Trump pauses tariffs for some Canadian and Mexican goods
SUMMARY
President Trump pulled back Thursday, pausing tariffs on a chunk of goods from Canada and Mexico just two days after slapping 25% duties on both countries. The one-month break covers anything compliant with the USMCA trade deal he inked back in 2018—think cars and parts—easing up on about 50% of Mexican imports and 38% of Canadian ones, per White House officials. Trump first flagged the Mexico reprieve on Truth Social after a chat with President Claudia Sheinbaum, thanking her for border teamwork on migrants and fentanyl. Canada got the same deal, though he didn’t shout it out online. Commerce Secretary Howard Lutnick had hinted at this earlier. Trump’s sticking to next week’s steel and aluminum tariffs—no pause there. Markets took a hit anyway; the Dow dropped 400 points, and automakers like Ford and GM slid despite Wednesday’s rally from a car-specific tariff delay. Tesla tanked 4.5%. The American Automotive Policy Council cheered the move, glad Trump’s recognizing USMCA’s value.
