President Trump has temporarily suspended the 25% tariffs on goods from Canada and Mexico for 30 days, avoiding a trade conflict with these key allies. In return, Canadian Prime Minister Justin Trudeau agreed to strengthen border security to curb illegal migration and fentanyl trafficking. Mexican President Claudia Sheinbaum committed to bolstering Mexico’s northern border with military support, while the U.S. will regulate firearm exports to Mexico.
In contrast, a 10% tariff on Chinese imports went into effect, prompting retaliatory tariffs from China on American goods like coal, LNG, crude oil, and agricultural machinery. Trump indicated that these new tariffs are a first step, which could escalate without a resolution.
While Canada and Mexico prepared countermeasures, recent discussions led to a temporary agreement, delaying tariff enforcement for 30 days. Both Trump and Trudeau celebrated the outcome as a diplomatic success.
