Trump pauses tariffs on Canadian goods that meet rules under USMCA

U.S. President Donald Trump has again announced tariff adjustments on imports from Canada and Mexico, pausing tariffs on certain products until April 2.

The change comes from Trump who cited the need to protect the American automotive industry while addressing border security concerns, according to a statement from the White House.

Under the changes, a 25 per cent tariff will apply to goods that do not meet U.S.-Mexico-Canada Agreement (USMCA) rules of origin. A reduced 10 per cent tariff will be imposed on certain Canadian energy products and potash from both Canada and Mexico that fall outside USMCA preference. Goods that qualify under the trade deal will remain tariff-free until April 2.

Trump said the adjustments recognize the integrated nature of the North American automotive supply chain while maintaining measures to curb illicit drug flows across the borders.

Canadian officials have not yet commented on the adjustment.