Trump pauses tariffs on Canada, Mexico after last-minute deals; China hits back

US President Donald Trump has agreed to hold off imposing tariffs on Canada and Mexico for 30 days, but keeps China in the crosshairs despite the harmful nature of such measures for Americans.

The US president said on his Truth Social that 25 percent tariffs on Canada would be delayed for one month starting from Monday after Canadian Prime Minister Justin Trudeau in last-minute calls pledged that Ottawa had “agreed to ensure we have a secure Northern Border, and to finally end the deadly scourge of drugs like Fentanyl.”

Trudeau pledged that Canada would send some 10,000 frontline officers to secure the border, classify drug cartels as terrorist organizations, appoint a “Fentanyl Czar,” and intensify efforts to curb money laundering.

Trump also delayed 25 percent tariffs for Mexico for 30 days after Mexican President Claudia Sheinbaum pledged to tighten border measures against the flow of migrants and the drug fentanyl into the US.

The US president described his talks with his Mexican counterpart as “very friendly”, stressing that he would "immediately pause" the levies on Mexico, and that she had agreed to deploy 10,000 soldiers to the US-Mexico border.

Earlier, the two leaders had agreed that Mexico City reinforces the northern border with troops and Washington limits the flow of guns into Mexico.

This is while the US will add a tariff of 10 percent on top of existing levies on Chinese imports, due to go into effect from 00:01 EST (0500 GMT) on Tuesday.

Meanwhile, the US will impose an additional 10 percent tariff on Chinese imports, set to take effect at 00:01 EST (0500 GMT) on Tuesday, with Trump saying that last-minute talks between Washington and Beijing were due in a bid to reach an agreement.

“There is a plan for him to talk to President Xi [Jinping] in the next 24 hours,” said Trump’s spokeswoman Karoline Leavitt.

Canada, China, and Mexico are the three largest trading partners of the US.

Canada, Mexico impose retaliatory tariffs on US; China vows countermeasures

US President Donald Trump

The measures have raised concerns about potential disruptions to the global economy, leading to significant reactions in stock markets worldwide.

Canadians have protested by booing the US national anthem at sports events, canceling vacations to the US, and boycotting American goods. Ontario, the country's most populous province, took further action on Monday by blocking US companies from bidding on billions of dollars in government contracts and terminating a deal with Trump associate Elon Musk's Starlink.

Trump also increased pressure on Ottawa by questioning Canada's sovereignty, once again suggesting on Monday that it should become the 51st state of the US.

China to impose tariffs 

China is also responding strongly, vowing to take action against the US at the World Trade Organization. The Chinese Foreign Ministry said that the US should correct its “wrongdoings” and work to maintain positive relations between the two countries.

China has also pushed back against Trump’s accusations that it allows the production of fentanyl, which is then smuggled into the US through Mexico.

Trump, who has said that the word “tariff” is the “most beautiful word in the dictionary”, has also acknowledged that these tariffs, which affect over a third of US imports, could lead to “some pain” for American consumers.

He also hinted that Europe might be next on his list for tariffs, saying that measures against the European Union could happen “pretty soon.”

European leaders have warned that a trade war with the US could harm economies on both sides of the Atlantic, meaning further “pain” for Americans.

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