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Trump's border deals with Canada, Mexico avert trade war for now

Bloomberg
Bloomberg • 3 min read
Trump's border deals with Canada, Mexico avert trade war for now
Claudia Sheinbaum, Mexico's president / Photo: Bloomberg
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President Donald Trump agreed to delay 25% tariffs on Canada and Mexico for a month after both US neighbours agreed to take tougher measures to combat migration and drug trafficking at the border, warding off a continental trade war for now. 

Trump and Canadian Prime Minister Justin Trudeau announced their agreement Monday in separate social media posts in the late afternoon Washington time, with a number of concessions from the Canadian government. Canada is appointing a new fentanyl czar, will list cartels as terrorists and launch a joint “strike force” with the US to fight organized crime, drug trafficking and money laundering, Trudeau said in a post on X.

Trudeau said he has also signed a new “intelligence directive” on organized crime and fentanyl. Canada is going ahead with a C$1.3 billion (US$901 million) plan it announced in December to add more border security resources, including helicopters, the prime minister said. 

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