In a significant reversal of his administration’s plan to impose sweeping tariffs on all imports from the United States’ closest trading partners—a move that had unsettled markets, businesses, and consumers—President Donald Trump signed executive actions delaying for nearly one month the tariffs on all products from Mexico and Canada covered by the USMCA free trade treaty.
According to the order, which Trump signed in the Oval Office, imports under USMCA will be spared from the 25% tariffs for one month. However, the president warned that “reciprocal” tariffs could still be imposed next month, potentially escalating trade tensions across North America.
“During this interim period between now and April 2, this makes it much more favorable for our American car manufacturers,” Trump said.
The executive actions follow a discussion Trump held Thursday with Mexican President Claudia Sheinbaum and negotiations between Canadian and Trump administration officials, including calls between Trudeau and the US President.
After a call with Claudia Sheinbaum, the Mexican president, Trump declared that “Mexico will not be required to pay Tariffs on anything” that falls under USMCA.
The USMCA is the United States-Mexico-Canada Agreement, negotiated by Trump during his first term, that makes the three North American countries a free trade zone.
Hours later, Trump signed an amendment which extended the same relief to Canada until 2 April.