Trump warned that tariffs on Canada and Mexico could rise up to 50%

The White House warned Wednesday that the final rates Mexico and Canada will have to pay for exporting their steel and aluminum to the United States could reach 50% instead of the 25% previously announced in the executive order signed by Donald Trump on Monday.

This new figure would be added to the 25% tax (an additional 25%) that had already been imposed on both countries, which was suspended for 30 days until March 4.

The reason for the possible higher rate lies in the lack of cooperation from these countries on issues of illegal migration and the fight against drug trafficking, which led Trump to take this measure as part of his campaign.

The announcement of the tariffs caused a strong controversy, which forced the parties involved to negotiate an extension to avoid their immediate implementation.

As a result, the implementation of the 25% rate was postponed until March 4, with the hope that during that time agreements can be reached to avoid the tariffs.

Both Canadian Prime Minister Justin Trudeau and Mexico's communist president Claudia Sheinbaumexpressed their intention to completely cancel this measure through the creation of joint working groups on migration and security.

However, while those solutions are being negotiated, Trump also announced that U.S. imports of aluminum and steel from Mexico and Canada will be subject to a 25% customs rate, which will begin to apply on March 12, without exceptions or exemptions.

According to the president, this measure aims to curb foreign "dumping", protect domestic production, and ensure the competitiveness of the U.S. steel and aluminum industries.

He argued that these industries are key to the country's economic and national security and that their strengthening would contribute to making the United States "rich again."

The decision on the extension of the tariffs will be crucial for Mexico and Canada in the coming weeks, as March 4 will mark the end of the 30-day extension. If on that date the initial tariffs are implemented, the metals from these countries will be subject to a 50% rate.

However, if a new extension is agreed upon, the 25% planned for all countries would be maintained. The steel imported into the United States mainly comes from Canada, followed by Mexico, South Korea, Brazil, and Vietnam. In the case of aluminum, almost two-thirds of U.S. imports come from Canada.

Trump believes that the tariffs will boost the U.S. manufacturing industry and reverse its decline in recent years.

Many experts warn, on the other hand, that the interconnection between the economic sectors of the United States, Mexico, and Canada could lead to an increase in product prices, such as automobiles, whose parts often cross the border several times before their final manufacture.

Canada's steel sector has already warned about the possible consequences of the measure, noting that it could cause a "massive disruption" in trade and industry.

In this context, the coming weeks will be key to determining whether agreements are reached to avoid an escalation of trade tensions between the three countries and the definitive implementation of the tariffs.

Meanwhile, President Trump announced that there is a possibility that in the near future the importation of automobiles will also begin to pay import duties.