<html><head><meta http-equiv="Content-Type" content="text/html; charset=utf-8"></head><body style="word-wrap: break-word; -webkit-nbsp-mode: space; line-break: after-white-space;" class=""><div class=""><a href="https://www.nytimes.com/live/2025/01/30/us/president-trump-news#trump-tariffs-canada-mexico-china" class="">https://www.nytimes.com/live/2025/01/30/us/president-trump-news#trump-tariffs-canada-mexico-china</a> </div><div class=""><h1 id="link-389a515f" class="css-dz70aj e1h9rw200" data-testid="headline">Trump Administration Live Updates: Steep Tariffs on Mexico, Canada and China Will Take Effect Saturday</h1></div><div class=""><h3 class="e1gnsphs0 css-gcv50g" id="link-18c687c1">Where Things Stand</h3><ul class="css-5d1ibl ez3869y0"><li class="eoqvrfo0 css-1i3ul0c"><p class="evys1bk0 css-1il0jfh"><strong class="ebyp5n10 css-8qgvsz">Tariffs:</strong>
Tariffs on goods from the United States’ three largest trading partners
will go into effect on Saturday, a Trump spokeswoman confirmed Friday.
Goods from Mexico and Canada will be subject to 25 percent tariffs and
those from China will be hit by a 10 percent tariff. Those countries
account for more than a third of the goods and services that are
imported to or bought from the United States, supporting tens of
millions of American jobs, and all three of their governments have
promised to answer Mr. Trump’s levies with tariffs of their own on U.S.
exports. <a class="css-yywogo" href="https://www.nytimes.com/live/2025/01/30/us/president-trump-news#trump-tariffs-canada-mexico-china" title="" referrerpolicy="no-referrer-when-downgrade">Read more ›</a></p></li></ul></div><div class="css-j3uhc5 live-blog-post-headline"><h2 id="post-title-QXJ0aWNsZTpueXQ6Ly9hcnRpY2xlL2NjZGFjYzkyLWRiZmQtNTg2MS1iM2ZjLTIwYzI0MGI1Njc4Yg==" class="eoo0vm40 css-15ah5p9"><a class="css-etxl5s" href="https://www.nytimes.com/live/2025/01/30/us/president-trump-news#trump-tariffs-canada-mexico-china">The tariffs will likely initiate the kind of disruptive trade wars seen in Trump’s first term.</a></h2></div><div class="css-ca0vdo"></div><p class="live-blog-post-content evys1bk0 css-h61jh5">The
Trump administration plans to move forward with imposing stiff tariffs
on Mexico, Canada and China on Saturday, in an attempt to further
pressure America’s largest trading partners to accept deportees and stop
the flow of migrants and drugs into the country.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">In
a press briefing Friday, White House press secretary Karoline Leavitt
said the president would implement on Saturday a 25 percent tariff on
goods from Mexico, a 25 percent tariff on goods from Canada, and a 10
percent tariff on goods from China.</p><div class=""><p class="live-blog-post-content evys1bk0 css-h61jh5">The
tariffs would be applied in response to “the illegal fentanyl” that
those countries had allowed to be distributed around the country, which
has killed tens of millions of Americans, she said.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">“These are promises made and promises kept by the president,” she said.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">The tariffs will likely initiate the kind of disruptive trade wars seen in Mr. Trump’s first term, but at a much larger scale.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Mexico,
China and Canada account for more than a third of the goods and
services that are imported to or bought from the United States,
supporting tens of millions of American jobs. All three governments have
promised to answer Mr. Trump’s levies with tariffs of their own <a class="css-yywogo" href="https://www.nytimes.com/2025/01/17/world/canada/canada-trump-tariffs.html" title="">on U.S. exports</a>, including Florida orange juice, Tennessee whiskey and Kentucky peanut butter.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">The
tariffs will immediately raise costs for the importers who bring
products across the border. In the nearer term, that could disrupt
supply chains and lead to product shortages, if importers choose not to
pay the cost of the tariff. And in the longer run, companies may choose
to pass the tariff cost on to American consumers, raising prices and
slowing the economy.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Mr. Trump’s desire to hit allies and competitors alike with tariffs over issues that have <a class="css-yywogo" href="https://www.nytimes.com/2025/01/28/us/politics/trump-tariffs-colombia-canada-greenland.html" title="">little to do with trade</a>
demonstrates the president’s willingness to use a powerful economic
tool to fulfill his domestic policy agenda, particularly his focus on
illegal immigration.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Mr.
Trump said in November that he would put tariffs of 25 percent on
Canada and Mexico and 10 percent on China, punishments he says are
necessary to halt the flow of migrants and drugs, particularly fentanyl,
into the United States.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">The
threat set off a scramble from Canadian and Mexican officials, who
tried to persuade the administration to hold off on tariffs by engaging
in last-minute talks with Secretary of State Marco Rubio and detailing
the efforts they were making to police the border.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Auto and energy companies have also been pushing the White House and the administration hard not to apply tariffs.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Mr.
