When Donald 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.

Only a couple years ago, manufacturers were fighting for space to relocate their operations to Monterrey, an industrial city in Mexico’s northeast, as they sought to move closer to the US and its vast consumer market.

The United States' proposed tariffs on Canada and Mexico will take effect on Tuesday, but President Donald Trump will determine whether they would be set at the proposed 25%, Commerce Secretary Howard Lutnick said.