Canada & Mexico border tariffs (IEEPA)

On February 1, 2025, alongside the China fentanyl tariff, President Trump ordered a 25% tariff on most imports from Canada and Mexico under IEEPA, declaring national emergencies over fentanyl trafficking and migration at both borders. Canadian energy products got a reduced 10% rate to soften the blow on U.S. fuel prices. The tariffs took effect March 4, 2025, after a brief delay for negotiation.

These were politically explosive because Canada and Mexico are America's two largest trading partners and fellow USMCA members — hitting them with outside-the-trade-agreement emergency tariffs was, many argued, both economically disruptive and legally incompatible with U.S. treaty obligations. The rates fluctuated through 2025 as goods meeting USMCA rules of origin were repeatedly carved in and out.

Then came the courts. The same Supreme Court ruling that killed the Liberation Day tariffs — Learning Resources, Inc. v. Trump, February 20, 2026 — held that IEEPA does not authorize the President to impose tariffs, invalidating the Canada and Mexico border tariffs along with everything else. CBP stopped collecting them within days.

Status as of July 2026; verify before relying on this for decisions. This entry is tagged struck-down: the policy motivation (border security) outlived the ruling, but the IEEPA tariffs themselves did not.

Directly: U.S. importers of Canadian and Mexican goods, while the tariff was in force (Mar 2025 – Feb 2026)

Ultimately: U.S. consumers, automakers, energy buyers and farmers, since supply chains are deeply integrated under USMCA

Because North American auto production crosses the border multiple times per vehicle, the tariff compounded with each crossing.