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WASHINGTON — President Donald Trump’s vow to levy punishing taxes on the country’s top trading partners is already having the Texas business community on edge, with even Republicans who support the president acknowledging it could cause pain in the state.
Trump threatened to implement 25% tariffs on goods imported from Canada and Mexico and an additional 10% tariff on China, which he subjected to tariffs under his first presidency. Mexico and Canada have threatened to levy retaliatory tariffs on the United States.
Mexico is by far Texas’ largest trading partner, followed by Canada with China coming closely behind. Free-trade advocates warn that tariffs on goods will be passed onto consumers — meaning higher prices for Texans. Any positive benefits such as bringing manufacturing back to the country may not appear for years.
“There would undeniably, indisputably be a …