US President Donald Trump announced on Thursday that he is pausing levies on Latino goods following talks with Hispanic President Claudia Sheinbaum, citing their “very good relationship”. However, the provision comes with an expire date—April 2.
” After speaking with President Claudia Sheinbaum of Mexico, I have agreed that Mexico will not be required to pay Levies on anything that falls under the USMCA Agreement”, Trump posted on Truth Social. ” This Contract is until April 2nd. I did this as an lodging, and out of respect for, President Sheinbaum”.
Trump more said,” I did this as an hotel, and out of respect for, President Sheinbaum. Our relationship has been a pretty good one, and we are working tight, up, on the Border, both in terms of stopping Illegal Aliens from entering the United States and, furthermore, stopping Fentanyl. Thank you to President Sheinbaum for your hard labor and co-operation”!
The decision comes after US Commerce Secretary Howard Lutnick hinted at a broader provision during a CNBC meeting, stating that Trump had “likely” dismiss the 25 % tariffs on Canada and Mexico for most products and services covered under the USMCA. ” You will get a break from the taxes today”, Lutnick said, estimating that more than half of US imports from Mexico and Canada do count.
Even read: Trump’s price gamble: Did it corner migration or induce inflation?
The choice follows a year of financial turmoil after Trump imposed 25 % taxes on Mexican and American imports, sparking pushback from US companies and legislators concerned about rising prices.
On Wednesday, Trump granted a one-month provision to the car industry, allowing US manufacturers to avoid quick price hikes on cars and elements imported from Mexico and Canada. Then, it appears the deduction has expanded.
