The U.S. is set to impose a 25% tariff on steel and aluminum imports from Canada and several other nations, with the policy taking effect at midnight on March 12.
While President Donald Trump had previously considered pushing the rate even higher to 50%, he ultimately decided against it, offering no exemptions to any trading partners.
According to White House spokesperson Kush Desai, the tariff is in line with prior executive orders and will be enforced without exception.
Earlier in the day, Trump’s announcement that he intended to double tariffs on Canadian metals sent shockwaves through the markets. His decision was reportedly a response to Ontario’s newly introduced 25% tax on electricity exports to the U.S. The heightened trade tensions fueled uncertainty in North American markets.
[reamdore id=”152812″]However, a shift occurred when Ontario Premier Doug Ford and U.S. Commerce Secretary Howard Lutnick confirmed that Ontario would put its electricity export tax on hold. The two officials plan to meet in Washington later in the week to discuss trade relations.
Ford later acknowledged that negotiations often reach a critical point where tempers flare, but he stressed that de-escalation was necessary. His remarks were followed by Trump hinting at the possibility of reconsidering the increased tariffs.
While this development may provide a temporary reprieve, the underlying tensions between the U.S. and Canada over trade remain unresolved.
Morgan Stanley has issued a cautionary outlook on the U.S. dollar, predicting a major decline over the coming year as Federal Reserve rate cuts take hold.
Legendary investor Ray Dalio has issued a stark warning about the trajectory of U.S. government finances, suggesting the country is drifting toward a series of severe economic shocks unless its debt spiral is urgently addressed.
Steve Eisman, the famed investor known for forecasting the 2008 housing collapse, is sounding the alarm—not on overvalued tech stocks or interest rates, but on the escalating risk of global trade disputes.
Tensions are escalating in Washington as Elon Musk publicly condemned a sweeping federal spending bill backed by Donald Trump, accusing lawmakers of driving the U.S. toward bankruptcy.