US, Canada Hold Trade Talks Amid New Tariffs

The U.S. State Department stated that Secretary of State Marco Rubio and Canadian Foreign Minister Mélanie Joly focused on “shared global challenges, secure borders, reciprocal trade, and economic prosperity.”

White House press secretary Karoline Leavitt confirmed that Trump had consulted with executives from automakers like Ford, General Motors, and Stellantis before announcing the tariff delay. Trump encouraged these companies to move their production to the U.S. to avoid the tariffs.

Despite the delay on vehicle tariffs, other U.S. tariffs on Canada and Mexico remain, with Leavitt adding that the president is open to considering exemptions for other goods. However, Canadian Prime Minister Justin Trudeau, who spoke with Trump earlier, made it clear that Canada would not lift its retaliatory tariffs unless the U.S. removes all tariffs.

Ontario Premier Doug Ford warned that the continued tariffs could lead to auto plant shutdowns in Canada within days, costing jobs. Meanwhile, Canadian provinces are looking to diversify trade partnerships to reduce dependence on the U.S.

Trump's tariffs on Canada and Mexico, along with a hike on Chinese imports, sent stock markets tumbling and threatened higher prices for U.S. consumers. Mexico, Canada, and China have all vowed to retaliate by increasing tariffs on U.S. products.

In a statement on Truth Social, Trump noted his conversation with Trudeau about the flow of fentanyl from Canada. Despite Trudeau’s assurance of progress, Trump remained unsatisfied, claiming the issue had not been fully resolved.

Earlier, Trudeau emphasized Canada's efforts to curb fentanyl trafficking, noting a 97% reduction in fentanyl seizures from Canada between December 2024 and January 2025.

While the U.S. Commerce Secretary acknowledged that tariffs would remain in place, he suggested that certain sectors might receive temporary relief until April 2, when Trump plans to impose reciprocal tariffs worldwide.

Canada's Finance Minister Dominic LeBlanc rejected any compromise, insisting that the U.S. tariffs must be fully removed.

In his speech to Congress, Trump defended the tariffs as necessary for U.S. prosperity, accepting the potential disruptions as temporary. Mexico and China are also preparing to announce countermeasures in response to the U.S. tariffs.