The White House has paused tariffs on USMCA-compliant imports from Mexico and Canada until April 2, extending relief to various agricultural products. American Farm Bureau Federation urges resolutions to trade issues, while a 25% tariff on steel and aluminum imports remains scheduled for March 12. Presidents Trump and Sheinbaum express a commitment to cooperative efforts against trafficking and illegal crossings.
On Thursday, the White House announced that tariffs on imports compliant with the United States-Mexico-Canada Agreement (USMCA) will be suspended until April 2. This pause now extends to Canadian imports, as well as Mexican goods, following earlier exemptions for car imports from both nations. The adjustment acknowledges the U.S. automotive supply chain’s effort to increase domestic production.
Approximately half of all imports from Mexico and nearly 40% from Canada are compliant with the USMCA, offering some reprieve to industries reliant on these agricultural products. With the pause, potential price increases on goods such as avocados and tomatoes from Mexico, as well as oats and canola oil from Canada, are alleviated.
American Farm Bureau Federation President Zippy Duvall urged President Trump to enact permanent solutions for trade issues with Mexico and Canada to safeguard critical markets and ensure farmers have essential supplies. Despite this pause, a scheduled 25% tariff on steel and aluminum imports will take effect on March 12, raising concerns about packaging costs for food and beverage companies.
On the same day, President Trump and Mexico’s President Claudia Sheinbaum discussed the tariff pause, emphasizing cooperation in anti-trafficking efforts. President Sheinbaum expressed the intention to collaborate further on issues related to migration and security, highlighting the need to reduce illegal crossings of fentanyl and weapons between the nations.
The White House’s decision to pause tariffs on imports compliant with the USMCA until April 2 reflects an effort to bolster trade relations with Mexico and Canada. This relief is especially significant for the agricultural sector, which would face increased costs on essential goods. While certain tariffs are still on schedule, collaboration between U.S. and Mexican leadership indicates a focus on addressing broader trade and safety issues.
Original Source: www.fooddive.com
