Trump Administration Pressures Canada Over Fentanyl With Tariffs

Economic and commerce officials signal ongoing tariffs tied to fentanyl trafficking concerns, with mixed messaging on progress and potential resolutions.

• White House economic adviser Kevin Hassett expressed optimism that disputes with Canada over fentanyl trafficking could be resolved by the end of March.
• Commerce Secretary Howard Lutnick emphasized that U.S. tariffs on steel and aluminum imports from Canada and Mexico will remain in place unless fentanyl smuggling is fully addressed.
• The Trump administration has framed the tariffs as part of a broader strategy to combat the opioid crisis, describing it as a 'drug war' rather than a trade war.
• Officials provided conflicting statements regarding progress on the issue, with unclear metrics for evaluating Canada's efforts to curb fentanyl trafficking.
• The tariffs have raised concerns about economic impacts, including higher consumer prices in the U.S., but officials dismissed fears of a recession.

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