Canada Caves! Tariffs Paused For 30 Days…
Canadian Prime Minister Justin Trudeau has agreed to a sweeping set of U.S. demands to stave off tariffs threatened by President Donald Trump. The deal, struck late Monday, gives Canada a 30-day reprieve from major economic penalties in exchange for a $1.3 billion border security overhaul and a series of tough new measures aimed at curbing illegal immigration and fentanyl trafficking.
Trudeau confirmed the agreement in a social media post, outlining a series of commitments, including the deployment of nearly 10,000 personnel to the border, the creation of a U.S.-Canada Joint Strike Force, and the appointment of a “Fentanyl Czar” to crack down on deadly drug smuggling. Additionally, Canada has pledged $200 million for intelligence operations and will officially list cartels as terrorist organizations—an extraordinary policy shift for the Trudeau government.
“I just had a good call with President Trump. Canada is implementing our $1.3 billion border plan — reinforcing the border with new choppers, technology and personnel, enhanced coordination with our American partners, and increased resources to stop the flow of fentanyl,” Trudeau announced Monday. “Nearly 10,000 frontline personnel are and will be working on protecting the border.”
“In addition, Canada is making new commitments to appoint a Fentanyl Czar, we will list cartels as terrorists, ensure 24/7 eyes on the border, launch a Canada- U.S. Joint Strike Force to combat organized crime, fentanyl and money laundering. I have also signed a new intelligence directive on organized crime and fentanyl and we will be backing it with $200 million.”
The announcement marks a striking reversal for Trudeau, who has long resisted Trump’s push for stronger border enforcement and tougher action on fentanyl trafficking. With economic pressure mounting and U.S. tariffs looming, the Canadian government folded, agreeing to a deal that mirrors many of the policies Trump has championed.
Trump confirmed the agreement in a post on Truth Social, declaring, “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, killing hundreds of thousands of Americans.”
The deal includes a $1.3 billion investment in border enforcement, 10,000 personnel, new choppers and technology, and a Canada-U.S. Joint Strike Force to combat organized crime. Additionally, Trudeau announced that Canada will list cartels as terrorist organizations and appoint a “Fentanyl Czar” to lead anti-smuggling efforts.
“I am very pleased with this initial outcome,” Trump added. “The tariffs announced on Saturday will be paused for 30 days to see whether or not a final economic deal with Canada can be structured.”
On Saturday, President Trump announced the imposition of a 25% tariff on goods imported from Mexico and Canada, alongside an additional 10% tariff specifically targeting Canadian oil, natural gas, and electricity. He also mandated a further 10% tariff on Chinese imports.
The tariffs were set to take effect at midnight on Tuesday. In response, both Canada and Mexico threatened retaliatory measures, heightening concerns about the potential escalation into a widespread regional trade conflict.
The 10% tariff on Chinese imports ordered by President Trump remains on schedule to be implemented, although Trump has planned discussions with Chinese President Xi Jinping in the coming days, according to The Associated Press.
