The White House has yet to decide on oil import tariffs from Canada and Mexico, President Trump stated.
President Donald Trump announced that the US will impose 25% tariffs on imports from Canada and Mexico, effective February 1st. He clarified that the decision on whether to tax oil imports from these neighbors remains pending.
Trump previously pledged to implement broad tariffs on Canada, Mexico, and China upon entering office. He cited illegal immigration, drug trafficking, and a growing trade deficit as justification.
In a Thursday Oval Office briefing, Trump confirmed these plans, setting a Saturday deadline for the tariffs on Canada and Mexico. He indicated that the tariff rate might increase over time.
“I’ll be putting a 25% tariff on Canada and separately 25% on Mexico,” he stated, citing significant US trade deficits with both countries.
The president explained that imposing tariffs on oil imports from these countries would depend partly on oil prices and whether those nations “treat us properly.”
“We may or may not,” Trump responded regarding oil import tariffs. “We’re going to make that determination probably tonight.”
Earlier this week, Canadian Foreign Minister Melanie Joly expressed cautious optimism about diplomatic efforts to prevent the tariffs, but also stated that Canada would retaliate if necessary. Bloomberg reported earlier this month that Canada has identified $105 billion worth of US goods for potential retaliatory tariffs.
In November, Mexico’s Economy Minister Marcelo Ebrard warned that new tariffs would substantially impact US automakers operating in Mexico.
“This will hit companies like General Motors and Ford Motor, which manufacture 88% of the pickup trucks sold in the US,” she said regarding the impending tariffs.
Trump also mentioned considering new tariffs on Chinese goods, citing China’s alleged role in fentanyl production. He has threatened a 10% import tax on all Chinese products, in addition to tariffs on nearly $370 billion worth of Chinese imports imposed in 2018 and 2019, actions that triggered a near three-year trade war with Beijing.
In November 2023, then-President Joe Biden and Chinese leader Xi Jinping agreed that Beijing would curb the export of materials used in opioid production.