U.S. Pauses Some Canadian, Mexican Tariffs
It has been a week of retaliatory actions, warnings of price hikes from businesses and wild price swings in the markets. Investors and business leaders, on edge about an escalating trade war, continue to monitor fast-paced headlines from the Trump administration.
Here鈥檚 the latest:
- President Donald Trump聽聽for Canadian and Mexican goods covered by the North American trade agreement known as USMCA until April 2.
- About 50% of Mexican imports and 38% of Canadian imports are covered by the trade agreement, according to a White House official.
- Trump is poised to enact 鈥渞eciprocal tariffs鈥 April 2 on foreign nations that have import taxes on U.S. goods.
- Mexican President Claudia Sheinbaum said聽聽when such reciprocal tariffs come into effect. Canadian Prime Minister Justin Trudeau said his goal remains to get聽.鈥
- Thursday鈥檚 tariff exceptions excluded those imposed on China. The country is standing tough, saying it鈥檚prepared to fight 鈥渁ny type of war鈥 with the U.S.
Trump鈥檚 tariffs will still apply to about 50% of Mexican imports and more than 60% Canadian goods.
The president鈥檚 exemptions apply only to goods that are compliant with the United States-Mexico-Canada Agreement, the deal negotiated during Trump鈥檚 first term that governs trade in North America.
A White House official told CNBC that only about 50% of Mexican imports and 38% of Canadian imports are USMCA compliant.
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