
US, Canada, And Mexico Agree To Pause Tariffs For Now
The last few days have seen quite a few ups and downs when it comes to economic policy and cross-border trade in North America. Since Donald Trump took office in January 2025, there have been multiple proposals floated by the President to increase the amount of import taxes that are applied to goods and services when they cross into the United States from Canada and Mexico. In some cases, those tariffs could be as much as 25% or more.
In response, both of our national neighbors have threatened to respond in kind, with some officials from Canada even threatening to limit energy resources that flow into America.
People who live and work in border communities in the US, like Buffalo, have been very worried that these new taxes and fees that would be added to imports and exports would have a chilling effect on local economies. Still, it seems that after some political wrangling between the powers that be, the three nations are stepping back from these sanctions against each other and are hitting the pause button, at least for the next 30 days or so.
It seems this pause is now in place to give the leaders of Canada, Mexico, and the United States time to negotiate what the new normal will be between the nations. This, of course, is welcome news to folks in New York State who were on the verge of seeing some extreme price increases on just about everything from gasoline and electricity prices to the cost of potato chips and milk.
Now, Americans, Canadians, and Mexicans are looking forward to renormalizing relations to ensure things run smoothly at our border crossings and our economies that are tightly intertwined.
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Gallery Credit: Megan Carter