Donald Trump’s introduction of his long-threatened 25 percent trade tariffs on Mexico and Canada has caused global stock markets to drop sharply, with the Dow Jones, S&P 500 and Nasdaq all falling.
Investors, fearful of a trade war erupting, had hoped the president might relent in his promise to penalize imports from the nation’s two biggest trading partners.
Instead, Trump told reporters at the White House on Monday that there was “no room left for Mexico or for Canada,” adding: “The tariffs, they’re all set. They go into effect tomorrow.”
The president also said that he would impose an extra 10 percent tariff on China, on top of the previous 10 percent tariff he introduced last month, with Beijing already retaliating.
The unease has already led to warnings that the U.S. could be heading for recession, with the Atlanta Fed’s GDPNow model estimating real GDP growth for the first quarter of 2025 at -2.8 percent, down from +3.9 percent just four weeks ago.
Trump has meanwhile moved to suspend aid to Ukraine after his feud with Volodymyr Zelensky escalated.
He will deliver the first joint congressional address of his second presidency on Tuesday evening.
Trudeau calls Trump’s tariff war a ‘very dumb thing to do’ and announces retaliatory tariffs
Here’s the Canadian PM just now promising 25 percent tariffs of his own and appealing to his U.S. counterpart directly to back down:
Joe Sommerlad4 March 2025 16:25
Republicans want Trump on the $100 bill and winning the Nobel Peace Prize
This is getting seriously embarrassing, isn’t it?
Joe Sommerlad4 March 2025 16:10
Democrats looking to ‘express our outrage’ at Trump’s speech tonight – they just don’t know how
Holding up egg cartons, walking out in disgust and wearing symbolic colors are just a few of the ways House Democrats are reportedly considering expressing their dismay during the president’s speech this evening.
Joe Sommerlad4 March 2025 15:55
Canadian energy tariff will lead to price rises hitting consumers, expert warns
Industry expert Patrick De Haan of GasBuddy is warning that Trump’s 10 percent on Canadian energy imports could lead to price rises hitting some U.S. regions pretty quickly while others might not begin to feel the squeeze for one-to-three weeks.
Fuel prices will rise in varying amounts across different U.S. regions, De Haan forecasts, with the northeastern states expected to see the most significant increase at around 20 to 40 cents per gallon by the middle of March.
Refined products like gasoline, diesel, heating oil, propane, jet fuel and more will all be impacted, he says, because American refineries cannot simply switch from processing Canadian to American crude oil as there is specialized equipment, infrastructure, and pipeline configurations involved.
In the longer term, the president’s tariff will add costs throughout the entire American supply and refining system, he states, ultimately passing costs on to consumers in the shape of higher fuel prices.
None of which is likely to play well for Trump in the polls.
Meanwhile, Ontario Premier Doug Ford has been threatening to switch off the supply altogether, declaring: “They need to feel the pain.”
Joe Sommerlad4 March 2025 15:40
Live: Justin Trudeau announces Canada’s response to Trump’s tariffs
You can watch a livefeed of the Canadian PM’s remarks below.
Joe Sommerlad4 March 2025 15:25
Stock markets see sluggish opening as Wall Street reacts to Trump’s new tariffs on Mexico and Canada
Here’s Kelly Rissman with the very latest on the markets as the president’s tariffs on some of the United States’s largest trading partners take effect.
Joe Sommerlad4 March 2025 15:20
Truth Social: Trump attacks Canadian banking sector
Here’s the latest from the president as his trade war gets off to a rollicking start:
Joe Sommerlad4 March 2025 15:05
Melania Trump makes passing jibe at Democrats at Capitol Hill roundtable
The first lady was surprised and frustrated that Democratic lawmakers ignored a roundtable meeting on Capitol Hill on Monday discussing a bill making its way through Congress that would criminalize the sharing of intimate photos online without the subject’s consent.
The bill, called the “Take It Down Act,” would criminalize the sharing of intimate photos on the internet without the subject’s consent, which is colloquially known as “revenge porn.”
Victims of revenge porn have experienced having their nude or otherwise private photos shared widely online.
It’s unclear if the “Take It Down Act” would have stopped Congresswoman Marjorie Taylor Greene from sharing nudes of Hunter Biden in front of Congress without his consent.
Rather than calling out a member of Congress for engaging in the very actions she’s advocating to criminalize, the first lady instead expressed her disappointment that more Democrats didn’t attend the roundtable.
Joe Sommerlad4 March 2025 14:50
‘New American Dream’: What is Trump going to say in his congressional address tonight?
Here’s James Liddell on how Trump’s big speech is likely to play out.
Joe Sommerlad4 March 2025 14:25
A very different Marco Rubio once vowed that the U.S. would defend Ukraine
Trump’s secretary of state Marco Rubio has said that the administration should do just about anything to get Russian President Vladimir Putin to the negotiating table to reach a deal on the Ukraine war.
But just over a decade ago, the same man spoke passionately about America’s moral imperative to defend Ukraine against aggression after the nation gave up its nuclear stockpile following the fall of the Soviet Union.
Here’s more from Mary Papenfuss.

Watch Marco hail US vow to defend Ukraine after it gave up its nuclear arms
Secretary of State Marco Rubio has said that the Trump administration should do just about anything to get Russian President Vladimir Putin to the negotiating table to reach a deal on the Ukraine War — even though Putin has reportedly already been talking to Donald Trump for weeks without Ukraine.
Joe Sommerlad4 March 2025 14:00