Former President Donald Trump announced Thursday that Mexico will be temporarily exempt from tariffs on goods under the United States–Mexico–Canada Agreement (USMCA) until April 2. The decision follows a conversation with Mexican President Claudia Sheinbaum Pardo.
“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 Agreement is until April 2nd. 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!”
Mexico Commits to Border Security in Exchange for Tariff Relief
In response, Sheinbaum expressed gratitude for the agreement, highlighting strong bilateral cooperation. “Many thanks to President Donald Trump. We had an excellent and respectful call in which we agreed that our work and collaboration have yielded unprecedented results, within the framework of respect for our sovereignties,” she wrote in Spanish, according to a translation by Grok.
Sheinbaum emphasized Mexico’s ongoing commitment to border security, stating, “We will continue working together, particularly on issues of migration and security, which include reducing the illegal crossing of fentanyl into the United States, as well as weapons into Mexico. As President Trump mentions, Mexico will not be required to pay tariffs on all those products within the T-MEC. This agreement is until April 2, when the United States will announce reciprocal tariffs for all countries.”
Tariff Battle Continues with Canada
While Mexico secured a temporary exemption, Trump signaled a tougher stance on Canada, criticizing Prime Minister Justin Trudeau’s efforts to combat fentanyl trafficking. After a call with Trudeau, Trump stated that Canada had not done “good enough” to avoid the 25% tariffs. He accused Trudeau of using the trade dispute to maintain political power.
Ontario Premier Doug Ford criticized Trump’s approach, warning on Fox News’ Special Report that the tariffs overlook the deep integration of North American supply chains.
Meanwhile, the U.S. granted a one-month exemption to major automakers—Stellantis, Ford, and General Motors—following discussions with Trump, White House press secretary Karoline Leavitt announced.
Commerce Secretary Howard Lutnick defended the administration’s stance, dismissing criticism that the tariffs represent an inconsistent strategy. Speaking on Fox News, Lutnick argued that the U.S. approach is producing results: “Does that sound like a foot off the gas? That sounds like a foot on the chest.”
Trudeau Responds to Trade War
Speaking to reporters in Ottawa, Trudeau acknowledged the ongoing tensions, stating that Canada would remain in a “trade war launched by the United States for the foreseeable future.” He described his recent conversation with Trump as “colorful” and “very substantive,” according to Reuters.
“We are … trying to make sure that these tariffs don’t overly harm, certainly in the short term, certain sectors,” Trudeau said. “Any carve-outs that support workers in Canada, even if it’s just one industry or another, are going to be a good thing.”
As he prepares to step down ahead of the Liberal Party’s leadership selection, Trudeau emphasized that mutual cooperation is the best path forward. “A win-lose between us would actually be worse for them than a win-win,” he remarked, adding, “That’s true in international trade, in relations between nation-states… It perhaps is not true in real estate deals, a win-lose is probably better for someone who is experienced in business deals than a win-win.”
