President Donald Trump will implement new tariffs on goods from Canada, Mexico, and China starting February 1, 2025. The White House confirmed that a 25% tariff will apply to imports from both Canada and Mexico, while a 10% tariff will be imposed on Chinese goods.
These tariffs are expected to affect U.S. consumers negatively, according to economists. Mary Lovely, a senior fellow at the Peterson Institute for International Economics, stated that it is difficult to find benefits from such tariffs.
In 2022, Canada, Mexico, and China were the top three trading partners with the U.S., supplying approximately $536 billion, $455 billion, and $437 billion in goods, respectively, as reported by the Office of the U.S. Trade Representative.
White House Press Secretary Karoline Leavitt clarified that the tariffs would proceed as planned, refuting reports of a potential delay. Canadian Prime Minister Justin Trudeau indicated that Canada is prepared to respond if the tariffs are enacted.
In related market news, the announcement of these tariffs has caused fluctuations in stock prices and the value of the U.S. dollar, with the S&P 500 index dropping by 0.5% following the news.