Trade war heats up: Mexico keeps calm as Canada hits back

 

Trade war heats up: Mexico keeps calm as Canada hits back

Mexico’s President Claudia Sheinbaum listens to her economic minister, Marcelo Ebrard, during her daily news conference in Mexico City on Thursday. (Alfredo Estrella / AFP via Getty Images)

By Patrick J. McDonnell

Foreign Correspondent 

April 3, 2025 4:23 PM PT

Mexico was largely spared in the latest round of tariffs announced by President Trump, but uncertainty looms.

Though no new import taxes on Mexico were announced, auto tariffs took effect Thursday.

MEXICO CITY — Mexico has avoided the worst of the Trump tariff onslaught.

At least for now.

That was the message of relief that Mexican officials were sending Thursday, a day after the Trump administration unveiled its much-anticipated “Liberation Day” tariff regimen, imposing import levies on scores of nations worldwide

Spared in the latest round of duties were Mexico and Canada — Washington’s two largest trading partners — which are both signatories of the North American free-trade pact inked with the United States in 2020, during Trump’s initial term.

The tariff assault from Washington has chipped away at the three-nation trade deal, but much of it remains intact — with the notable exceptions of 25% tariffs that the While House has imposed on automotive imports, as well as on steel and aluminum.

“Until now, we have preferential treatment,” President Claudia Sheinbaum told reporters at her morning news conference. “Of course we would like to achieve a better situation.”

Sobering news came Thursday in an announcement from automaker Stellantis, whose brands include Jeep, Citroën and Ram. The company said that it was temporarily halting production at some plants in Mexico and Canada because of the tariff uncertainty.

Still, Marcelo Ebrard, Mexico’s economic minister, said Mexico’s actions helped address complaints and concerns aired by Trump, aiding Mexico’s standing in talks with Washington. Mexico deployed troops to the U.S.-Mexico border to control immigration and beefed up efforts to counter the production and smuggling of fentanyl, the synthetic opioid, while turning over dozens of wanted drug traffickers to the United States.