New Tariffs on Canada, Mexico, and China Begin Tuesday, February 4, 2025
President Trump signed three executive orders that impose tariffs on imports from Canada, Mexico, and China, effective on 12:01 AM EST on Tuesday, February 4, 2025. Per the White House fact sheet, these tariffs are being implemented due to “The extraordinary threat posed by illegal aliens and drugs, including deadly fentanyl, constitutes a national emergency under the International Emergency Economic Powers Act (IEEPA).” Duty drawbacks will not be allowed on goods subject to these tariffs, nor will they qualify for duty-free treatment under de minimis. Additionally, goods in transit as of 12:01 AM EST on February 1 will not be subject to these duties.
The key provisions of the President’s actions as known or expected to date include:
- All products imported from Canada and Mexico will bear a 25% duty for entry into the United States. Energy and energy resources from Canada will bear a lower 10% duty. All products imported from China will bear an additional 10% duty for entry into the United States.
- Application of the duties is expected will begin on February 4, 2025. Goods in transit prior to February 1, 2025, are excluded from the new tariffs together with a few other operational exceptions.
- DeMinimis treatment of low-value shipments will be unavailable for goods covered by these duties.
- No exclusion process will be available for domestic importers.
- No drawback will be available for duties paid under these actions.
- Any retaliation from our trading partners will be met with higher duty rates or expanded scope at the President’s discretion.
Read more at:
https://www.whitehouse.gov/fact-sheets/2025/02/fact-sheet-president-donald-j-trump-imposes-tariffs-on-imports-from-canada-mexico-and-china/
https://www.whitehouse.gov/presidential-actions/2025/02/imposing-duties-to-address-the-flow-of-illicit-drugs-across-our-national-border/
