Trump announces 90-day extension of current trade agreement with Mexico for negotiations

President Donald Trump announced that the US and Mexico will have a 90-day extension of the countries' current trade agreement. The announcement comes the day before the Friday deadline, when a 25 percent tariff would have been solidified as policy. Trump also said that Mexico agreed to eliminate trade barriers. 

Trump wrote on Truth Social, "I have just concluded a telephone conversation with the President of Mexico, Claudia Sheinbaum, which was very successful in that, more and more, we are getting to know and understand each other. The complexities of a Deal with Mexico are somewhat different than other Nations because of both the problems, and assets, of the Border. We have agreed to extend, for a 90 Day period, the exact same Deal as we had for the last short period of time, namely, that Mexico will continue to pay a 25% Fentanyl Tariff, 25% Tariff on Cars, and 50% Tariff on Steel, Aluminum, and Copper."

"Additionally, Mexico has agreed to immediately terminate its Non Tariff Trade Barriers, of which there were many. We will be talking to Mexico over the next 90 Days with the goal of signing a Trade Deal somewhere within the 90 Day period of time, or longer. Present at the meeting were Vice President JD Vance, Secretary of Treasury Scott Bessent, Secretary of State Marco Rubio, Secretary of Commerce Howard Lutnick, United States Trade Representative and Ambassador Jamieson Greer, Chief of Staff Susie Wiles, and Deputy Chief of Staff for Policy, and United States Homeland Security Advisor, Stephen Miller. There will be continued cooperation on the Border as it relates to all aspects of Security, including Drugs, Drug Distribution, and Illegal Immigration into the United States. Thank you for your attention to this matter!" Trump added. 

The announcement from Trump comes just before the August 1, where the White House has said was the deadline for many countries to come to the negotiating table and ink trade agreements with the United States. 

Leading up to the announcement, Trump had also threatened to use a blanket 30 percent tariff on goods from Mexico. The post from Trump signaled that the negotiations with Mexico are different than others because of the issue of the border and other topics with trade. 

Although a deal with Mexico has not been made, other large trade agreements have been struck by Trump this week, including with the European Union and South Korea.