Trump negotiates temporary halt to increased taxes on Mexican goods for a period of 90 days
In a move that could significantly impact international trade, President Donald Trump has announced changes to the tariff rates on imported goods under his administration in 2025. Here's a breakdown of the key measures affecting Canada, Mexico, and Brazil.
Under the new policy, tariff rates on imported goods vary by product and country. For instance, starting April 3, 2025, a 25% tariff applies to imported autos and certain auto parts. However, those containing US content from Canada and Mexico are exempted. There's a quota under the US-UK deal allowing 100,000 autos at a 10% tariff before the 25% rate kicks in for additional imports.
In the agricultural sector, tariffs on "external" agricultural products began April 2, 2025, with rates depending on the product and country. A 50% tariff on copper imports from all countries started August 1, 2025, as part of a Section 232 national security measure.
On August 1, 2025, new reciprocal tariffs were implemented to balance bilateral trade relationships. These rates vary widely but are country-specific. For example, Japan faces 25%, South Africa 30%, and others range up to 40%. Canada, Mexico, and Brazil are typically subject to tariffs structured under USMCA rules and specific exemptions, but no explicit rates for Brazil were cited.
Canada and Mexico benefit from exemptions related to US content rules under USMCA, mitigating some tariffs, whereas Brazil is subject to broader reciprocal tariffs without noted exemptions in these sources.
President Trump has also announced an extension of existing tariffs with Mexico, with the deal lasting for a 90-day period. Mexico is the second-largest export market for the United States, after Canada. The tariffs on goods from Mexico currently stand at 25%, unless they comply with the United States-Mexico-Canada trade deal.
Trump enacted an additional 40% tariff on goods from Brazil on Wednesday, with some key exclusions. The exact tariff rates for all goods imported from Canada, Mexico, and Brazil differ by sector and product, but key highlights include the 25% tariff on autos for imports without sufficient US content, the 50% tariff on copper imports from all countries, and country-specific reciprocal tariffs, generally between 10-40% depending on the nation and product.
This is a developing story, and updates will be provided as more information becomes available. It's important to note that countries that haven't received letters from Trump aren't off the hook for higher tariffs. Trump has vowed to increase the universal tariff rate most countries have faced from 10% to between 15% to 20%. The deadline for the tariff increases on countries other than Canada and Brazil is yet to be specified.
In a recent positive development, Trump and Mexico's President Claudia Sheinbaum had a successful telephone conversation. The article mentions that this is a developing story and will be updated.
- The newly implemented policy varies tariff rates on imported goods by product and country, as part of President Trump's administration's changes in 2025.
- A 25% tariff has been announced on imported autos and certain auto parts, but those containing US content from Canada and Mexico are exempted.
- As a result of new reciprocal tariffs, countries such as Japan, South Africa, and others face tariff rates that vary widely but are country-specific.
