President Trump has suspended tariffs on Mexican goods under the USMCA until April 2. Commerce Secretary Lutnick hopes this suspension may extend to Canada. This announcement follows a recent exemption for car manufacturers, reflecting a shift in tariff policy. The USMCA encompasses various industries, including automobiles and dairy, and includes provisions for regular reviews.
United States President Donald Trump has announced a month-long suspension of tariffs on goods from Mexico covered under the trade agreement with Canada. This reprieve is effective until April 2. While Trump has not confirmed whether Canada will also benefit from the suspension, Commerce Secretary Howard Lutnick expressed optimism that it could apply to both nations.
This decision marks the second concession from President Trump regarding tariffs within a two-day period. On the previous day, he indicated that car manufacturers would be temporarily exempt from the 25% import taxes that had just gone into effect. Lutnick mentioned on CNBC that the temporary exemption for car part imports could extend to all products under the United States-Mexico-Canada Agreement (USMCA).
The USMCA, which was established during Trump’s first term, encompasses a wide range of sectors, including automobiles, dairy, and lumber, and includes provisions for a review every six years. On his Truth Social platform, Trump stated that he had reached an agreement with President Claudia Sheinbaum of Mexico to exempt tariffs on goods covered by the USMCA.
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In conclusion, President Trump has announced a temporary suspension of tariffs on Mexican goods under the USMCA until April 2. This move follows another recent concession concerning car manufacturers. The applicability of this suspension to Canada remains uncertain. The USMCA, which covers various sectors, allows for periodic reviews, further affecting trade relations between the three countries.
Original Source: www.bbc.com
