U.S., Mexico Extend Tariff Talks; Canada Deadline Nears

U.S. President Donald Trump and Mexican President Claudia Sheinbaum have agreed to a 90-day extension on current trade terms, delaying a planned hike in tariffs while negotiations continue toward a long-term agreement. During this period, existing tariffs—including 25% on cars and fentanyl-related goods and 50% on steel, aluminum, and copper—will remain, and Mexico has agreed to immediately eliminate its non-tariff trade barriers. Goods eligible under the USMCA will continue to enjoy tariff-free status, maintaining preferential access for Mexican exports to the U.S. market. Both leaders expressed optimism about resolving outstanding trade, border security, and drug trafficking concerns. Trade talks with Canada remain pending as their own deadline approaches, adding to global economic uncertainty. The extension comes amid U.S. efforts to address its trade deficit with Mexico and pressure over fentanyl trafficking.