our insights

A Temporary Reprieve: US and Canada Agree to 30-day Tariff Implementation Delay

02/04/2025

Following a series of calls on February 3, 2025, Canadian Prime Minister Justin Trudeau and US President Donald Trump agreed to a 30-day delay on tariffs that were to be implemented on February 4, 2025.  As outlined in our previous alert, President Trump made good on his promise to impose a 25% tariff on imports from Canada with a 10% tariff on Canadian energy resources. Canada responded in kind with a 25% tariff on imports from the United States.

Canada has promised a $1.3 billion border security plan, including new equipment, personnel, and increased cross-border cooperation with United States border security agencies. In exchange, both countries will pause the implementation of their planned tariffs for at least 30 days. The United States has indicated their intention to structure a ‘final economic’ deal with Canada during this period.

The Cassels International Trade Group will keep a close watch on developments in the coming weeks and months. Alerts will be published to help businesses navigate the uncertain times ahead.

_____________________________

Trade Turbulence

Webinar

Insights

Media

This publication is a general summary of the law. It does not replace legal advice tailored to your specific circumstances.

For more information, please contact the authors of this article or any member of our International Trade Group.