Importers and exporters based in Texas have so far avoided the harshest effects of the trade war sparked by President Donald Trump’s tariffs on imports from a host of countries, but they could be in for a rude awakening come Monday.

President Trump has threatened to increase Mexico’s tariff rate to 30 percent starting Aug. 1, claiming the country hasn’t sufficiently tackled drug cartels.

Trump’s tariffs spark a nationalist reaction in Latin America. Is the U.S. president a godsend for the region’s leftist leaders?

If Trump enacts tariffs on Mexico, it would be in violation of the U.S.-Mexico-Canada Agreement, a 2020 treaty that replaced the Clinton-era North American Free Trade Agreement.

The tariffs are likely to inflame tensions with one of the largest U.S. trading partners.

President Trump on Saturday formally enacted sweeping tariffs on Canada, Mexico and China, fulfilling a long-promised threat to force America's closest trading partners to pony up.

If he moves forward with the tariffs, it could have ramifications for nearly every aspect of the global economy.