President Donald Trump signed a trio of executive orders on Saturday, February 1, 2025, that imposes tariffs on Canada, China and Mexico.
According to the executive orders, the tariffs on goods from the three countries are aimed at combatting the flow of illicit drugs and illegal immigrants into the U.S.
Tariffs on Canada
Tariffs on all Canadian products will begin on or after 12:01 a.m. ET on February 4, 2025, according to the executive order.
The executive order states that a 25% duty will be applied to all Canadian goods “entered for consumption, or withdrawn from warehouse for consumption.”
The tariffs also include an additional 10% duty on energy or energy resources products of Canada.
The executive order states that the tariffs were put in place to combat the “influx of illicit opioids and other drugs.”
Canada announced retaliatory tariffs placed against the U.S. on February 1, 2025.
Beginning February 4, 2025, Canada will impose 25% tariffs on $155 billion worth of U.S. goods that are imported into the country.
Tariffs on China
Tariffs on all products from the People’s Republic of China (PRC) will begin on or after 12:01 a.m. ET on February 4, 2025, according to the executive order.
The executive order states that an additional 10% duty will be applied to all goods entered for consumption, or withdrawn from warehouse for consumption, from the PRC.
According to the executive order, the imposed tariffs on the PRC is a response to the influx of synthetic opioids sold illicitly in the U.S.
China did not respond with any direct retaliatory efforts and left the door open for conversations with Washington.
Tariffs on Mexico
Tariffs on all products from Mexico were set to begin on or after 12:01 a.m. ET on February 4, 2025, according to the executive order.
On February 3, 2025, President Trump announced that he would postpone the tariffs on Mexico for one month for further negotiations.
Mexican President Claudia Sheinbaum agreed to send 10,000 members of the country’s national guard to the border to address drug trafficking.
According to the executive order, a 25% duty will be applied to all products of Mexico imported to the U.S.
The executive order states that the tariffs were put in place to combat the influx of illegal immigrants and illicit opioids.
