President Donald Trump has hit pause on major tariffs against Canada and Mexico that took effect earlier this week, signaling a shift in trade relations with the United States’ neighboring countries.
Trump dismissed claims that falling U.S. stock market concerns influenced his decision to modify the tariff measures, instead saying he pushed back on the 25% tariff on all Mexican goods after speaking with Mexican President Claudia Sheinbaum.
The administration also raised the 10% tariffs on Chinese goods to 20%. In response, China imposed 15% tariffs on various food imports, including agricultural products from states that have Republican representatives in Congress, whom have heard loudly from their constituents on the issue. Canada joined in the retaliatory action, imposing 25% tariffs on billions of dollars worth of U.S. goods while Mexico held off.
This comes shortly after the president delayed tariffs on automakers from Canada and Mexico for one month. With a trade war on both borders brewing, experts fear American consumers could end up paying the price.
“What we know historically about tariffs is that they have been negative,” Eduardo Gamarra, a politics and international relations professor at Florida International University. “They have an impact on prices … Whenever you go buy an avocado now, it’s at least going to be 25% more expensive.”
