President Donald Trump announced he will pause additional tariffs on Canadian imports for 30 days after a call with Prime Minister, Justin Trudeau who made some concessions to temporarily stave off the levies.
The development comes after Trump had vowed to impose a 25% tariff on all Canadian and Mexican goods, as well as a 10% tariff on Canadian energy and a 10% tariff on all goods entering the US from China.
Fox News reports that the tariffs on Canada and China were set to go into effect Tuesday at midnight.
Trump had long stated that Canada and Mexico failed to do enough to prevent the flow of illegal migrants and drugs, particularly fentanyl into the US.
He also claimed that the US has subsidized Canada to the tune of $200 billion annually.
However, Trump and Trudeau spoke via phone on Monday, just hours before additional 25% tariffs were to take effect on Canadian goods coming into the United States.
Trudeau, in a post on X, said Canada will implement a $1.3 billion border plan and appoint a fentanyl czar.
He also stated that Canada will reinforce its border with new helicopters, technology, personnel and enhanced coordination with American authorities.
“We will list cartels as terrorists, ensure 24/7 eyes on the border, launch a Canada-US Joint Strike Force to combat organized crime, fentanyl and money laundering,” Trudeau wrote. “I have also signed a new intelligence directive on organized crime and fentanyl and we will be backing it with $200 million.”
“Proposed tariffs will be paused for at least 30 days while we work together,” he added.
