Trump says 25% tariffs on Canada, Mexico start Feb. 1

'There would undeniably, indisputably be a negative economic impact if tariffs were to be enacted'

(Image credit: Brett Gundlock / Bloomberg via Getty Images)

published 31 January 2025

What happened

President Donald Trump Thursday affirmed that he will impose 25% import taxes on all goods from Canada and Mexico, America's top two trading partners, starting Saturday, though he said he "may or may not" exempt oil imports.

"I'll be putting the tariff of 25% on Canada, and separately, 25% on Mexico, and we'll really have to do that," Trump told reporters in the Oval Office. He said those tariffs could rise if the two countries don't meet his demands on blocking migrants and fentanyl. "We don't need the products that they have," Trump said. "We have all the oil you need. We have all the trees you need, meaning the lumber."

"There would undeniably, indisputably be a negative economic impact if tariffs were to be enacted," Glenn Hamer, CEO of the Texas Association of Business, said to The Texas Tribune. Importers typically pass the added import taxes on to consumers, and tariffs on Canadian oil in particular "could undermine Trump's repeated pledge to lower overall inflation," The Associated Press said. Canada and Mexico said they have prepared retaliatory tariffs.

Subscribe to The Week

Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

SUBSCRIBE & SAVE

https://cdn.mos.cms.futurecdn.net/flexiimages/jacafc5zvs1692883516.jpg

Sign up for The Week's Free Newsletters

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

Explore More

Peter has worked as a news and culture writer and editor at The Week since the site's launch in 2008. He covers politics, world affairs, religion and cultural currents. His journalism career began as a copy editor at a financial newswire and has included editorial positions at The New York Times Magazine, Facts on File, and Oregon State University.