Trump, Mexican President Reach Deal to Delay Tariffs
By Brett Rowland | The Center Square
(Worthy News) – Mexican President Claudia Sheinbaum said the U.S. agreed to pause tariffs on imports from her country after agreeing to a border deal with U.S. President Donald Trump.
Sheinbaum said Mexico will immediately reinforce the border with 10,000 members of the National Guard in a move to stop drug trafficking, an issue that has been a problem for decades.
In a post on X, Sheinbaum said she had a “good conversation” with Trump and reached a series of agreements. Sheinbaum also said the U.S. is “committed to working to prevent the trafficking of high-powered weapons to Mexico.”
And she added: “They are pausing tariffs for one month from now.”
Trump on Saturday moved to hold Mexico, Canada and China accountable with tariffs on the top three U.S. trading partners. He slapped 25% tariffs on imports from Mexico and Canada, and added an additional 10% tariff on China for its role in supplying the chemicals used to make fentanyl, a powerful opioid responsible for most U.S. overdose deaths. Trump said the tariffs were designed to halt the illegal drug trade, including fentanyl smuggling.
On Monday, Trump said he spoke to Sheinbaum and a deal was in the works.
“I just spoke with President Claudia Sheinbaum of Mexico. It was a very friendly conversation wherein she agreed to immediately supply 10,000 Mexican Soldiers on the Border separating Mexico and the United States,” the president wrote on Truth Social. “These soldiers will be specifically designated to stop the flow of fentanyl, and illegal migrants into our Country. We further agreed to immediately pause the anticipated tariffs for a one month period during which we will have negotiations headed by Secretary of State Marco Rubio, Secretary of Treasury Scott Bessent, and Secretary of Commerce Howard Lutnick, and high-level Representatives of Mexico. I look forward to participating in those negotiations, with President Sheinbaum, as we attempt to achieve a “deal” between our two Countries.”
Mexico, Canada and China are the top three U.S. trading partners responsible for about 40% of U.S. imports in 2024. Some economists say the move could push prices higher for U.S. consumers.
The United States-Mexico-Canada Agreement, or USMCA, governs trade between the U.S. and its northern and southern neighbors. It went into force on July 1, 2020, and Trump signed the deal. That agreement continue to allow for duty-free trading between the three countries, a longtime practice that Trump ended Saturday.
U.S. goods and services trade with USMCA totaled an estimated $1.8 trillion in 2022. Exports were $789.7 billion and imports were $974.3 billion. The U.S. goods and services trade deficit with USMCA was $184.6 billion in 2022, according to the Office of the United States Trade Representative.