Trump Says US and Mexico Are Close to Agreement to Reduce Tariffs

• Trump says the US and Mexico are close to a tariff agreement.
• Sheinbaum seeks lower tariffs on automobiles, steel, and aluminum.
• High tariffs remain in place as negotiations continue.

The US and Mexico are close to reaching a tariff reduction agreement, according to President Donald Trump, who said Friday, October 23, that his administration is nearing a trade deal with Mexico amid ongoing negotiations between the two countries.

His remarks echo those of Mexican President Claudia Sheinbaum, who acknowledged significant progress in the talks but cautioned that several issues remain unresolved.

«We are very close to an agreement with Mexico. It will be a very good agreement, and I hope it will be good for them too,» Trump said, according to the EFE news agency.

What Did Trump Say About the US-Mexico Tariff Agreement?

The US president was responding to questions about Sheinbaum’s recent statements when he expressed confidence that the negotiations were moving toward an agreement that could benefit both countries.

Trump also addressed trade discussions with Canada, another major US trading partner, emphasizing that the Canadian government is working to reach an agreement with Washington.

«And the same with Canada. They are working hard to reach an agreement with us. We have the upper hand,» Trump said.

His latest comments follow remarks he made during a campaign rally in Kansas on Monday, when he predicted a «great» trade agreement with Mexico aimed at reducing the US trade deficit with its southern neighbor.

However, as of the statements reported by EFE, neither government had announced a final agreement or established a date for signing one.

What Tariffs Does Claudia Sheinbaum Want the US to Reduce?

Mexican President Claudia Sheinbaum said Tuesday, October 20, that Mexico and the United States were «very close» to reaching a trade agreement, although she acknowledged that «some issues» still needed to be resolved.

Sheinbaum explained that her administration’s priority is to secure lower US tariffs affecting key sectors of the Mexican economy, particularly the automotive and metals industries.

«What is our goal? To reduce as much as possible the tariffs we currently face on vehicles, steel, and aluminum, and to ensure there are no additional tariffs,» she said.

The main US tariffs affecting Mexican exports currently include duties of 50% on steel and aluminum and 25% on automobiles, although certain exceptions and special provisions apply.

These duties remain among the central issues in the ongoing trade negotiations between Washington and Mexico City.

How Could the Trade Talks Affect the USMCA?

The negotiations are taking place amid broader trade tensions between the United States, Mexico, and Canada, the three countries participating in the United States-Mexico-Canada Agreement (USMCA).

The three governments are also discussing the future of the trade agreement following Trump’s decision in July not to approve its automatic extension, according to the EFE report.

Canada is participating in the broader USMCA review process while separately seeking agreements with Washington on trade barriers and market access.

For now, the statements from Trump and Sheinbaum indicate progress in negotiations but do not mean that existing tariffs have been reduced or eliminated.

Trump Praises Sheinbaum While Maintaining Pressure on Mexico

Relations between Trump and Sheinbaum have included public expressions of praise alongside disagreements over security cooperation and national sovereignty.

Trump has repeatedly spoken favorably about Sheinbaum while also pressing Mexico to permit US military strikes against drug trafficking organizations operating within its territory.

The Mexican government has rejected that possibility, arguing that such operations would violate the country’s sovereignty.

During a campaign rally Wednesday in South Carolina, Trump praised Sheinbaum’s speaking voice and recalled that she had practiced ballet when she was younger.

«I don’t know how the hell she went from being a ballet dancer to president of Mexico. How the hell did that happen?» Trump said.

As negotiations continue, attention remains focused on a potential agreement to reduce tariffs, with several outstanding issues still requiring resolution between Washington and Mexico City.