President Donald Trump has decided to pause new tariffs on Canadian goods for 30 days. This decision followed a phone call with Canadian Prime Minister Justin Trudeau, who pledged to improve border security and take stronger action against drug trafficking.
Trump had planned to impose a 25% tariff on all Canadian and Mexican goods, along with a 10% tariff on Canadian energy and goods from China. These tariffs were set to take effect at midnight on Tuesday.
The reason behind the tariffs was Trump’s belief that Canada and Mexico were not doing enough to stop illegal migration and drug smuggling, especially fentanyl, into the U.S. He also claimed that the U.S. financially supports Canada by around $200 billion every year.
To avoid the new tariffs, Trudeau announced a $1.3 billion plan to improve border security. This plan includes:
- Deploying new helicopters and border surveillance technology
- Increasing border security personnel
- Strengthening cooperation with U.S. authorities
- Listing drug cartels as terrorist organizations
- Forming a Canada-U.S. Joint Strike Force to combat organized crime, fentanyl trafficking, and money laundering
Trudeau also signed a new intelligence directive focused on stopping fentanyl and promised $200 million in additional funding.
With these commitments from Canada, Trump has delayed the tariffs for at least 30 days. During this time, both countries will work together to strengthen border security and fight the illegal drug trade.
This move highlights how trade policies and security concerns are closely linked. The coming weeks will determine whether Canada’s actions are enough to satisfy Trump or if the tariffs will be reconsidered.