados

▶ Read more about some of the goods that will be hit hardest by the tariffs

US tariffs on Canada and Mexico take effect as China takes aim at US farm exports

Starting just past midnight, imports from Canada and Mexico are now to be taxed at 25%, with Canadian energy products subject to 10% import duties.

The 10% tariff that Trump placed on Chinese imports in February was doubled to 20%, and Beijing retaliated Tuesday with tariffs of up to 15% on a wide array of U.S. farm exports. It also expanded the number of U.S. companies subject to export controls and other restrictions by about two dozen.

Canadian Prime Minister Justin Trudeau said his country would slap tariffs on more than $100 billion of American goods over the course of 21 days. Mexico didn’t immediately detail any retaliatory measures.

The U.S. president’s moves raised fears of higher inflation and the prospect of a devastating trade war even as he promised the American public that taxes on imports are the easiest path to national prosperity. He has shown a willingness to buck the warnings of mainstream economists and put his own public approval on the line, believing that tariffs can fix what ails the country.

▶ Read more about Trump’s tariffs