Mexico and US race to reach trade deal before Nov. 3 midterms

  • Mexico and the United States are negotiating an interim bilateral trade agreement.
  • 50% tariffs apply to Mexican steel, while vehicles face a 25% U.S. duty.
  • USMCA remains in effect but is subject to annual review.

Mexico and the United States are accelerating efforts to reach an interim bilateral trade agreement before the Nov. 3 U.S. midterm elections, according to six sources familiar with the talks. Mexico is seeking relief from some U.S. tariffs while Washington presses for greater American content in vehicles and closer scrutiny of Chinese investment. The talks gained urgency after negotiations between the United States and Canada collapsed last month, prompting a new tariff dispute. Mexico is emphasizing cooperation, with more than 80% of its exports going to the United States, while President Claudia Sheinbaum's administration views a deal as important for reassuring markets amid concerns about a weak economy and falling credit ratings on Mexican debt. Major obstacles include Section 232 tariffs (U.S. national-security duties) of 50% on Mexican and Canadian steel and 25% on vehicles. Automakers believe Mexico could ultimately receive a framework involving a 15% vehicle tariff and additional reductions tied to U.S. content, producing an effective rate of about 7%, in exchange for concessions on engines, electronics and software. No formal deadline has been set, and Mexico's economy ministry said dialogue remains ongoing.

本网站上的信息是使用AI生成的,我们无法保证其准确性。 请仅作为参考信息使用。
Mexico and US race to reach trade deal before Nov. 3 midterms - CoinPost Terminal