The President of the United States, Donald Trump, announced that the application of tariffs on imported products from Mexico and Canada will begin on April 2, after postponing the measure twice. This was announced during a meeting of his cabinet.
Trump justified his decision based on concerns about border security and drug trafficking, primarily fentanyl. “No, I will not stop the tariffs. Millions of people have died because of fentanyl crossing the border,” he stated when asked if there had been enough reduction in border crossings to maintain the pause on tariffs against Mexico and Canada. “The tariffs will go forward, not all of them, but many.”
Initially, Trump announced his intention to impose a 25% tariff on imports from both countries. However, he agreed to delay it by 30 days after Mexico and Canada requested an extension. The original enforcement date was February 4, then it was moved to March 4, and now to April 2.
Trump takes aim at Canada
Trade experts have warned that the implementation of these tariffs could trigger commercial retaliation and severely impact strategic sectors such as the automotive, agricultural, and manufacturing industries. In the case of Canada, Donald Trump has been particularly critical of its economic dependence on the United States.
“Canada should be our 51st state. If they had to pay, they couldn’t exist. Canada depends on us by 95%. We depend on them by 4%,” Trump declared in his statements.
He also emphasized, “We support Canada with $200 billion a year in subsidies… Without us, Canada cannot survive.”
The Canadian government has avoided direct confrontations but has reiterated the importance of the trade relationship with the United States. However, Trump continues to downplay the role of Canadian Prime Minister Justin Trudeau.
“I say Canada should be our state. Trudeau. Good guy. I call him Governor Trudeau,” the former U.S. president stated.
Trump has also questioned defense relations between the two nations. “We protect Canada, but it’s not fair… They’re not paying their share,” he added.
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How do the tariffs affect the economies of Canada and Mexico?
One of the most affected sectors would be the Canadian lumber industry. “The tariffs will make it impossible for Canada to sell lumber in the United States,” Trump emphasized.
The tariffs could also increase the cost of essential products in the U.S. market, from Mexican manufactured goods to food and consumer goods. Analysts have warned that if these measures materialize, they could create an inflationary effect in the United States and impact trade relations within the USMCA framework.
“If we don’t support Canada, it won’t exist as a nation,” Trump asserted, suggesting that the neighboring country’s economy heavily relies on trade with the United States.
