WASHINGTON—President Donald Trump will meet with Mexico and Canada amid U.S. tariffs on those countries, according to Commerce Secretary Howard Lutnick.
The United States has imposed 25 percent tariffs on its northern and southern neighbors in response to the flow of illegal immigrants and fentanyl into the United States. The United States also slapped a 10 percent tariff on Canada’s energy sector.
In an interview with Fox Business on March 4, Lutnick said he has been in touch with Mexico and Canada and that they committed to doing “better.”
He said that President Donald Trump will “work something out” with Canada and Mexico.
“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,'” said Lutnick.
“And we’re going to probably be announcing that tomorrow,” he continued. “So somewhere in the middle will likely be the outcome, the president moving with the Canadians and Mexicans, but not all the way.”
Canada responded to the tariffs by imposing 25 percent tariffs on the United States that took effect on March 4.
“Let me be unequivocally clear – there is no justification for these actions,” Trudeau said of the U.S. tariffs on March 4.
Mexico announced it will enact tariffs on the United States beginning March 9.
“It’s inconceivable that they don’t think about the damage this is going to cause to United States citizens and businesses,” said Mexican President Claudia Sheinbaum. “No one wins with this decision.”
The Canadian response will be two-pronged, taxing $30 billion in U.S. products immediately and $125 billion in 21 days.
“Our tariffs will remain in place until the U.S. trade action is withdrawn, and should U.S. tariffs not cease, we are in active and ongoing discussions with provinces and territories to pursue several non-tariff measures,“ said Trudeau. ”While we urge the U.S. administration to reconsider their tariffs, Canada remains firm in standing up for our economy, our jobs, our workers, and for a fair deal.”
Earlier on March 4, Vice President JD Vance told reporters that Trump will talk with Canada regarding the tariffs.
“We need to see real engagement on the fentanyl issue, on the drug issue,” he said. “That is fundamentally the underlying element of these tariffs is we think that the Canadians have not been serious about stopping the drug trade.”
“The Canadians have allowed a lot of fentanyl to come into the country,” he added. “It’s not a defense to say more has come from Mexico, because way too much has come from Mexico too.”
In addition to Mexico and Canada, Trump increased tariffs on China to 20 percent over its role in facilitating the flow of fentanyl into the United States.
“The concept of China saying, ‘what kind of war is this?’ It’s a drug war, it’s not a trade war, it’s not a tariff war,” said Lutnick. “They still are giving maximum subsidies to producing the ingredients for opioids that are killing Americans.”
China has announced retaliatory tariffs against the United States ranging from 10 percent to 15 percent on agricultural products.