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‘Good call with Trump’: Justin Trudeau says US will pause tariffs for ‘at least 30 days’
Canadian Prime Minister Justin Trudeau spoke with US President Donald Trump after slapping retaliatory tariffs on US imports.
Prime Minister Justin Trudeau on Monday said that 25% tariffs imposed by US President Donald Trump on Canada's exports will be paused for “at least 30 days” as the two leaders agreed to work on addressing concerns over illegal immigration and fentanyl.
Canada had announced retaliatory 25% tariffs on US imports, which were scheduled to be imposed on Tuesday. Ottawa's tariffs targetted items such as beer, wine, household appliances, and sporting goods.
Also read | Escalating tariff war will push Canada's economy into recession, economists warn
‘Fentanyl Czar’
Trudeau said Canada will implement a $1.3 billion plan to reinforce the border with new choppers, technology and personnel to enhance coordination with “American partners” and increase resources to stop the flow of fentanyl. “Nearly 10,000 frontline personnel are and will be working on protecting the border,” Trudeau said on X.
“In addition, Canada is making new commitments to appoint a Fentanyl Czar, we will list cartels as terrorists, ensure 24/7 eyes on the border, launch a Canada- U.S. Joint Strike Force to combat organized crime, fentanyl and money laundering. I have also signed a new intelligence directive on organized crime and fentanyl and we will be backing it with $200 million,” he added.
Also read | Donald Trump pauses tariffs on Mexico for one month: ‘Friendly conversation with Claudia Sheinbaum’
Trudeau had refused to back down and said the tariff war could damage the economies of both countries. “We’re ready with a response—a purposeful, forceful but reasonable, immediate response. It’s not what we want, but if he moves forward, we will also act,” Trudeau had said.
Trump said his telephone call with Trudeau went “very well”. “As President, it is my responsibility to ensure the safety of ALL Americans, and I am doing just that. I am very pleased with this initial outcome, and the Tariffs announced on Saturday will be paused for a 30 day period to see whether or not a final Economic deal with Canada can be structured. FAIRNESS FOR ALL!,” he said in a post on his Truth Social platform.
US-Canada trade
Canada is one of the US's largest trading partners. In 2023, Washington imported $419 billion worth of Canadian goods. Canada is also the largest source of foreign oil into the US.
According to statistics released by the Canadian government, the US is the only country with which it enjoyed a widening trade surplus in November 2024. “Exports to the United States rose 6.8% in November, while imports increased 4.1%. As a result, Canada's trade surplus with the United States widened from $6.6 billion in October to $8.2 billion in November,” the report said.
Earlier, Trump paused new tariffs on Mexico for one month after Mexico agreed to reinforce its northern border with 10,000 National Guard members to stem the flow of illegal migration and drugs.
