Commerce Secretary Howard Lutnick said President Donald Trump will “meet in the middle” with Mexico and Canada after 25% tariffs on America’s continental neighbors went into effect Tuesday. Lutnick told Larry Kudlow on Fox Business that he was on the phone with Mexican and Canadian officials all day, and he believes the president wants to “work something out with them.”

Officials in Canada and China are blasting the Trump administration for using illegal street fentanyl as justification for new trade tariffs that go into effect today.

In a statement, Canadian Prime Minister Justin Trudeau called Trump's criticism "unjustified," noting that fentanyl seizures at the U.S. northern border have dropped to "near-zero."

The Supreme Court will hear arguments Tuesday in a $10 billion lawsuit Mexico filed against top firearm manufacturers in the U.S., alleging their business practices have fueled cartel gun violence.

The gun makers reject those claims. They appealed to the Supreme Court to overturn a ruling that let the lawsuit move forward even though U.S. law largely shields gun makers from lawsuits.

U.S. President Donald Trump's new 25% tariffs on imports from Mexico and Canada took effect on Tuesday, along with a doubling of duties on Chinese goods to 20%, launching new trade conflicts with the top three U.S. trading partners.

The tariff actions, which could upend nearly $2.2 trillion in two-way annual U.S. trade went live at 12:01 a.m. EST (0501 GMT), hours after Trump declared that all three countries had failed to do enough to stem the flow of the deadly fentanyl opioid and its precursor chemicals into the U.S.

President Donald Trump's new tariffs on China, Canada and Mexico took effect at midnight Tuesday morning, increasing the taxes that U.S. importers will pay on certain goods when they enter the country.

Effective Tuesday, U.S. imports from China, the third-largest U.S. trading partner, will be subject to a new 10% tariff on top of the initial 10% tariff he imposed on Chinese goods last month.

US stocks slid Monday as investors braced for President Donald Trump’s proposed tariffs on Canada and Mexico to go into effect by the midnight deadline.

The Dow tumbled 650 points, or 1.48%, to close at 43,191. The Dow fell almost 900 points in afternoon trading before pulling back slightly. The broader S&P 500 fell 1.76% and the Nasdaq Composite fell 2.64%.

The S&P 500 posted its biggest one-day decline of the year. The Nasdaq is down about 6.5% since since Trump took office on January 20.

The United States has stepped up secret drone flights over Mexico to hunt for fentanyl labs, part of the Trump administration’s more aggressive campaign against drug cartels, according to U.S. officials.

The covert drone program, which has not been previously disclosed, began under the Biden administration, according to U.S. officials and others familiar with the program.

A handful of U.S. Army Green Berets are in Mexico, helping to train the country’s Naval Infantry Marines. The U.S. Special Forces soldiers are there at the request of Mexico’s President Claudia Sheinbaum. The action was also unanimously approved by a Senate commission in Mexico, according to Border Report.

The Central Intelligence Agency (CIA) is flying MQ-9 Reaper drones over Mexico as part of President Donald Trump’s efforts to revamp the war against transnational drug cartels.

CNN reported that the move comes as the administration has deployed significant resources to the southern border to stop illegal aliens and drugs from pouring into the United States at the unprecedented rate experienced during the Biden administration.