Trump’s advisers have been weighing different scenarios, like tariffs
that would apply to specific sectors, such as steel and aluminum, or
levies that would be announced but not go into effect for several
months, according to people familiar with the planning.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">President
Claudia Sheinbaum of Mexico told reporters on Friday that the Mexican
government had been working for months on a plan to react to possible
tariffs. “We are prepared for any scenario,” she said, adding that
Mexico was “doing everything in our power” to prevent tariffs. “What do
we want? That dialogue with respect prevail.”</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Prime
Minister Justin Trudeau of Canada reiterated on Friday that his
government still did not know if the tariffs would come into place on
Saturday and what precisely they would cover.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">“If
the president does choose to implement any tariffs against Canada,
we’re ready with a response — a purposeful, forceful but reasonable,
immediate response,” Mr. Trudeau told reporters. “It’s not what we want.
But if he moves forward, we will also act.”</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Speaking
from the Oval Office on Thursday, Mr. Trump suggested he was ready to
cut off imports from Canada and Mexico, two of America’s largest trading
partners and closest allies.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">“We’ll
be announcing the tariffs on Canada and Mexico for a number of
reasons,” he said. “I’ll be putting the tariff of 25 percent on Canada,
and separately, 25 percent on Mexico, and we’ll really have to do that.”</p><p class="live-blog-post-content evys1bk0 css-h61jh5">“We
don’t need what they have,” Mr. Trump said, referring to Canada and
Mexico. The three countries have been governed by a trade agreement for
more than 30 years, and many industries, from automobiles and apparel to
agriculture, have grown highly integrated across North America.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">He
added that tariff rates could increase over time and suggested that the
tariffs might not apply to oil imports, a decision that could avoid a
spike in gas prices.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">While
the United States is the world’s largest oil producer, refineries need
to mix the lighter crude produced in domestic fields with heavier oil
from places like Canada to make fuels like gasoline and diesel. Roughly
60 percent of the oil that the United States imports comes from Canada,
and about 7 percent comes from Mexico.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">According
to Tom Kloza, the global head of energy analysis at Oil Price
Information Service, if fuel producers respond to the tariffs by cutting
production, gasoline prices in the Midwest could climb 15 to 20 cents a
gallon, with more muted effects in other parts of the country.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">The potential economic implications from tariffs are also <a class="css-yywogo" href="https://www.nytimes.com/2025/01/31/us/politics/fed-tariffs-inflation-canada-mexico.html" title="">complicating matters for the Federal Reserve</a>,
which is still trying to wrestle inflation down to its 2 percent
target. The Fed this week held interest rates steady, after a series of
cuts, amid persistent inflation and questions about how the tariffs
would play out.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">The economic fallout from the tariffs would depend on how they were structured, but the ripple effects could be broad.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">According
to economists at S&P Global, the auto and electric equipment
sectors in Mexico would be most exposed to disruption if tariffs were
enacted, as would mineral processing in Canada. In the United States,
the largest risks would be to the farming, fishing, metals and auto
sectors.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Mr.
Trump has highlighted the ability of tariffs to protect domestic
manufacturers. But on balance, most economists expect fresh trade
barriers to raise prices for U.S. businesses and households, which could
lead to a temporary burst of higher inflation. Whether that escalates
into a more pernicious problem will depend on whether Americans’
expectations about future inflation start to shift higher in a
meaningful way.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Over
time, economists also worry about the effects on growth, warning that
trade tensions are likely to lead to less investment, more subdued
business activity and slower growth.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Ernie
Tedeschi, the director of economics at the Yale Budget Lab, estimates
that a 25 percent tariff on all Canadian and Mexican imported goods —
paired with a 10 percent tariff on all Chinese imports — would lead to a
permanent 0.8 percent bump in the price level, as measured by the
Personal Consumption Expenditures price index. That translates to
roughly $1,300 for households on average. Those estimates assume that
the targeted countries enact retaliatory measures and that the Federal
Reserve does not take action by adjusting interest rates.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Mr. Tedeschi expects this to eventually shave 0.2 percent off gross domestic product once inflation is taken into account.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Mr. Trump’s top economic advisers have refuted the idea that the tariffs would fuel inflation.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">At
his confirmation hearing this month, Treasury Secretary Scott Bessent
dismissed concerns from Democrats about Mr. Trump’s trade policy,
suggesting that exporters from countries such as China would lower their
prices in the face of higher U.S. tariffs. Mr. Bessent said last year
that it would be prudent if any tariffs were phased in so that any
associated “price adjustment” could be absorbed gradually by the
economy.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Mr. Trump’s pick to be commerce secretary, Howard Lutnick, also embraced tariffs <a class="css-yywogo" href="https://www.nytimes.com/2025/01/29/business/economy/lutnick-trump-tariffs-china.html" title="">at his confirmation hearing</a>
and pushed back against the notion that they would fuel inflation. He
suggested that Canada and Mexico might be able to avoid the tariffs that
Mr. Trump was dangling if they closed their borders to fentanyl.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">Mr.
Lutnick indicated that he believed “across the board” tariffs on
countries would be most effective, arguing that China should face the
highest rates and that Europe, Japan and South Korea were also treating
American industries unfairly.</p><p class="live-blog-post-content evys1bk0 css-h61jh5">“We
need that disrespect to end, and I think tariffs are a way to create
reciprocity, to be treated fairly, to be treated appropriately,” Mr.
Lutnick said.</p><p class="live-blog-post-content etfikam0 css-1smqmx3"><br class=""></p></div><div class="">
Arthur Stamoulis<br class="">Citizens Trade Campaign<br class="">(202) 494-8826<br class=""><br class=""><br class=""><br class="">
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