Trump administration tariff agreement anticipated by Sheinbaum this week, as Monday's events summarized
The United States and Mexico are currently engaged in active trade negotiations, following the announcement by President Donald Trump to delay the implementation of a 30% tariff on Mexican imports. The tariff, initially scheduled to take effect on August 1, 2025, has been postponed for at least 90 days to allow for further talks aimed at reaching a long-term agreement.
The extension was announced on July 31, 2025, just a day before the tariff increase from the existing 25% to 30% was due to be implemented. Both President Trump and Mexican President Claudia Sheinbaum expressed optimism about the continued dialogue, with Sheinbaum stating they "avoided the tariff increase" and secured the extension to build a longer-term trade agreement through ongoing discussions.
The exemption for some Mexican goods compliant with the USMCA (United States-Mexico-Canada Agreement) remains in place, and the overall trade deal is scheduled for review in 2026. The U.S. President had informed President Sheinbaum earlier this month that the tariff would be imposed, separate from all sectoral tariffs.
However, United States Commerce Secretary Howard Lutnick had earlier stated that there would be "no extensions" or "grace periods" for U.S. trade partners regarding the 30% tariff on imports from Mexico, scheduled to take effect on Aug. 1. This statement was met with denial from the Mexican government, with Sheinbaum and Mexico's Foreign Affairs Ministry describing the report as "completely false."
The ongoing negotiations come amidst reports that the Trump administration was pressuring Mexico to investigate and prosecute politicians with suspected links to organized crime, and to extradite them to the United States if there are criminal charges to answer there. President Sheinbaum has vehemently denied these claims, stating that they are completely and utterly false.
Sheinbaum also offered a defense of the ruling Morena party's top senator, Adán Augusto López Hernández, who has been caught up in a scandal involving the man who served as his security minister in the Gulf coast state. The Tabasco Attorney General's Office has a warrant for the arrest of Hernán Bermúdez, who reportedly left Mexico in January. The Finance Ministry's Financial Intelligence Unit last week "froze the accounts of companies linked to this person."
Despite Lutnick's remark, President Sheinbaum still believes that her government can reach an agreement with the U.S. government to stave off the tariff. Sheinbaum noted that her government is doing "everything" it can to stop the 30% duty from entering into force, with a team working in the United States with the commerce secretary and the treasury secretary.
Sheinbaum also highlighted that the U.S. government recently signed new trade agreements with Japan and the European Union. López Hernández was governor of Tabasco between 2019 and 2021. Ultimately, no final deal has yet been announced as of July 31, 2025.
In the midst of these negotiations, Sheinbaum made a series of proposals that have to do with Plan México and reducing the trade deficit with the United States. The reporter suggested that it was "obvious" that López Hernández knew about the alleged criminal links of his security minister in Tabasco. However, President Sheinbaum and the Mexican government continue to deny any such allegations.
- The extension of the delay of the 30% tariff on Mexican imports is part of the ongoing business news between the United States and Mexico, as they aim to reach a long-term agreement in their trade negotiations.
- The ongoing war-and-conflicts between the Trump administration and Mexico regarding the tariffs is complicated by politically sensitive issues, including the Trump administration pressuring Mexico to investigate and prosecute politicians with suspected links to organized cartels.
- The economic future of both countries hangs in the balance, as the U.S. President has threatened a 30% tariff on Mexican imports, but both leaders expressed optimism that a deal can be reached to avoid it.
- The general news landscape is buzzing with updates on the trade negotiations between the United States and Mexico, as they grapple with issues such as trade deficits and ongoing political conflicts.
