Politics
JUST IN: Tariff Deal With Canada And Mexico Already Imminent, Lutnick Says
A trade deal between the United States, Canada, and Mexico may be finalized as early as Wednesday, according to Commerce Secretary Howard Lutnick. Speaking on Fox News, Lutnick revealed that both Canadian and Mexican officials had been in discussions with the Trump administration throughout the day, seeking a resolution on tariffs imposed by President Donald Trump.
“Both the Mexicans and the Canadians were on the phone with me all day today trying to show that they’ll do better, and the President’s listening because you know he’s very, very fair and very reasonable,” Lutnick said on Fox Business.
“I think he’s going to work something out with them. It’s not going to be a pause, none of that pause stuff, but I think he’s going to figure out you do more and I’ll meet you in the middle some way.”
Lutnick indicated that while Trump is firm on holding America’s trading partners accountable, he is also willing to negotiate a fair outcome. “We’re going to probably be announcing that tomorrow,” Lutnick said, suggesting that a middle ground is being reached but without the administration backing down entirely.
The urgency behind the negotiations comes after President Trump escalated trade tensions on Tuesday, launching a new round of tariffs. The administration slapped 25% tariffs on Mexican and Canadian imports, while Canadian energy exports were given a slightly reduced 10% levy. Additionally, Trump doubled tariffs on Chinese imports from 10% to 20%.
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Trump has remained resolute, emphasizing the need to protect American jobs and manufacturing from what he describes as unfair trade practices by foreign nations.
With pressure mounting, a deal with Canada and Mexico could be a significant step toward stabilizing the situation while ensuring that both nations take further action to address U.S. concerns. The White House has yet to confirm Lutnick’s timeline, but all signs point to a breakthrough announcement in the coming hours.
Beijing responded Tuesday by imposing tariffs of up to 15% on a broad range of U.S. agricultural products. Additionally, approximately two dozen more U.S. companies found themselves under new export controls and other regulatory measures according to The Associated Press.
Canadian Prime Minister Justin Trudeau announced that Canada would impose tariffs on over $100 billion worth of American goods within the next 21 days.
“Today the United States launched a trade war against Canada, their closest partner and ally, their closest friend. At the same, they are talking about working positively with Russia, appeasing Vladimir Putin, a lying, murderous dictator. Make that make sense,” Trudeau said.
The U.S. Department of Homeland Security is imposing a 25% tariff on most Mexican imports starting Tuesday, under President Trump’s executive orders addressing border security. The move follows a national emergency declaration over illegal immigration and fentanyl trafficking.
The tariffs apply to most Mexican goods but exclude personal-use items and humanitarian donations like food and medicine. Imports processed or assembled in Mexico under specific tariff classifications are taxed based on the value added there.
The measures are meant to push Mexico to crack down on drug cartels and illegal crossings while maintaining some exemptions for humanitarian aid and travelers.
