Trump Imposes Tariffs on Mexico, Canada and China; Crypto Bears the Brunt

Following through on threats made throughout his campaign and repeated in the opening days of his presidency, Donald Trump has imposed 25% tariffs on nearly

President Donald Trump has slapped 25% tariffs on nearly all imports from Mexico and Canada, and a 10% tariff on goods from China, following through on threats he made throughout his campaign and again in the opening days of his presidency.

The tariffs will go into effect on Tuesday, according to a senior White House official who spoke with the Wall Street Journal. They will remain in place until the president is satisfied that the named countries have stopped the flow of fentanyl into the U.S.

"The sustained influx of illicit opioids and other drugs has profound consequences on our Nation, endangering lives and putting a severe strain on our healthcare system, public services, and communities," the president said in his Executive Order authorizing the levies.

With traditional markets closed for the weekend, crypto is bearing the brunt of the risk-off reaction to the tariffs. Bitcoin is lower by 2% and barely hanging on above $100,000 after rising as high as $106,000 a bit more than 24 hours ago.

Altcoins are faring worse, with ether, XRP and solana down 6%-8%. The broad market gauge CoinDesk 20 Index is off by 4.8%.

There will be no exemptions to the tariffs, the official told the WSJ, and they will remain in place until the president is satisfied the named countries have stopped the flow of fentanyl into the U.S.

"No one — on either side of the border — wants to see American tariffs on Canadian goods," outgoing Canadian Prime Minister Justin Trudeau wrote on X yesterday. "If the United States moves ahead, Canada’s ready with a forceful and immediate response."