President Donald Trump has declared that tariffs on Mexico and Canada will be implemented on March 4, alongside an additional tariff on China. The announcement, made on Thursday, confirms a 25% tariff on goods from Mexico and Canada and an extra 10% tariff on Chinese imports.
Trump stated on his Truth Social platform that the tariffs are a response to the continued flow of illicit drugs into the United States. He claimed that despite pledges from Mexico and Canada to boost border security, drugs are still coming into the country “at very high and unacceptable levels.” Trump specifically cited fentanyl as a significant concern.
“We cannot allow this scourge to continue to harm the USA, and therefore, until it stops, or is seriously limited, the proposed TARIFFS scheduled to go into effect on MARCH FOURTH will, indeed, go into effect, as scheduled,” Trump wrote.
He also announced that China “will likewise be charged an additional 10% Tariff on that date.” This would bring the total U.S. tariffs on Chinese imports to 20%.
The move follows Trump’s initial imposition of tariffs last month, which were then delayed for a month after Mexico and Canada agreed to take steps to address illegal drug trafficking.
Mexican President Claudia Sheinbaum and Canadian Prime Minister Justin Trudeau had announced they would each send 10,000 soldiers to the border to target fentanyl. Trudeau also announced the creation of a “Fentanyl Czar” and intelligence sharing with the U.S. to target criminal organisations.
Trump has long advocated for import tariffs as a tool for negotiating deals and retaliating against countries that he believes are “ripping off” the United States. In addition to these measures, global 25% tariffs on steel and aluminum products are scheduled to begin on March 12, 2025. Trump also signed a presidential memorandum on February 13, outlining a plan to impose reciprocal tariffs on foreign nations that have duties on U.S. imports.
The potential increase in tariffs has unsettled the global economy, with consumers worrying about rising inflation and the automotive industry facing challenges if tariffs are imposed on America’s primary trading partners, Canada and Mexico. The likelihood of escalating prices and diminished economic growth could lead to political repercussions for Trump.
Critics have also pointed out inconsistencies in the administration’s justifications for the tariffs. Trump’s justifications for these tariffs have shifted, moving from a focus on reducing the U.S. trade deficit to concerns over drug trafficking, despite evidence from U.S. Customs and Border Protection indicating a decrease in drug smuggling.