President Donald Trump's new tariff orders against Canada, Mexico and China all contain clauses suspending a duty-free exemption for low-value shipments below $800 that is widely seen as a loophole that has allowed shipments of fentanyl and its precursor chemicals into the United States.

President Trump has threatened to impose tariffs on Canada over drug trafficking, equating it with Mexico. U.S. government reports do not support the claim.

Trump’s tariffs on Canada, Mexico, and China are linked to the fentanyl crisis. But what is fentanyl and how has it spawned a crisis spanning four countries?

The White House says fentanyl smuggled to the U.S. justifies tariffs against Canada, China and Mexico. But fentanyl deaths and smuggling have been dropping fast — and Canada plays almost no role.

The Trump administration is following through on its promise to impose 25% tariffs on goods imported from Mexico and Canada and raise tariffs on Chinese goods on Saturday.

Britain has a "fair and balanced" trading relationship with the United States, a government spokesperson said on Monday, after President Donald Trump hinted tariffs could be "worked out" between the two countries.

Trump is imposing blanket tariffs of 25 percent on all Canadian and Mexican goods – aside from a carveout of a lower 10 percent tariff on Canadian energy – and an additional 10 percent tariff on goods from China, defying economist predictions that the tariffs would not be wide-sweeping.

The move likely will trigger retaliation and risk igniting a trade war that could cause broad economic disruption for all countries involved.