financetom
Economy
financetom
/
Economy
/
Mexico says 'cool-headed' approach to Trump's tariffs has paid off
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Mexico says 'cool-headed' approach to Trump's tariffs has paid off
Apr 3, 2025 5:22 PM

WASHINGTON (Reuters) - Mexico's "cool-headed" approach to U.S. President Donald Trump's tariff offensive has paid off in preferential treatment in his sweeping tariff announcement this week and a close working relationship with his trade team, Mexico's deputy economy secretary told Reuters on Thursday.

Luis Rosendo Gutierrez, undersecretary for international trade, said in an interview that Mexican officials will meet next week with Commerce Secretary Howard Lutnick and U.S. Trade Representative Jamieson Greer to review U.S. tariffs on auto imports and steel and aluminum, and the state of those industries.

The talks also will commence a review of the nearly five-year-old U.S.-Mexico-Canada Agreement that underpins North American trade.

"The instruction of President Claudia Sheinbaum was to work closely and cool-headed with the United States government looking for a fair and preferential treatment," Gutierrez said. "And I think that strategy was best. To be close, to be constructive, and to bring proposals for the United States."

Mexico, along with Canada, largely escaped Trump's new 10% global baseline tariff and steeper "reciprocal tariffs" for many trading partners on Wednesday. It still faces a 25% fentanyl-related tariff, but an exemption from these duties for USMCA-compliant goods was extended indefinitely. Those tariffs would fall to 12% if the fentanyl problem is solved.

Mexico still faces separate, 25% tariffs on vehicles and auto parts, minus U.S. content, and 25% duties on steel imports.

Unlike Canada, Mexico has not imposed retaliatory measures against U.S. exports in the trade dispute, preferring to engage in more constructive dialogue. Canadian Prime Minister Mark Carney announced limited countermeasures against about $25 billion worth of U.S. imports on Thursday.

"Obviously, we would like that these tariffs were reduced," Gutierrez said. "Nevertheless, we need to negotiate to try to improve conditions, not only for Mexico, but also for United States, and this idea to be complimentary in our economies."

At next week's meetings he said Mexican officials would bring up USMCA side letters agreed by Trump's first administration that granted generous duty-free automotive import quotas to Mexico and Canada in the event that Section 232 national security tariffs on autos were imposed at that time. Trump's administration has indicated no plans to honor the quota commitments.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Digital tax talks in G20 spotlight as US tariff threat looms
Digital tax talks in G20 spotlight as US tariff threat looms
Jul 22, 2024
RIO DE JANEIRO (Reuters) - Talks over a global tax deal are continuing well past a June 30 deadline and governments are now looking to a Group of 20 finance leaders meeting this week for progress on a stalled plan to reallocate taxing rights on large multinational companies. The so-called Pillar 1 arrangement, part of a 2021 global two-part tax...
US Dollar Rises Early Tuesday Ahead of Busy Data Schedule; Existing Home Sales Highlight
US Dollar Rises Early Tuesday Ahead of Busy Data Schedule; Existing Home Sales Highlight
Jul 23, 2024
07:32 AM EDT, 07/23/2024 (MT Newswires) -- The US dollar rose against its major trading partners early Tuesday, except for a decline versus the yen, ahead of a busy day of economic data releases after a relatively quiet Monday. The Philadelphia Fed's nonmanufacturing index for July is due to be released at 8:30 am ET, followed by weekly Redbook same...
US opens probe into Delta following widespread flight cancellations
US opens probe into Delta following widespread flight cancellations
Jul 23, 2024
(Reuters) - The U.S. Transportation Department said on Tuesday that it is opening an investigation into Delta Air Lines after the carrier canceled more than 5,000 flights since Friday as it struggles to recover from a global cyber outage that snarled flights worldwide. While other carriers have been able to resume normal operations, Delta has continued to cancel hundreds of...
UPS quarterly profit falls on high labor costs, weak small-package demand
UPS quarterly profit falls on high labor costs, weak small-package demand
Jul 23, 2024
(Reuters) -United Parcel Service ( UPS ) reported a decline in second-quarter earnings on Tuesday after subdued package delivery demand and higher costs from its Teamsters labor contract squeezed profits. Shares of the delivery company, seen as a bellwether for the global economy, were down about 7% in premarket trade. UPS, FedEx ( FDX ) and other home delivery providers...
Copyright 2023-2025 - www.financetom.com All Rights Reserved