Tariffs on Canada and Mexico Threaten U.S. Economy and Trade Commitments, Says ITIF
WASHINGTON—Following an announcement from President Trump that the United States will impose 25 percent tariffs on Canada and Mexico starting on Tuesday, March 4, the Information Technology and Innovation Foundation (ITIF), the leading think tank for science and technology policy, released the following statement from Stephen Ezell, ITIF’s vice president of global innovation policy:
The Trump administration’s decision to impose 25 percent tariffs on free-trade agreement partners Canada and Mexico—set to take effect tomorrow—lacks a sound economic basis. These tariffs risk disrupting global supply chains for high-tech goods, including automobiles, electronics, and medical devices, increasing costs for American consumers and hindering U.S. economic growth. Moreover, they will not achieve the administration’s stated goal of revitalizing American manufacturing.
Beyond the economic consequences, these tariffs strain relations with key allies who have engaged in good-faith negotiations with the administration and have implemented significant measures to address shared concerns, including efforts to combat fentanyl trafficking and unauthorized immigration. Additionally, imposing these tariffs is inconsistent with U.S. commitments under the United States-Mexico-Canada Agreement (USMCA).
Many of President Trump economic goals are worthwhile, but imposing these tariffs on U.S. allies will undermine both economic stability and existing trade commitments.
Contact: Austin Slater, [email protected]
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The Information Technology and Innovation Foundation (ITIF) is an independent, nonprofit, nonpartisan research and educational institute focusing on the intersection of technological innovation and public policy. Recognized by its peers in the think tank community as the global center of excellence for science and technology policy, ITIF’s mission is to formulate and promote policy solutions that accelerate innovation and boost productivity to spur growth, opportunity, and progress.
