President Donald Trump has paused for 30 days a 25 percent tariff on Mexican goods and another 25 percent tariff on Canadian goods and 10 percent tariff on Canadian energy products after both countries acceded to the President’s demands to contribute to border security, preventing illegal migration and drug trafficking flows.
Announcing the dramatic step on Truth Social on Feb. 3, President Trump wrote that Mexico had agreed to send 10,000 troops to the U.S.-Mexican border to assist with stopping illegal immigration and drug trafficking of fentanyl by the cartels, “I just spoke with President Claudia Sheinbaum of Mexico. It was a very friendly conversation wherein she agreed to immediately supply 10,000 Mexican Soldiers on the Border separating Mexico and the United States. These soldiers will be specifically designated to stop the flow of fentanyl, and illegal migrants into our Country.”
As a result, Trump said he was pausing the tariffs, stating, “We further agreed to immediately pause the anticipated tariffs for a one month period during which we will have negotiations headed by Secretary of State Marco Rubio, Secretary of Treasury Scott Bessent, and Secretary of Commerce Howard Lutnick, and high-level Representatives of Mexico. I look forward to participating in those negotiations, with President Sheinbaum, as we attempt to achieve a ‘deal’ between our two Countries.”
That was at 10:41 a.m. EST. The tariffs had not even taken effect yet, which were set to begin on at 12:01 a.m. EST on Feb. 4. That was quick!
Short to follow was Canada, with Trump announcing at 4:57 p.m. EST that Canada would be providing its own security force to help secure the north border, stating on Truth Social, “Canada has agreed to ensure we have a secure Northern Border, and to finally end the deadly scourge of drugs like Fentanyl that have been pouring into our Country, killing hundreds of thousands of Americans, while destroying their families and communities all across our Country. Canada will implement their $1.3 Billion Border plan…
Trump described the joint plan with Prime Minister Justin Trudeau to “reinforc[e] the Border with new choppers, technology and personnel, enhanced coordination with our American partners, and increased resources to stop the flow of fentanyl. Nearly 10,000 frontline personnel are, and will be, working on protecting the Border. In addition, Canada is making new commitments to appoint a Fentanyl Czar, we will list cartels as terrorists, ensure 24/7 eyes on the Border, launch a Canada-U.S. Joint Strike Force to combat organized crime, fentanyl and money laundering. I have also signed a new intelligence directive on organized crime and fentanyl, and we will be backing it with $200 million.”
Trump added that he was pausing the tariff on Canada as well for a month, “As President, it is my responsibility to ensure the safety of ALL Americans, and I am doing just that. I am very pleased with this initial outcome, and the Tariffs announced on Saturday will be paused for a 30 day period to see whether or not a final Economic deal with Canada can be structured. FAIRNESS FOR ALL!”
As for China, no deal was reached and so the increase of tariffs on Chinese goods by another 10 percent, coming atop 25 percent on $250 billion of goods and 17.5 percent on the remaining $300 billion of goods that were established by Trump in 2019 that President Joe Biden never rescinded — are now fully in effect.
Apparently, both Canada and Mexico judged that it would be cheaper to assist with border security than to see the taxes levied on the shipment of their goods and commodities to the U.S. Who could have foreseen such a likely outcome?
Certainly not the Wall Street Journal, on Jan. 31 calling Trump’s proposed tariffs, specifically designed to achieve border concessions on illegal immigration and fentanyl — these were exactly the terms Trump had transparently laid out for Mexico and Canada in November after his historic election win — was “The Dumbest Trade War In History.”
And the editorial board promised that Mexico and Canada would never cooperate, writing, “The U.S. willingness to ignore its treaty obligations, even with friends, won’t make other countries eager to do deals.” Whoops. Turns out none of that was true. Mexico and Canada immediately dealt with Trump — on his terms.
This must have been embarrassing, as it led the editorial board to then follow up with another irrelevant editorial claiming only “minor concessions” had been made by Mexico and Canada leading to Trump’s pause on the tariffs.
Except what has now been offered by Mexico and Canada was exactly what Trump asked for in the first place. Specifically, on Nov. 26 Trump wrote on Truth Social, Trump demanded both countries take action to secure their borders to stop illegal aliens from crossing into the U.S. and similarly stop the fentanyl shipments, “As everyone is aware, thousands of people are pouring through Mexico and Canada, bringing Crime and Drugs at levels never seen before. Right now a Caravan coming from Mexico, composed of thousands of people, seems to be unstoppable in its quest to come through our currently Open Border. On January 20th, as one of my many first Executive Orders, I will sign all necessary documents to charge Mexico and Canada a 25% Tariff on ALL products coming into the United States, and its ridiculous Open Borders. This Tariff will remain in effect until such time as Drugs, in particular Fentanyl, and all Illegal Aliens stop this Invasion of our Country! Both Mexico and Canada have the absolute right and power to easily solve this long simmering problem. We hereby demand that they use this power, and until such time that they do, it is time for them to pay a very big price!”
In short, without having to ever impose the tariffs, suddenly, Mexico was sending 10,000 troops to the border and was Canada sending 10,000 personnel to deal with the crisis. This is Trump’s art of the deal in practice, using the threat of tariffs as key leverage to achieve concessions. And over the next month, negotiations will ensue for a more permanent arrangement that secures everyone’s borders, halts illegal immigration and targets the deadly fentanyl trade.
The trade “war” lasted a day. President Trump won.
Robert Romano is the Vice President of Public Policy at Americans for Limited Government Foundation.
