President Donald Trump has announced a 90-day extension to a trade deal deadline with Mexico, delaying the imposition of new tariffs.
The announcement came just hours before the Aug. 1 deadline, which would have triggered a 30% tariff on products imported from Mexico.
"The complexities of a Deal with Mexico are somewhat different than other Nations because of both the problems, and assets, of the Border," President Trump said on Truth Social. "We have agreed to extend, for a 90 Day period, the exact same Deal as we had for the last short period of time, namely, that Mexico will continue to pay a 25% Fentanyl Tariff, 25% Tariff on Cars, and 50% Tariff on Steel, Aluminum, and Copper."
Trump also said Mexico agreed to eliminate non-tariff trade barriers, though he did not specify what those were.
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Talks are expected to continue over the next three months in hopes of reaching a more permanent agreement.
"There will be continued cooperation on the Border as it relates to all aspects of Security, including Drugs, Drug Distribution, and Illegal Immigration into the United States," President Trump added.
The White House has recently announced trade agreements with several other partners, including South Korea and the European Union. Still, questions remain about Trump’s broader trade strategy. Economists and industry leaders warn that consumers could ultimately face higher prices as companies pass on the cost of tariffs.
