President Donald Trump has announced a 90-day extension of the current trade deal with Mexico, allowing both nations additional time to finalize a new agreement. This decision comes after high-stakes negotiations and fluctuating tariff rates. During this period, Mexico will maintain its commitments, including a 25% tariff on automobiles and up to 50% on steel, aluminum, and copper. Additionally, Mexico has agreed to eliminate non-tariff trade barriers, which President Trump indicated were numerous. The announcement was made via Trump's Truth Social platform. reuters.com
The extension aims to provide both countries with the necessary time to reach a comprehensive trade agreement. President Trump has expressed dissatisfaction with the existing United States-Mexico-Canada Agreement (USMCA) and has indicated a desire for renegotiation. The trade imbalance with Mexico has grown significantly under his administration, reinforcing his focus on reshaping trade relationships to favor U.S. interests. apnews.com