The 2025–2026 North American Trade War marked one of the most turbulent chapters in continental economics since the creation of NAFTA. In this episode, we unpack how a single set of executive orders from President Donald Trump ignited a cascading tariff confrontation across the United States, Canada, and Mexico. Beginning in early 2025, Washington imposed sweeping duties—25% on most Canadian and Mexican imports, 10% on energy—framed as tools to shrink trade deficits, curb illegal immigration, and disrupt fentanyl smuggling. Canada and Mexico struck back with their own levies, including a headline‑grabbing Canadian ban on U.S. alcohol in several provinces.

Despite a one‑month delay and exemptions for USMCA‑compliant goods, tensions escalated through 2025 as both sides layered new tariffs on steel, aluminum, autos, and consumer goods. Diploma ...