This is the second one-month postponement Trump has announced since first unveiling the import taxes in early February.

The reprieve would apply to goods that are compliant with the trade agreement Trump negotiated with Canada and Mexico in his first term.

“We are working hard, together, on the Border, both in terms of stopping Illegal Aliens from entering the United States and, likewise, stopping Fentanyl,” Trump said on Truth Social.

Trump’s on-again, off-again tariffs threats have roiled financial markets, lowered consumer confidence, and enveloped many businesses in an uncertain atmosphere that could delay hiring and investment.

Lutnick emphasised that reciprocal tariffs, in which the United States applies import taxes on countries that tariff US exports, will still be implemented April 2.

US markets bounced off their lows for the day shortly after Lutnick spoke.

Also on Thursday (Friday AEDT), Canadian Prime Minister Justin Trudeau indicated that he expected his country would be in a trade war with the US for the foreseeable future.

Trudeau said the broader month-long pause “aligns with some of the conversations that we have been having with administration officials”.

The Canadian leader said the move by the Trump administration was a “promising sign” but also “means that the tariffs remain in place and therefore our response will remain in place”.