EO 14325

Amendment to Duties To Address the Flow of Illicit Drugs Across Our Northern Border

Economy & TradeNational SecurityLaw Enforcement

Summary

This executive order increases tariffs on most Canadian products from 25% to 35% in response to alleged Canadian retaliation against previous tariffs imposed due to concerns about illicit drug trafficking across the U.S.-Canada border. The order also maintains existing tariff exemptions and applies stacking rules for overlapping tariffs.

Key Points

  • 1Increases additional tariff rate on Canadian products from 25% to 35%, effective August 1, 2025
  • 2Maintains exemptions for USMCA-qualifying products and the 10% rate on energy resources and potash
  • 3Applies tariff stacking rules to prevent overlapping tariff accumulation on the same goods
  • 4Invokes national emergency authority under the International Emergency Economic Powers Act related to drug trafficking concerns
  • 5Authorizes the Secretary of Homeland Security to make additional modifications to tariff schedules as needed

This summary is for informational purposes only. It may not capture all nuances of the executive order. Always refer to the official text for authoritative information.