The President of the United States, Donald Trump, confirmed on Monday that he will impose tariffs of 25% on imports from Mexico and Canada, which will take effect on Tuesday, March 4. But are Trump’s tariffs legal? Let’s explain how he managed to apply them without Congress’s approval.
Are Trump’s tariffs legal?
To impose the tariffs on imports from Mexico and Canada, Donald Trump invoked the International Emergency Economic Powers Act (IEEPA), which allows him to implement measures to address crises without the need for prior investigations.
According to the law, enacted in 1977, it grants the U.S. President the authority to block financial and commercial transactions in response to foreign threats. Therefore, Trump’s tariffs are technically legal.
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What tariffs has Trump imposed on Mexico and Canada?
According to the executive order previously signed by the Republican, a 25% tariff will be applied to imports from Canada, as well as a 10% tariff on oil, natural gas, electricity, and other energy products. Meanwhile, Mexican imports will face a 25% tariff.
Why did Trump impose tariffs on Mexico and Canada?
In previous statements, President Donald Trump has indicated that the tariffs are a result of illegal immigration and drug trafficking, especially fentanyl, for which he blames Mexico, Canada, and China.
In the executive order, Trump also accuses the Mexican government of having an alliance with drug traffickers, which he claims poses a national security risk to the United States. He also warned that Mexican cartels operate from Canada.
Can the U.S. Congress stop the tariffs?
For the U.S. Congress to halt the tariffs imposed by Donald Trump, it would require the President himself to sign a new law granting that authority, which is very unlikely to happen; however, Congress can oversee the implementation of these levies.
How can Mexico and Canada avoid Trump’s tariffs?
The U.S. president has repeatedly said that there is no way to stop or avoid these tariffs, although Commerce Secretary, Howard Lutnick, gave Mexican and Canadian businesses an option: invest in production in the United States.
Can Donald Trump increase the tariff percentages on Mexico and Canada?
Yes, since the executive order signed by the Republican stipulates that he can respond with retaliatory measures if Mexico or Canada also impose tariffs. This includes increasing the percentage and scope of the levies.
Trump announces tariffs on agricultural products
The tariffs that will go into effect early Tuesday won’t be the only ones, as President Donald Trump announced he will impose tariffs on agricultural products starting on April 2 of this year.
“To the great farmers of the United States: get ready to start producing a lot of agricultural products to be sold INSIDE the United States. The tariffs will be applied to external products starting April 2. Have fun!” the President posted on his official Truth Social account.
Although the president anticipates there will be increased local agricultural demand due to these tariffs, in 2024 alone, the country imported $216,058 million in food and beverages, with Mexico being one of the top suppliers.
Among the main products imported into the United States in the past year are the following:
- Meat products ($20,261 million)
- Fruits and juices ($29,832 million)
- Bakery products ($21,904 million)
- Vegetables ($21,483 million)
