President Trump walked back his decision to impose 25% tariffs on goods imported from Mexico and Canada, including lumber and home building materials. The president announced on social media that tariffs previously announced on Saturday will be paused for 30 days.
“As President, it is my responsibility to ensure the safety of ALL Americans, and I am doing just that,” President Trump wrote on Truth Social. “I am very pleased with this initial outcome, and the Tariffs announced on Saturday will be paused for a 30 day period to see whether or not a final Economic deal with Canada can be structured. FAIRNESS FOR ALL!”
The president’s initial tariff post last Saturday announced a 25% tariff on Mexican and Canadian goods, along with a 10% tariff on Canadian oil, natural gas, and electricity — a move that reportedly shocked American investors, businesses, and consumers, despite Trump telegraphing these shifts in trade policy throughout his presidential campaign.
The increased tariffs were intended to pressure the U.S.'s neighboring countries and largest trade partners, Canada and Mexico, into tightening their border security to prevent the rise of illegal immigration and drug trafficking.
On Monday, Trump announced via social media his satisfaction with Canadian Prime Minister Justin Trudeau, who agreed to implement a $1.3 billion border plan. “Canada has agreed to ensure we have a secure Northern Border, and to finally end the deadly scourge of drugs like Fentanyl that have been pouring into our Country,” President Trump wrote.
The 25% tariff on softwood lumber, which is used to build homes across the nation, would have been additional to an existing 14.5% duty rate, pushing the overall Canadian lumber tariffs to nearly 40%, National Association of Home Builders (NAHB) reported on Monday.
Likewise, Trump and Mexican President Claudia Sheinbaum announced the month-long pause on increased tariffs after what he described on social media as a “very friendly conversation.”
Yesterday, NAHB commended the president’s decision to delay the increased tariffs in the following statement:
“We commend President Trump for reaching an agreement with Canada and Mexico to delay the proposed tariffs, avoiding additional strain on a housing market already facing affordability challenges. Stability and certainty are essential for American businesses, consumers, and the strength of our economy. We urge all parties to remain committed to productive dialogue to prevent new tariffs on construction materials critical to housing our nation.”
