In a recent decision, President Trump stated that he would temporarily pause the 25% tariffs on U.S. imports from Mexico that were related to the trade agreement established in 2020. This announcement came shortly after a discussion with Mexican President Claudia Sheinbaum.

Trump took to social media to confirm the delay, stating, “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,” referring to the United States-Mexico-Canada Agreement. He characterized this move as a gesture of cooperation towards the Mexican leadership.

Background on USMCA and Tariff Implications

The USMCA, which took effect in 2020, is set to remain in place until April 2, 2024. According to Trump, the tariffs are positioned to be enforced upon the expiration of this agreement unless further negotiations lead to an alternative outcome.

President Trump further emphasized the importance of the bilateral relationship, expressing gratitude to President Sheinbaum for her efforts in addressing issues like border security and drug trafficking, particularly concerning fentanyl, saying, “Our relationship has been a very good one, and we are working hard, together, on the Border.”