President Donald Trump announced that the United States will impose 25% tariffs on imports from Canada and Mexico, effective from next Tuesday.

rump stated that this measure aims to address trade imbalances and ensure fair trade practices with neighboring countries. The tariffs will cover a wide range of goods, with exceptions for energy products such as crude oil and natural gas, which will be subject to a 10% tariff.

In response, both Canada and Mexico expressed dissatisfaction with the U.S. decision. Canada announced its intention to impose retaliatory tariffs of 25% on U.S. goods, while Mexico is considering countermeasures to protect its economic interests.

These actions come amid escalating trade tensions among the three countries, despite the implementation of the United States-Mexico-Canada Agreement (USMCA) years ago, which was intended to reduce trade disputes and promote economic cooperation.

The tariffs are expected to impact prices in U.S., Canadian, and Mexican markets, with warnings about potential effects on consumers and businesses in the region. Financial markets experienced significant declines following the announcement, with major stock indices dropping and automotive stocks falling sharply.