Trade Tensions Spike: U.S. Tariffs Loom for Canada and Mexico

President Trump is pushing ahead with tariffs on Canadian and Mexican imports, despite the countries' efforts to address U.S. concerns over border security and fentanyl smuggling. The tariffs, set to affect $918 billion in trade, pose a threat to North American economic integration.

WASHINGTON, Feb 24 (Reuters) - President Donald Trump announced Monday that the tariffs on Canadian and Mexican imports are proceeding as scheduled, despite the nations' attempts to enhance border security and curb fentanyl traffic into the U.S. The looming tariffs, marked for March 4, will apply to nearly $918 billion worth of goods and could significantly impact the interconnected North American economy.

The automotive sector, in particular, stands to face considerable challenges, while broader measures targeting trade imbalances remain a contentious point of discussion. Trump underscored the need for 'reciprocal' tariffs, aiming to align duty rates and counter trade barriers imposed by various countries, including France.

Efforts by Canada and Mexico to negotiate additional delays have dimmed, with legal experts noting continued threats until concrete evidence of improved border measures surfaces. The discourse unfolds amid escalating tariff threats on steel, aluminum, and other goods as the U.S. revisits global trade agreements.

(With inputs from agencies.)