President Donald Trump will impose tariffs on imports from Canada, Mexico, and China starting Saturday, the White House announced in a press briefing, without specifying whether any exemptions will be granted. The measures include a 25% tariff on Canadian and Mexican imports and a 10% tariff on Chinese goods.
The tariffs, which Trump has long threatened, are allegedly aimed at pressuring Canada and Mexico to curb illegal immigration and fentanyl-related smuggling while also advancing his push for domestic manufacturing and federal revenue growth.
“Starting tomorrow, those tariffs will be in place,” White House press secretary Karoline Leavitt said Friday. “These are promises made and promises kept by the president.”
The decision carries both economic and political risks. Trump, in his second term, campaigned on lowering inflation, but economists warn the tariffs could drive up costs for American consumers and disrupt key sectors, including energy, auto, and agriculture. The announcement led to a sharp decline in the S&P 500 index, marking the second such decline since Trump took office.
Trump had previously suggested he might exempt Canadian and Mexican oil, but Leavitt declined to confirm whether any exemptions would be issued. The United States imported approximately 4.6 million barrels of oil per day from Canada and 563,000 barrels from Mexico in October, according to the Energy Information Administration.
Canada and Mexico have warned of possible retaliatory tariffs. Canadian Prime Minister Justin Trudeau said his country is prepared to respond immediately. “We’re ready with a response, a purposeful, forceful but reasonable, immediate response,” Trudeau said. He warned that tariffs could hurt American jobs and raise prices.
Mexican President Claudia Sheinbaum also signaled potential countermeasures. “We are always going to defend the dignity of our people, we are always going to defend the respect of our sovereignty,” she said, noting that Mexico had maintained dialogue with Trump’s administration but was preparing multiple contingency plans.
Trump’s tariffs on Chinese goods would be in addition to existing import taxes on the country. His administration argues the move is necessary to counter China’s trade practices and increase pressure to curb fentanyl trafficking.
The policy marks a continuation of Trump’s aggressive trade strategy, which he has previously used to negotiate concessions. While Trump has repeatedly threatened tariffs only to later walk them back, the administration has insisted that this latest round will take effect as planned. Additional tariffs on pharmaceuticals, steel, and microchips may also be implemented later this year, pending further review.
Trump’s move could escalate tensions with key trading partners and contribute to inflationary pressures, raising uncertainty over the long-term impact on the U.S. economy.
The New Jersey Digest is a new jersey magazine that has chronicled daily life in the Garden State for over 10 years.