Trump Halts Canada & Mexico Tariffs for 30 Days After Border Security Deal/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ President Donald Trump agreed to delay tariffs on Canada and Mexico for 30 days after both countries pledged to increase border security and crack down on drug trafficking. The pause prevents an immediate trade war, but uncertainty remains as Trump threatens further tariffs on China and the EU. Financial markets reacted cautiously, and businesses are preparing for potential economic fallout.
Trump Pauses North American Tariffs, But Trade War Fears Remain
Quick Looks:
- Trump halts tariffs on Canada & Mexico for 30 days, pending further negotiations.
- Canada will create a fentanyl czar & classify Mexican cartels as terrorist groups.
- Mexico is deploying 10,000 National Guard troops to the border.
- Tariffs on China (10%) remain in place, with Trump threatening more if talks fail.
- Trump hints at future tariffs on the European Union.
- Markets react cautiously, unsure if tensions will reignite.
- U.S. businesses stockpile goods, fearing renewed tariffs in April.
Trump Halts Canada & Mexico Tariffs for 30 Days After Border Security Deal
Trump’s Tariff Strategy: Temporary Pause or Future Trade War?
Canada & Mexico Secure 30-Day Tariff Reprieve
After days of trade war fears, Canada and Mexico struck a deal with Trump, securing a 30-day delay on U.S. tariffs.
Canada agreed to:
- Appoint a fentanyl czar to tackle drug trafficking.
- Label Mexican cartels as terrorist organizations.
- Launch a joint U.S.-Canada task force on money laundering.
Mexico pledged:
- Deploying 10,000 National Guard troops to its northern border.
- Increasing crackdowns on fentanyl smuggling.
- Cooperating with U.S. intelligence on organized crime.
Trump called the agreement a “win for fairness”, but warned tariffs could return in 30 days if progress isn’t made.
“Tariffs are very powerful both economically and in getting everything else you want,” Trump said.
Tariffs on China Begin, More Could Be Coming
While Canada and Mexico secured a delay, Trump’s 10% tariff on Chinese imports remains in place.
- Trump said he plans to speak with Chinese President Xi Jinping soon.
- Further tariffs are possible if China doesn’t meet U.S. demands.
Trump also hinted at new tariffs on the EU, keeping global markets on edge.
“If we can’t make a deal with China, then the tariffs will be very, very substantial.”
Financial Markets React to Uncertainty
- Stock markets dipped slightly, reflecting relief over the pause but concern over future trade moves.
- Businesses rushed to stockpile Canadian & Mexican goods, fearing tariffs could return in April.
- Some companies are considering alternative suppliers, such as Norwegian salmon instead of Canadian seafood.
Business & Political Reactions
- Economic analysts warn tariffs could slow growth & raise consumer prices.
- Tourism leaders fear fewer Canadian visitors to the U.S. due to economic uncertainty.
- Alaska tourism director Jaime Bricker said Canadian visitors are crucial:“It’s difficult to know how impactful this will be without certainty about what’s next.”
What’s Next?
- Will Mexico & Canada’s efforts satisfy Trump, or will tariffs return?
- How will China respond to U.S. tariffs—will retaliation escalate the trade war?
- Will Trump impose tariffs on the EU next?
For now, the North American trade war is on hold—but far from over.
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