By Nate Bolin
Partner, K&L Gates
Earlier this morning (2/27/25), President Trump announced (see below) that he intends to raise the 10% additional tariff rate on imports from China to 20% effective 12:01 am ET on March 4. In addition, the President stated that the current pause on 25% tariffs on Canada and Mexico will be lifted on March 4 as well, and that those tariffs will also go into effect. All of these additional tariffs are being implemented under the authority of the International Emergency Economic Powers Act (IEEPA) and are based on findings that these countries need to do more to address illegal drugs and immigration issues impacting the United States.
As previously noted, these tariffs are on top of other normal customs duties and tariffs (such as Section 301 and 232) and there are no exemptions or exclusions available. At this point it is unclear whether the latest announcement will ultimately lead to these tariffs going into effect or whether we may yet see a last minute, negotiated settlement or further pause.