Mexico Seeks US Tariff Cuts as Canada Trade Talks Collapse

President Claudia Sheinbaum expressed optimism regarding a potential trade agreement with the United States while her chief negotiator, Economy Minister Marcelo Ebrard, conducts talks in Washington. Mexico is seeking to reduce 50% US tariffs on steel and aluminum, as well as 25% duties on automobiles.

These negotiations occur as trade talks between the United States and Canada have collapsed. In response to the breakdown, Donald Trump announced a doubling of tariffs on Canadian automobiles and parts starting next year, alongside a 50% levy on approximately $20 billion of Canadian goods. Canadian Prime Minister Mark Carney responded by announcing retaliatory tariffs effective September 8.

The bilateral negotiations take place as the USMCA trade pact enters a phase of annual reviews for the three member nations.