President Trump Gives Major Update On Tariffs On Mexico

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On Thursday, President Trump announced that he had postponed his 25% tariff on Mexico on the majority of goods coming from Mexico.

The move by Trump came after his Commerce Secretary, Howard Lutnick, shared that both tariffs in Mexico and Canada would likely be delayed.

This marks the second time President Trump postponed his tariffs on Mexico.

Per The Associated Press:

President Donald Trump said Thursday that he has postponed 25% tariffs on most goods from Mexico for a month amid widespread fears of the impact of a broader trade war.

Trump’s announcement comes after his Commerce Secretary, Howard Lutnick, said earlier Thursday that tariffs on both Canada and Mexico would “likely” be delayed. No change was announced regarding the new tariffs imposed on Canada.

This is the second time Trump has postponed tariffs for a month since he first unveiled the import taxes in early February. The reprieve would apply to goods from Mexico that are compliant with the trade agreement Trump negotiated with Canada and Mexico in his first term.

“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 said on Truth Social. “I did this as an accommodation, and out of respect for, President Sheinbaum. Our relationship has been a very good one, and we are working hard, together, on the Border.”

Per NBC News:

President Donald Trump said in a social media post that he will issue an exemption on tariffs for most goods coming into the U.S. from Mexico, after putting in place sweeping 25% tariffs on Tuesday.

The exemption would apply to goods compliant with the North American free trade agreement reached during Trump’s first term, and will last for one month, Trump posted after speaking with Mexican President Claudia Sheinbaum. Trump didn’t say whether that exemption would also apply to goods from Canada that complied with the trade deal.

“I did this as an accommodation, and out of respect for, President Sheinbaum. Our relationship has been a very good one, and we are working hard, together, on the Border, both in terms of stopping Illegal Aliens from entering the United States and, likewise, stopping Fentanyl. Thank you to President Sheinbaum for your hard work and cooperation!” Trump said in a post on the social media website Truth Social.

The U.S.-Mexico-Canada Agreement (USMCA), which Trump heralded during his first term as a negotiating victory, allows goods to move between the three countries tariff-free if they follow certain rules. Those rules require that a product be made entirely in North America or be substantially transformed in North America, if it is made of components from other countries. For products like autos, 75% of their content must be from North America.



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