The Blubber

Trump Delays 25% Tariffs on Mexico and Some Canadian Imports for a Month

President Donald Trump announced Thursday that he would postpone imposing 25% tariffs on many imports from Mexico and some from Canada for a month, citing concerns over the economic fallout of an expanded trade war.

While the White House maintains that the tariffs are aimed at stopping fentanyl smuggling, Trump’s proposed trade measures have strained North America’s long-standing trade relationships, prompting Canada to take swift retaliatory action. The tariff threats have also rattled stock markets and raised alarm among U.S. consumers.

Beyond fentanyl, Trump has argued that the tariffs are necessary to fix the trade deficit. Speaking from the Oval Office, he emphasized his intent to implement "reciprocal" tariffs starting April 2.

"Most of the tariffs go on April the second," Trump said before signing the orders. "And then we have some temporary ones and small ones—relatively small, although it’s a lot of money—having to do with Mexico and Canada."

Trump also clarified that he does not plan to extend the tariff exemption for autos beyond the next month.

Tariff Details: Temporary Exemptions and New Duties

Under Trump’s orders:

• Imports from Mexico that comply with the 2020 USMCA trade pact will be exempt from the 25% tariff for one month.
• Imports from Canada that meet USMCA requirements will also avoid the tariffs for a month.
• Canadian potash imports, vital to U.S. farmers, will face a 10% tariff—the same rate Trump plans for Canadian energy products.

However, a White House official speaking on condition of anonymity said that:

• 62% of imports from Canada are not USMCA-compliant and will still face the 25% tariffs.
• Half of Mexico’s non-USMCA-compliant imports will also be taxed.

Mexico’s Response and Trump’s Justification

Mexican President Claudia Sheinbaum is expected to announce any retaliatory measures on Sunday. However, Trump credited her with making progress on illegal immigration and drug smuggling, which he said factored into his decision to delay the tariffs once again.

"I did this as an accommodation, and out of respect for President Sheinbaum," Trump wrote on Truth Social. "Our relationship has been a very good one, and we are working hard, together, on the Border."

Market Uncertainty and Economic Fallout

Trump’s on-again, off-again tariff threats have disrupted financial markets, weakened consumer confidence, and left businesses uncertain—potentially delaying hiring and investment decisions across multiple industries.