Fri Mar 07 11:57:30 UTC 2025: **Trump Grants One-Month Tariff Reprieve to Mexico and Canada**
Washington D.C. – President Donald Trump has temporarily suspended 25% tariffs on a significant portion of imports from Mexico and Canada, offering a one-month reprieve to both countries. The pause, effective Friday, applies to goods covered by the US-Mexico-Canada Agreement (USMCA), representing roughly 49% of Mexico’s exports to the US and 38% of Canada’s. This follows earlier temporary exemptions for car manufacturers.
The decision, announced after phone calls with Mexican President Claudia Sheinbaum and Canadian Prime Minister Justin Trudeau, will last until April 2nd. Trump cited a strong US-Mexico relationship and cooperation on issues like migration and fentanyl trafficking as reasons for the Mexican exemption. However, the reprieve does not affect a separate 10% tariff on energy products, nor the planned March 12th imposition of 25% tariffs on steel and aluminum imports from both countries.
While Mexico has cancelled planned retaliatory tariffs, Canada’s $21 billion CAD in retaliatory tariffs remain in place, along with a delayed second wave of tariffs pending the April 2nd deadline. Ontario Premier Doug Ford emphasized that the temporary pause doesn’t address the underlying threat of tariffs and vowed continued pressure. Prime Minister Trudeau, in a call described as “colourful” by himself and a “numbskull” move by US Treasury Secretary Scott Bessent, predicted further trade conflict. The temporary nature of the reprieve and the looming threat of broader global tariffs suggest ongoing trade tensions between the US and its North American neighbors.
First Piper 