Trump's tariffs on Mexico and Canada to take effect tomorrow

President Donald Trump announced that 25 percent tariffs on imports from Mexico and Canada will take effect tomorrow, ending weeks of speculation about whether the measures could be avoided. The announcement came on Monday, shortly after Trump administration officials hinted that the tariffs might be lower than previously threatened. However, speaking to reporters at the White House, Trump appeared firm in his decision to proceed with the higher rate.

“Tomorrow – tariffs of 25 percent on Canada and 25 percent on Mexico. And that will start,” Trump declared.

When asked if there was any room for negotiation, Trump responded, "No room left. The tariffs are all set. They go into effect tomorrow."

Additionally, Trump stated that he would impose another 10 percent tariff on goods from China, adding to the 10 percent tariff he implemented last month.

For weeks, Trump had promised to impose 25 percent tariffs on all imports from Canada and Mexico, with an additional 10 percent tariff on Canadian energy. He has framed the tariffs as part of a broader strategy to pressure both countries to do more to curb migration and drug trafficking into the U.S.

Originally, Trump planned to impose the tariffs in February but delayed the action after Canada and Mexico agreed to take certain steps regarding border control.

On Monday, Mexican President Claudia Sheinbaum responded during her daily news conference, stating that Mexico had made a strong case against the tariffs, but was prepared to respond to Trump's decision. “So whatever his decision is, we will make our decisions, and there is a plan and there is unity in Mexico,” Sheinbaum said.

Meanwhile, Canada’s Foreign Minister Melanie Joly confirmed that the Canadian government was prepared to retaliate. She reiterated that Canada’s countermeasures could amount to $106 billion. Canadian officials had previously drafted a plan to target imports from U.S. regions that support Trump’s Republican Party, although it was unclear whether they would take a similar approach this time.

CEOs and economists have warned that the tariffs, which would affect over $900 billion in annual U.S. imports from Canada and Mexico, could harm the highly integrated North American economy.

Commerce Secretary Howard Lutnick suggested on Sunday that Trump may not impose the full extent of the tariffs. He told Fox News that both Mexico and Canada had made reasonable efforts to secure their borders with the U.S., and Trump was still considering the final tariff levels. “He’s sort of thinking about right now how exactly he wants to play with Mexico and Canada, and that is a fluid situation,” Lutnick said. “There are going to be tariffs on Tuesday on Mexico and Canada. Exactly what they are, we’re going to leave that for the president and his team to negotiate.”