US President Donald Trump said tariffs on some goods from Canada and Mexico planned for April 2 "could go up," and would not predict whether the American economy will have a recession this year.
In an interview that aired on Fox News' Sunday Morning Futures With Maria Bartiromo, Trump said reciprocal tariffs would go into effect on April 2 and the one-month reprieve granted to Mexico and Canada was a "little bit of a break."
Last month, Trump announced 25 per cent tariffs on the US' neighbouring countries. Those were delayed for a month and imposed on Tuesday, until Trump decided last Wednesday to pause tariffs on car makers for another month. He again changed course on Thursday, pausing tariffs on Mexican and Canadian goods covered by the USMCA free trade treaty until April.
US President Donald Trump, left, and Canadian Prime Minister Justin Trudeau talk in 2019 during a meeting of NATO leaders. (AP Photo/Frank Augstein, File) (AP)
"It's a transition into April and after that, I'm not doing this. I told (car makers), 'Look, I'm going to do it this one time,'" said Trump.
But Trump has continued to make changes to tariff plans. On Friday, he threatened new tariffs on Canadian timber and dairy products. Those tariffs could go into effect on Monday.
After Trump announced the latest one-month pause on most tariffs, Mexico's President Claudia Sheinbaum decided to hold off on retaliatory tariffs. Canadian Prime Minister Justin Trudeau has said that Canada's retaliatory measures will remain in place.
But Trudeau said last Thursday that these policies risk a trade war between Canada and the US for the foreseeable future.
Meanwhile, US Commerce Secretary Howard Lutnick confirmed on NBC'sMeet the Press that Trump's promised 25 per cent tariffs on steel and aluminium imports will go into effect on Wednesday and tariffs on Canadian dairy and lumber products will "start on April 2."
Canadian demonstrators on Parliament Hill in Ottawa protest against U.S. President Donald Trump's threats to Canadian sovereignty, on Sunday, March 9, 2025. (Justin Tang/The Canadian Press via AP) (AP)
Lutnick indicated the tariffs that go into effect on April 2 will continue until Trump is "comfortable" with how both countries are handling the flow of fentanyl.
The Trump administration claims Canada is a "major source" of fentanyl imports, despite Canada being responsible for just 0.2 per cent of illegal imports of the drug into the US.
Trade tensions and signs of slowing growth have led to worries that a recession could be looming.
When asked by Bartiromo if he was expecting a recession this year, Trump said, "I hate to predict things like that. There is a period of transition because what we are doing is very big."
Trump added that the transition "takes a little time" and "it's going to be great, ultimately, for the farmer."
Tomatoes imported from Mexico are for sale in a supermarket in Miami as the United States imposed 25 per cent tariffs on goods from Canada and Mexico, starting a trade war on Wednesday, March. 5, 2025. (AP Photo/Lynne Sladky) (AP)
The latest consumer survey by the US research organisation The Conference Board showed the share of respondents expecting a recession in the coming year jumped last month to a nine-month high.
"The kinds of changes that are occurring under Trump are arguably unprecedented, and it's making people very nervous," Mark Zandi, chief economist at Moody's, told CNN.
"If confidence continues to fall for another three months, and consumers actually pack it in, then game over."