OECD report warns Trump tariffs are driving up inflation

French president Emmanuel Macron said trade that adhered to international rules on commerce was a more effective tool for prosperity than tariffs

French President Emmanuel Macron, right, and Canada's Prime Minister Mark Carne at the Elysee Palace in Paris on Monday. Mr Macron said trade that adhered to international rules on commerce was a more effective tool for prosperity than tariffs. Picture: AP Photo/Thomas Padilla

US president Donald Trump's tariff hikes will drag down growth in Canada, Mexico and the US while driving up inflation, the OECD forecast on Monday, just as Mr Trump promised to press ahead with a new wave of levies in early April.

Mr Trump also repeated he had no plans to create exemptions for the 25% steel and aluminum tariffs that went into effect last week.