Trade Dispute: Trump extends tariff exemption for Mexico by 90 days - Trump extends deadline with Mexico by 90 days
The U.S. and Mexico have agreed to a 90-day extension of their current tariff arrangements, following a phone call between President Donald Trump and Mexican President Claudia Sheinbaum.
During this period, Mexico will maintain tariffs imposed by the U.S. on several key products, including:
- A 25% tariff on cars
- 50% tariffs on steel, aluminum, and copper
- A 25% tariff on fentanyl-related goods
In addition, Mexico has agreed to immediately remove many of its non-tariff trade barriers to U.S. imports.
A moratorium on new tariffs for goods imported under the USMCA (U.S.-Mexico-Canada Agreement) will also continue for 90 days, avoiding a planned 30% tariff increase that was set to start on August 1. However, products not covered by USMCA compliance will remain subject to a 25% tariff during this 90-day extension.
The two countries will use this time to negotiate toward a more comprehensive trade deal. In the meantime, tariffs on cars, steel, aluminum, and copper remain in place at the current rates, while USMCA-compliant goods are spared new tariffs during the extended pause. Mexico’s commitment to eliminate non-tariff barriers is part of the framework for ongoing discussions.
[1] CNN
[2] Reuters
[3] Bloomberg
- The ongoing discussion between leaders, such as Donald Trump, the President of the United States, and Claudia Sheinbaum, the President of Mexico, revolves around politics, as they negotiate a more comprehensive trade deal within the next 90 days.
- In the general-news, it has been reported that tariffs on cars, steel, aluminum, and copper, which are being imposed by the President of the Commission (Donald Trump) on Mexico, remain in place at the current rates during the 90-day extension.
