Trump Reaffirms 25% Tariffs on Canada and Mexico amid Trade Tensions

Friday 31 January 2025 - 08:04

U.S. President Donald Trump has confirmed his intention to impose 25% tariffs on imports from Canada and Mexico starting Saturday, though he hinted that oil might be exempt.

During a press briefing at the White House, Trump stated that he would make a final decision on oil imports “probably tonight,” indicating that the exemption would depend on pricing. He also emphasized that the U.S. could quickly replace any potential shortfall in imports, asserting that the country has sufficient oil resources.

In 2023, Canada accounted for over half of U.S. crude oil imports, while Mexico supplied an additional 11%, according to official data. Both countries have vowed to respond with reciprocal measures while also seeking to reassure Washington of their commitment to border security concerns.

Trump initially proposed these tariffs shortly after his election in November, framing them as a measure to counter illegal immigration and drug trafficking across the southern border. He later suggested February 1 as the implementation date following his inauguration.

In addition to the tariffs on North American trade partners, Trump has also signaled potential tariffs on China, citing concerns over the influx of fentanyl into the U.S. He warned that China would face additional economic measures, arguing that the synthetic opioid was responsible for significant loss of life.

China, for its part, has urged against a return to protectionist policies and has called for mutually beneficial solutions to trade disputes.