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Commerce Secretary Lutnick said tariffs on Canada and Mexico could be lower than 25 percent.
WASHINGTON—After a flurry of diplomatic meetings focused on Ukraine last week, President Donald Trump is now shifting his attention to trade, with plans to impose a 25 percent tariff on Mexico and Canada and double the additional 10 percent tariff on Chinese imports, starting March 4.
While Mexico and Canada remain hopeful about resolving the issue and delaying the tariffs, Trump expressed disappointment over the lack of progress in addressing fentanyl trafficking.
In a Truth Social post on Feb. 27, Trump stated that drugs, primarily fentanyl, supplied by China are still being smuggled into the United States through the borders of Canada and Mexico at “unacceptable levels.”
“We cannot allow this scourge to continue to harm the USA, and therefore, until it stops, or is seriously limited, the proposed TARIFFS scheduled to go into effect on MARCH FOURTH will, indeed, go into effect, as scheduled,” Trump wrote. “China will likewise be charged an additional 10% Tariff on that date.”
Last month, Trump had outlined plans to impose 25 percent tariffs on imports from Mexico and Canada, though Canadian energy products such as oil and natural gas will be subject to a lower 10 percent tax.
Canada and Mexico had previously secured a 30-day pause in the tariffs after the two countries’ leaders agreed to take measures aimed at lowering the flow of drugs and illegal immigrants into the United States.
Mexican President Claudia Sheinbaum agreed to send 10,000 National Guard troops to the U.S.–Mexico border. And Canadian Prime Minister Justin Trudeau announced that he had implemented a $1.3 billion border plan and appointed a new Fentanyl Czar.
Speaking to Fox News on March 2, Commerce Secretary Howard Lutnick confirmed that Trump will impose tariffs on both Canada and Mexico but noted they may not be as high as 25 percent since both countries “have done a reasonable job on the border.”
“They have done a lot, so he’s sort of thinking about right now how exactly he wants to play it with Mexico and Canada, and that is a fluid situation,” Lutnick said.
“There are going to be tariffs on Tuesday on Mexico and Canada. Exactly what they are, we’re going to leave that for the President and his team to negotiate.”
By Emel Akan