For the past year, there has been constant controversy surrounding the increasing tariffs imposed on close U.S. allies, particularly Canada and Mexico. On the surface, this may seem like a harmful approach to foreign relations. However, it’s important to understand that, in this case, the U.S. is using tariffs strategically to preserve its domestic economic interests and national security. The reasoning behind the imposition of tariffs is grounded in the need for a more balanced relationship between the U.S. and its neighboring countries.
The most recent set of tariffs included a 25% increase on products imported from Canada and Mexico. At first glance, this move may appear aggressive, but it stems from a longstanding, one-sided relationship in which the U.S. has been heavily burdened. While both Canada and Mexico benefit greatly from trade with the U.S., the U.S. faces significant challenges on its borders—particularly with issues such as the flow of fentanyl and illegal migration. The estimated cost to the U.S. economy due to these issues is in the billions of dollars, and yet, little has been done to address the root causes of these problems by its neighbors.
These tariffs are not an arbitrary punishment but rather a means of exerting pressure on both Canada and Mexico to take action on these pressing issues. The idea is to make it clear that the U.S. will not continue to bear the financial and security burdens resulting from lax border controls and inadequate enforcement measures. The tariffs serve as a tool to push Canada and Mexico into meaningful negotiations that can lead to solutions on both immigration and drug trafficking—issues that have historically been neglected in terms of bilateral cooperation.
Of course, the imposition of such tariffs has not been without consequences. Both Canada and Mexico responded with retaliatory actions, including their own tariffs on U.S. goods. These actions initially seemed to signal a breakdown in relations, but both countries quickly realized the potential damage they could face if the tariffs remained in place. Diplomatic meetings were held, with leaders from both countries sitting down with President Trump to address the situation and find a resolution. While these discussions were not without tension, they ultimately proved the effectiveness of the tariff strategy: both Canada and Mexico were willing to negotiate, suggesting that the U.S. had succeeded in leveraging its economic strength to secure a better deal.
Trump’s approach to foreign policy, particularly his use of tariffs, follows a principle outlined in his book The Art of the Deal. In the book, he explains how leveraging power and using economic strength can help negotiate better deals. The U.S., as the world’s largest economy, undoubtedly has significant economic leverage over its neighbors. By using tariffs as a bargaining tool, the U.S. forces Canada and Mexico to confront issues that have been neglected for years. This isn’t an effort to punish allies, but rather to ensure that the U.S. gets a fairer deal on trade, security, and other critical matters.
While the initial response from Canada and Mexico was one of resistance, it quickly became evident that they could not withstand the financial strain these tariffs would impose. Both nations saw their currencies decline to five-year lows, which further highlighted their vulnerability in the face of U.S. economic pressure. It was clear that they needed to resolve the situation before it spiraled into a larger economic crisis.
Trump’s ultimate goal was never to destroy the economies of these neighboring countries. Rather, he used the threat of tariffs to force them to the negotiating table, where the U.S. could ensure that its concerns were addressed. In the end, the tariffs were delayed by another month, providing time for Secretary Rubio to work on negotiating a deal that would ultimately benefit the U.S. both economically and in terms of national security.
During this period, Democrats attempted to paint President Trump as a reckless leader who was harming U.S. interests. However, this criticism fails to recognize the long-standing issues that had been left unaddressed during the previous administration. Under Biden’s leadership, these problems remained largely ignored, and Trump’s tariffs were a necessary and strategic step in drawing attention to these critical issues.
Ultimately, Trump’s use of tariffs was a calculated and strategic move, one designed to put pressure on Canada and Mexico to negotiate and address the serious issues affecting U.S. interests. In the end, the U.S. is poised to come out ahead with a deal that benefits its economic and security needs. It is a reminder that diplomacy often requires tough tactics, and that trade negotiations are not always as simple as they appear on the surface.
