The decision follows calls between Trump and Canadian president Justin Trudeau in which the latter outlined plans to reinforce the border.
Posting on X (formerly Twitter), Trudeau stated: “I just had a good call with president Trump. Canada is implementing our $1.3 billion border plan – reinforcing the border with new choppers, technology and personnel, enhanced coordination with our American partners, and increased resources to stop the flow of fentanyl. Nearly 10,000 frontline personnel are and will be working on protecting the border.”
A White House spokesperson has warned that the tariffs will be enforced “if the illegal migration and illicit drug crises worsen, and if the government of Canada fails to take sufficient steps to alleviate these crises”.
The 25% tariff on all imported Canadian goods, including whisky, was due to come into effect on 1 February.
On 2 February Trudeau announced retaliatory tariffs worth over US$100 billion while liquor stores in the provinces of Ontario, British Columbia and Nova Scotia had already pulled American spirits from shelves.
The proposed 25% tariff on Mexican imports has also been delayed until 4 March following a deal between Trump and Mexican president Claudia Sheinbaum.
Sheinbaum agreed to reinforce the border between the countries with troops while in return Trump agreed to limit the flow of guns into Mexico.
A 25% tariff would be potentially catastrophic for the tequila and mezcal categories who count the US as their largest export market.
