United States of America

Trump Says 25% Tariffs on Canada, Mexico Coming Saturday

JAN 31 2025·Updated FEB 1 2025

Story

Above: Donald Trump waves to reporters on the South Lawn of the White House on Jan. 27, 2025. Image credit: Chip Somodevilla/Staff/Getty Images News via Getty Images

The Facts

US Pres. Donald Trump has announced plans to impose 25% tariffs on imports from Canada and Mexico starting Feb. 1, while leaving the possibility of oil import exemptions under consideration.
Al Jazeera
Speaking to reporters at the White House on Thursday, he alleged the two countries have treated the US "very unfairly on trade," adding, "We don't need the products they have."
New York Post
Additionally, he cited concerns about undocumented migration at the border, fentanyl trafficking, and "very big deficits" with Canada and Mexico as reasons behind his decision.
The Hill
The proposed tariffs would affect more than $1.5T of trade between the US and its neighbors, potentially disrupting closely integrated supply chains across North America.
nytimes
BBC News
Canada exports 80% of its oil to the US, with Canadian supplies accounting for more than half of US crude oil imports in 2023, while Mexico represents 11% of US oil imports.
U.S. Energy Information Administration (EIA)
Capp
ap
The Peterson Institute for International Economics estimates that a 25% tariff on all exports from Mexico and Canada would lower US gross domestic product by about $200B during Trump's second term.
nytimes

Sources Split

LEFT

CENTER

RIGHT

ESTAB
CRIT

CENTER

PRO
ESTAB

The Spin

Narrative A

The tariffs are necessary to protect American interests and force neighboring countries to address border security concerns. The US doesn't need Canadian and Mexican products, has sufficient domestic oil production, and can quickly make up for any decline in imports. Additionally, Trump's decision could be a way for Washington to gain an upper hand ahead of new negotiations on a regional trade agreement.

Breitbart

Wsj

Narrative B

The proposed tariffs would severely disrupt decades of economic integration, raise consumer prices, and trigger a devastating trade war that would harm all three economies. With Canada and Mexico pledging to respond with retaliatory tariffs, Trump's decision could particularly damage critical supply chains in the automotive, agriculture, and energy sectors while failing to address the stated border security concerns.

nytimes

Atlantic Council