
US tariffs on Mexico, Canada pause for a month
US President Donald Trump’s announcement of tariffs on Canada, China and Mexico sent global markets in a downward spiral Monday. They recovered some lost ground when Trump announced he would postpone a 25% tariff on Mexican goods for a month in exchange for concessions. He later announced a similar pause with Canada. VOA’s Anita Powell reports from the White House.
President Donald Trump’s weekend tariff announcement is being felt in Ottawa, in Mexico City, in Beijing — and here, in New York, Hong Kong, Seoul, and Taipei. Around the world, markets fell Monday after Trump dropped 25% tariffs on Mexico and Canada, and 10% on China.
In Washington, Trump spoke of his agreement Monday with Mexico to pause the tariffs for a month in exchange for concessions from Mexico City meant to stop migration flows and the movement of illegal drugs across the southern border. Markets quickly made up some losses after his announcement. He also announced a similar pause with Canada later on Monday.
Donald Trump
US president
We have to stop people from pouring in, and we have to stop fentanyl, and that includes China. Fentanyl has killed this year at least 200,000 people. It’s pouring in from China through Mexico and Canada. And they’ve got to stop it. And if they don’t stop it, the tariffs are going to get worse.
Mexican President Claudia Sheinbaum sounded a hopeful note on Monday.
Claudia Sheinbaum
Mexican president
I’m sure that in this month, we’ll be able to have results, good results for your people, good results for the people of Mexico, and this was the result of the agreement. It was a good conversation, with respect."
China’s ambassador to the United Nations, Fu Cong, on Monday said Beijing would turn to the World Trade Organization for recourse.
Fu Cong
China’s ambassador to the UN
We do believe that this is in violation of the WTO rules. So, that’s why China is filing a complaint at the WTO. And we’re also aware we may be forced to take countermeasures. And let me also emphasize that there is no winner in a trade war.
Trump acknowledged that the move could raise prices but said the higher tariffs would be “worth the price” to bolster US interests.
Anita Powell, VOA News, the White House.
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2025-02-07