U.S. President Donald Trump announced that starting Tuesday, a 25 percent tariff will be imposed on imports from Canada and Mexico, with a lower 10 percent tariff specifically on Canadian energy.
Trump stated that there is no further room for negotiation with America’s closest neighbors regarding these crippling tariffs.
According to the president, both Canada and Mexico would need to build car manufacturing plants and other facilities within the U.S. to have the tariffs lifted.
Trump’s executive order for implementing these wide-reaching tariffs was delayed until Tuesday after Canada and Mexico agreed to introduce new security measures at their borders.
Initially, the tariffs were tied to the illegal movement of people and drugs across the borders, but Trump had previously mentioned that the delay would provide an opportunity for an “economic” deal to be reached.
It remains unclear what specific concessions Trump expects from Canada in exchange for permanently removing the tariff threat.
This report from The Canadian Press was first published on March 3, 2025.
