The stock market tumbled Monday after President Donald Trump said tariffs would go into effect for Mexico, Canada and China as planned on Tuesday.

President Trump on Thursday said he will pause 25% tariffs on U.S. imports from Mexico and Canada that are covered under a 2020 trade agreement, delaying levies imposed on the nations earlier this week.

The Trump Tariff executive order leaves loopholes that could help import cars like the Toyota Tacoma and Ford Maverick not pay the full 25 percent.

These trade tensions spell trouble for numerous industries, including the booming spirits market. Canada and Mexico – two of the top U.S. trading partners – accounted for nearly half of the US$12 billion in distilled spirits the U.S. imported in 2024.

Tuesday's tariffs place a 25% tax on imports from Canada and Mexico. The tariffs on Chinese goods were doubled, bringing the tax to 20%.

An American Compass analysis attributes the quotas to an 8% increase in the cost of vehicles, more than 100,000 new U.S. jobs, eight new auto assembly plants, 300 new production facilities and more than $25 billon in foreign investment.

Starting just past midnight Tuesday, imports from Canada and Mexico are now taxed at 25%, with Canadian energy products getting tariffed at 10%.

Trump has repeatedly called April 2 “Liberation Day,” with promises to roll out a set of tariffs, or taxes on imports from other countries, that he says will free the U.S. from a reliance on foreign goods. To do this, Trump has said he'll impose “reciprocal” tariffs to match the duties that other countries charge on U.S. products.