UPDATED ON MARCH 6, 2025
Tariff delay: President Donald Trump signed executive orders on March 6, 2025 delaying tariffs until April 2, 2025 on goods from both Mexico and Canada that are covered by the U.S.-Mexico-Canada Agreement (USMCA) signed between the three countries during his first term. If the tariffs on goods do not satisfy USMCA rules of origin then the 25% tariffs will apply.
Effective Date: The exclusion from IEEPA tariffs for products of Mexico and Canada applies to goods entered for consumption, or withdrawn from warehouse for consumption, on or after 12:01 a.m. eastern standard time on March 7, 2025. For goods that were entered between 12:01 March 4 and midnight March 7, all indications are that the 25% tariffs will apply and refunds should not be expected.
View the White House fact sheet for more information.
This is a developing story.
The U.S. printing industry is facing new challenges following President Donald Trump's recent announcement of sweeping tariffs. On February 1, President Trump imposed a 25 percent tariff on all imports from Mexico and Canada (excluding a 10 percent tariff on Canadian energy resources), and an additional 10 percent tariff on imports from China (there are existing Section 301 tariffs on China).
However, on February 2, President Trump announced a 30-day pause of tariffs on Canadian and Mexican imports after both countries agreed to increase border security measures. In contrast, the additional 10 percent tariff on Chinese imports went into effect on February 4.
With the pause ending on March 4, these tariffs, justified on the grounds of national security under the International Emergency Economic Powers Act (IEEPA) and the National Emergencies Act (NEA), have far-reaching implications for the printing industry and its supply chains.
Disruption to Supply Chains
Canada provides the U.S. printing industry with essential materials such as pulp and paper. The Canadian government responded to the tariff by announcing a list of retaliatory tariffs targeting approximately $30 billion worth of U.S. goods, including $2 billion in pulp and paper products. If these tariffs are imposed after the 30-day tariff pause, they are likely to cause significant disruptions to the U.S. cardboard market, which is critical for packaging and printing materials.
Given that Canada supplies 80 percent of North America's newsprint—producing approximately 2.1 million metric tons in 2023 compared to just 409,000 metric tons in the U.S.—the American market lacks the capacity to meet demand for certain types of newsprint paper. This reliance on Canadian imports underscores the vulnerability of the U.S. printing industry to trade restrictions.
Financial Impact on the Industry
The potential tariffs pose a dual challenge for printing companies: absorbing the additional tax, reducing their profits, or passing the cost along to consumers. Some businesses claim a 25 percent tariff would wipe out their profit margins entirely. Both options threaten the stability of the printing industry.
The National Association of Manufacturers (NAM) has warned that a 25 percent tariff on imports from Canada and Mexico could add an estimated $144 billion annually to U.S. manufacturing costs, with small and medium-sized enterprises bearing the brunt.
Instead of protecting domestic producers, these tariffs may lead to higher operational expenses, supply chain disruptions, and increased prices for consumers. As consumers of pulp and paper, printing companies may find themselves in a precarious financial position. Customers of print service providers may decide to forego print due to the increased costs.
Historical Context and Industry Advocacy
The U.S. printing industry has faced tariff challenges before. During President Trump's first administration, the industry successfully lobbied against proposed countervailing duties (CVD) and anti-dumping duties (AD) on Canadian uncoated groundwood papers, which could have added up to 32 percent in combined tariffs. The coalition, known as Stop Tariffs on Printers & Publishers (STOPP), played a key role in safeguarding the industry from those damaging measures.
Given the current tariff situation, the PRINTING United Alliance Government Affairs team is once again stepping up to protect the interests of the industry. The team is actively engaging policymakers and monitoring trade discussions between the U.S. and Canada, Mexico, and China. We are working to ensure that government decisions do not stifle the growth and competitiveness of the U.S. printing industry.
Looking Ahead
It was recently announced that President Trump plans to impose reciprocal tariffs, as well as a 25 percent blanket tariff on steel and aluminum imports the week of February 10. This would impact U.S. imports of aluminum lithographic printing plates because importers would pay 25 percent on top of existing aluminum tariffs.
The U.S.-Mexico-Canada Agreement (USMCA), negotiated by Trump in 2018, currently allows tariff-free trade, so if the 25 percent tariffs are eventually imposed it would effectively suspend the agreement.
As the 30-day tariff pause approaches its expiration, the threat of retaliatory tariffs and continued trade tensions looms large. The printing industry must remain vigilant and advocate for policies that promote a certain and stable trade environment. Collaboration with policymakers and industry stakeholders will be crucial to mitigating the negative impacts of tariffs and ensuring a resilient future for the sector.
In these uncertain times, the Alliance will continue to keep its members informed and engaged as they navigate the evolving trade landscape.
In this article, Stephanie Buka, Government Affairs Manager, PRINTING United Alliance, discusses the impact of tariffs on the printing industry. More information can be found at Business Excellence-Legislation or reach out to Steph should you have additional questions specific to how these issues may affect your business: sbuka@printing.org.
To become a member of the Alliance and learn more about how our subject matter experts can assist your company with services and resources such as those mentioned in this article, please contact the Alliance membership team: 888-385-3588 / membership@printing.org.