US President Donald Trump announced on Thursday that Mexico will not be required to pay tariffs on any goods falling under the United States-Mexico-Canada Agreement (USMCA) until April 2.
“After speaking with President Claudia Sheinbaum of Mexico, I have agreed that Mexico will not be required to pay Tariffs on anything that falls under the USMCA Agreement,” Trump wrote on Truth Social. This decision marks a significant relief for Mexican exporters and reinforces the trade framework designed to boost regional economic ties.
Mexican President Claudia Sheinbaum described her call with US counterpart Donald Trump on Thursday as “excellent and respectful.” During the conversation, Trump agreed to temporarily pause US tariffs on Mexican imports that comply with the existing USMCA trade deal.
In a post on X, Sheinbaum emphasized that the U.S. and Mexico will continue to collaborate on key issues. Both leaders are committed to working together to reduce the flow of fentanyl opioids from Mexico into the United States and to curb the trafficking of firearms from the U.S. into Mexico.
Extension likely for all USMCA-compliant goods
Following the initial move, US Commerce Secretary Howard Lutnick indicated that the one-month exemption from the newly imposed 25% tariffs on goods from Mexico and Canada could be broadened to include all USMCA-compliant products. This development comes after President Trump’s earlier decision to exempt automotive goods. Lutnick expressed optimism, stating, “It’s likely that it will cover all USMCA-compliant goods and services.” He added that businesses operating within the parameters of the USMCA would continue to enjoy tariff relief, while those trading outside the agreement would face the full impact of the tariffs.
Canadian Prime Minister Justin Trudeau described Lutnick’s comments as “promising” but remained cautious. “That aligns with conversations we’ve had with administration officials, but I will wait for an official agreement,” Trudeau said. He stressed that as long as tariffs remain in place, Canada’s current trade response will continue, awaiting further formal developments.