Mon Mar 03 17:17:39 UTC 2025: ## Last-Minute Trade Tensions as US Prepares to Impose Tariffs on Mexico and Canada

**Washington D.C./Mexico City/Ottawa –** With a Tuesday deadline looming, the US is poised to impose tariffs on imports from Mexico and Canada, despite ongoing negotiations and strong pushback from both nations. While the exact tariff levels remain uncertain, President Trump is expected to announce his decision on Monday.

Mexican President Claudia Sheinbaum stated that Mexico has presented a robust case against the tariffs but is prepared for any outcome. “Whatever his decision is, we will make our decisions,” she declared, confirming the existence of a comprehensive response plan.

Canada, meanwhile, has reiterated its commitment to retaliatory measures if the tariffs are implemented, a stance echoed by Canadian Energy Minister Jonathan Wilkinson on CNBC. While previous plans targeted regions supporting the Republican party, the specifics of Canada’s response remain undisclosed.

The potential tariffs, covering over $900 billion in annual US imports, have sparked widespread concern among CEOs and economists about the severe impact on the integrated North American economy. US Commerce Secretary Howard Lutnick hinted that the tariffs might not reach the initially threatened 25% for all goods (10% for Canadian energy), suggesting ongoing negotiations and a final decision resting with President Trump.

This escalating trade dispute stems from President Trump’s broader agenda to reshape US trade relations globally. While both Mexico and Canada implemented initiatives last month to address US concerns over migration and fentanyl trafficking—including deploying troops to the border and extraditing drug cartel members—a Trump advisor, Peter Navarro, signaled an unlikely change of course. “This is the path that he’s chosen,” Navarro stated. The situation remains fluid, with the final decision expected imminently.

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