Tariffs announced by U.S. President Donald Trump on Canada and Mexico will be paused for 30 days, the leaders of the two countries said on February 3 after calls with Trump in which they pledged stronger border measures to stop migrant crossings and illicit drugs.
Canadian Prime Minister Justin Trudeau said on X that Canada would deploy nearly 10,000 officers to help secure the border, list drug cartels as terrorists, appoint a Fentanyl Czar, and crack down on money laundering.
"I have also signed a new intelligence directive on organized crime and fentanyl and we will be backing it with $200 million," he said. "Proposed tariffs will be paused for at least 30 days while we work together."
Mexican President Claudia Sheinbaum also agreed to send 10,000 members of her country's national guard to the border to address drug trafficking.
Sheinbaum said on X the deployment would begin immediately. She added that the United States committed to work to stop the trafficking of high-powered weapons to Mexico.
"Our teams will begin working today on two fronts: security and trade," she said. "They are pausing tariffs for one month from now."
Trump had warned Americans earlier on February 3 that they may face economic “pain” because of the trade tariffs he announced over the weekend on Canada, Mexico, and China -- the top three U.S. trading partners.
"Will there be some pain? Yes, maybe (and maybe not!)" Trump wrote on February 2 on his social media platform in regard to the effect tariffs could have on U.S. consumers.
"But...it will all be worth the price that must be paid," he added.
Experts have said that the tariffs could roil the world economy. They also have pointed out that U.S. consumers would actually pay the tariffs in the form of higher prices for imports from the three countries.
Trump has also threatened tariffs on goods from the EU, saying they would “definitely happen" and that it would be "pretty soon." He also suggested the United Kingdom could be the target of tariffs.
The EU on February 2 said it would "firmly" retaliate if Trump imposes tariffs, although it said it hopes to avoid a trade war through talks.
"The European Union regrets the U.S. decision to impose tariffs on Canada, Mexico, and China," a spokesman for the European Commission said.
Trump announced the long-promised economic policy on February 1, saying Washington would hit Canada and Mexico with tariffs of 25 percent on all goods, although Canadian energy products will face a 10 percent tariff. The new tariffs also include a 10 percent levy on goods from China, on top of those previously set.
The tariffs imposed on Chinese goods remained poised to begin on February 4.
All three countries targeted by the initial announcement had threatened retaliatory measures while also urging trade talks instead of tariffs.
Trump said he was imposing them on the U.S. neighbors until the flow of migrants and illegal fentanyl into the United States was stopped, although the cause of those issues is widely debated and involves a number of complex factors.
He has also said they would help reduce trade deficits with leading partners and spur industrial output in the United States.
He also indicated that more tariffs could be coming against China, saying if Washington can’t make a deal with China, "then the tariffs will be very, very substantial.”