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Trump expands exemptions from Canada and Mexico tariffs

President Donald Trump has expanded exemptions on tariffs for Canada and Mexico, marking a significant retreat from his aggressive trade policies.

Temporary relief for businesses

WASHINGTON, DC – MARCH 05: White House Press Secretary Karoline Leavitt speaks during the daily White House press briefing at the James Brady Press Briefing Room of the White House on March 05, 2025 in Washington, DC. During the briefing, Leavitt spoke about points made in the U.S. President Donald Trump’s joint address to Congress and about the president’s administration imposed tariffs on Canada and Mexico. (Photo by Anna Moneymaker/Getty Images)

The exemptions will apply to about 50% of imports from Mexico and 38% from Canada, though it remains unclear which Canadian goods are included.

Political reactions

Mexican President Claudia Sheinbaum praised the move, while Canadian Prime Minister Justin Trudeau continues to push for a full exemption on all goods.

Economic concerns persist

NEW YORK, NEW YORK—MARCH 05: Traders work on the floor of the New York Stock Exchange (NYSE) on March 05, 2025, in New York City. Following two days of dramatic losses in the stock market after the Trump administration imposed tariffs on Mexico and Canada, stocks were up in morning trading. (Photo by Spencer Platt/Getty Images)

Despite the exemptions, fears of rising consumer prices and disrupted supply chains remain, as businesses brace for potential future trade restrictions.

What’s next?

With the exemptions set to expire on April 2, uncertainty lingers over whether Trump will reinstate tariffs or extend the relief further.

Herbert Bauernebel

Herbert Bauernebel has been reporting from New York since 1999 and currently works for Bild.de, OE24 TV, and US Live. He also runs the news portal AmerikaReport.de. Bauernebel has covered nearly all major US events of the past quarter-century, including 9/11, Hurricane Katrina, Barack Obama’s election, Donald Trump’s surprise victory, the pandemic, last year’s election showdown, as well as natural disasters such as hurricanes and oil spills. He has also reported firsthand on international events, including the Asian tsunami, the Haiti earthquake, and the Fukushima disaster. He lives in Brooklyn with his family and holds degrees in communication and political science from the University of Vienna. Bauernebel is the author of a book about his experiences on 9/11, And the Air Was Full of Ash: 9/11 – The Day That Changed My Life.

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Herbert Bauernebel

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