Crypto markets rebound as Trump puts Canada and Mexico tariffs on hold

Cryptocurrency markets saw a sharp rebound after U.S. President Donald Trump agreed to temporarily halt proposed tariffs on Canada and Mexico while negotiations continue.

In a Feb. 3 statement on X, Canadian Prime Minister Justin Trudeau announced that following a phone conversation with Trump, the planned 25% tariffs would be paused for at least 30 days as both nations work toward a resolution.

Trudeau stated that Canada would strengthen its “coordination with our American partners” by implementing a $1.3 billion border security plan. Measures include appointing a Fentanyl czar, designating cartels as terrorist organizations, and reinforcing the U.S.-Canada border with additional personnel and helicopters.

Mexico has also paused its retaliatory tariffs for a month. In a Feb. 3 statement on X, Mexican President Claudia Sheinbaum announced that she and U.S. President Donald Trump had “reached a series of agreements,” including a commitment to strengthening security along their shared land border.

“Our teams will begin working today on two fronts: security and trade. They are pausing tariffs for one month from now,” Sheinbaum stated.

However, in a Feb. 3 interview with Bloomberg TV, Trump clarified that the U.S. and Mexico had not yet “agreed on tariffs” and warned that they could still be implemented.

Source: cointelegraph