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President Donald Trump’s first day in office set the stage for his promised tough trade moves, but the dramatic tariff actions that were anticipated didn’t materialize. Despite pre-inauguration declarations of sweeping tariff impositions on China, Canada, and Mexico, Trump’s opening day laid out a far more cautious approach, leaving key promises unresolved.

While Trump did sign an executive order outlining an "America First Trade Policy," it mainly tasked various federal agencies with exploring the potential for future tariff hikes—rather than imposing immediate actions. The tariffs, though talked about in bold terms during his campaign, seemed to be put on hold.

Tariffs on China, Canada, and Mexico Still on the Table

Trump’s promises to slap tariffs on China, Canada, and Mexico remained a hot topic, though there was little immediate follow-through. He did discuss the imposition of a new 25% tariff on all goods from Canada and Mexico, but he left key details unclear, setting the stage for possible February implementation. His earlier proposal for a universal tariff on all imported goods also remained on the table.

While these tariffs may be waiting in the wings, it’s unclear when or how they will take shape.

TikTok’s Future and Possible Sanctions Against China

The real drama came with TikTok. Trump extended the deadline for ByteDance to divest the app’s U.S. operations by 75 days, giving the embattled Chinese company a glimmer of hope. The deadline had already passed by the time Trump took office, but his executive order provided room for negotiation. At a signing ceremony in the Oval Office, Trump detailed his vision for the app, suggesting that the U.S. government could take a 50% stake in a joint venture, thereby asserting more control over the popular social media platform.

Trump also hinted at using tariffs as high as 100% against China if no deal was reached over TikTok. This threat added a sense of urgency to his dealings with the app, with a 90-day deadline looming—though this was not formally outlined in the signed order.

A Legal Tug-of-War Over TikTok and Tariffs

The move drew scrutiny from lawmakers, with Rep. Frank Pallone, D-N.J., raising concerns about the legality of bypassing national security laws that Congress had passed with overwhelming support. Pallone’s objections highlighted the balancing act Trump faces in navigating legal frameworks while pushing for swift action on his economic priorities.

A ‘Head Fake’ or a Real Shift?

Though Trump’s first day didn’t showcase the bold tariffs many had expected, experts agree that more action is coming. Ted Murphy, a trade lawyer at Sidley Austin LLP, called the early moves a “head fake,” suggesting that Trump still believes in the power of tariffs to benefit the U.S. economy.