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Elevate Magazine
February 4, 2025

Canada, U.S. Agree to Pause Tariffs Amid Fentanyl Crisis

canada, u.s. agree to pause tariffs amid fentanyl crisis
Photo source: Collections - GetArchive

President Donald Trump has decided to delay the enforcement of proposed tariffs on Canadian imports for a minimum of 30 days, as confirmed by Canadian Prime Minister Justin Trudeau on Monday. The announcement followed a similar decision made earlier regarding tariffs on goods from Mexico.

Trudeau shared the news via a tweet shortly after Trump and Mexican President Claudia Sheinbaum discussed the one-month suspension of tariffs on Mexican imports. Both countries agreed to boost their efforts to combat the trafficking of fentanyl, a potent opioid that has significantly impacted the U.S.

Source: X/Justin Trudeau

On Saturday, Trump had announced plans to impose a 25% tariff on imports from both Mexico and Canada, alongside a 10% tariff on goods from China. He had also intended to levy a 10% tariff specifically on Canadian energy resources. In response, Trudeau had warned that Canada would retaliate with a 25% tariff on approximately $155 billion worth of U.S. goods.

In his tweet regarding the suspension, Trudeau elaborated that Canada is committed to appointing a “Fentanyl Czar” and is implementing a $1.3 billion border plan, which includes increased personnel and technology at the border to bolster cooperation with U.S. partners in halting fentanyl trafficking.

“Proposed tariffs will be paused for at least 30 days while we work together,” he added. Canada had previously outlined its border security plan on December 18, prior to Trump’s tariff announcements.

On Monday, Trump echoed Trudeau’s sentiments in a post on Truth Social, stating, “Canada has agreed to ensure we have a secure Northern Border, and to finally end the deadly scourge of drugs like Fentanyl that have been pouring into our Country, killing hundreds of thousands of Americans.”

He expressed satisfaction with the outcome and noted that tariffs would be paused for 30 days while negotiations for a potential economic agreement with Canada continue.

Earlier that day, Trump also announced the pause on tariffs concerning Mexico after President Sheinbaum committed to deploying 10,000 soldiers to her northern border to prevent fentanyl shipments into the U.S.

The majority of fentanyl seized at U.S. borders originates from Mexico. In 2024 alone, over 21,100 pounds were confiscated at the Mexico border compared to just about 43 pounds at the Canadian border.