WASHINGTON — U.S. President Donald Trump has exempted Canada and Mexico from his steel and aluminum tariffs, but he says he might change his mind later if two countries don’t agree to a fair North American Free Trade Agreement.Resisting furious global pressure, Trump declined to grant immediate exemptions to any other countries. He said everyone else can negotiate with his trade chief.His decision on Thursday to exempt Canada conditionally, but immediately, is a partial victory for Canadian steel producers and for Prime Minister Justin Trudeau’s government after a frantic week of high-stakes diplomacy. Trump initially said he would give Canada no special treatment, then insisted he would only lift a tariff on Canada when the NAFTA impasse was resolved.Still, his decision fell far short of the full, final tariff exemption sought by Trudeau and numerous senior members of Trump’s own party. It ensures that a tariff cloud will hover indefinitely over the rocky NAFTA talks.“We’re negotiating right now NAFTA. And we’re going to hold off the tariff on those two countries to see whether or not we’re able to make the deal on NAFTA. National security, very important aspect of that deal,” Trump said at the White House, flanked by Vice-President Mike Pence and steelworkers. “And, if we’re making the deal on NAFTA, this will figure into the deal, and we won’t have the tariffs on Canada or Mexico. If we don’t make the deal on NAFTA, and if we terminate NAFTA because they’re unable to make a deal that’s fair for our workers and fair for our farmers . . . .” He did not finish the sentence.Trump signed a proclamation imposing the tariffs in 15 days on countries outside North America. The tariffs will be 25 per cent on steel products, 10 per cent on aluminum products. They will likely produce significant changes in global markets for both, and the ripple effects may spread throughout t ...
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