Calgary (Rajeev Sharma): US President Donald Trump has slightly softened his aggressive global tariff stance following days of market volatility, though no changes have been made to the duties currently impacting Canada. In a move that surprised international observers, Trump announced a 90-day suspension on some of the steepest tariffs imposed under his “reciprocal” trade model. However, a baseline 10 percent tariff on imports from most countries will continue to apply, according to a clarification issued later by a White House official.
Since returning to the presidency earlier this year, Trump has pursued an assertive approach to reshaping global trade, using sweeping tariffs to exert economic pressure on trading partners. These measures have triggered disruptions across financial markets and drawn criticism from several allied nations.
As of early Wednesday, the US activated its updated tariff schedule, a 10 percent base tariff on all imports, and additional levies on specific regions and countries. Notably, imports from the European Union were hit with a 20 percent duty, South Korea faced a 25 percent charge, and Taiwan saw tariffs raised to 32 percent.
China, bearing the brunt of the escalation, is now subject to a 104 percent tariff on its exports to the US—a figure that was later increased to 125 percent in a second wave of penalties. In retaliation, Beijing imposed new duties on American goods, raising its total countermeasures to 84 percent.
Amid growing tensions and market unease, Trump took to social media to reassure Americans, stating, “BE COOL! Everything is going to work out.” Shortly afterward, he announced the partial rollback on some tariffs, attributing the decision to over 75 nations reaching out to his administration to seek a negotiated path forward.
Speaking from the White House, Trump added, “People were jumping a little bit out of line. They were getting a little yippy, a little bit afraid,” in reference to the international backlash.
Despite the relaxation for some, Canada remains subject to previous trade conditions. Confusion briefly arose when US Treasury Secretary Scott Bessent suggested that Canada and Mexico were included in the ongoing 10 percent tariff scheme. The White House later clarified that Canada’s tariff structure remains as it was.
Earlier in March, Trump had imposed a 25 percent tariff on Canadian and Mexican goods not covered under the Canada-US-Mexico Agreement (CUSMA), with energy products and potash facing a lower 10 percent rate. Exports covered under CUSMA are exempt from these duties.
US tariffs on Canadian steel, aluminum, and automobiles also continue unchanged. In response, Ottawa escalated its own counter-tariffs, targeting vehicles imported from the United States, though auto parts are exempt from Canada’s retaliatory measures.
