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Mexico Says T-MEC Talks Are 90% Complete as U.S. Tariff Deadline Nears

A 7.5% effective U.S. tariff sets the backdrop for a final push before the reprieve expires.

Overview

  • Economy Secretary Marcelo Ebrard reported roughly 90% progress in pre‑review consultations with the United States after about 85 meetings, days before the 90‑day reprieve ends on October 29.
  • Ebrard said the North American trade pact will remain trilateral and forecast only non‑substantial adjustments in the 2026 review.
  • Steel and aluminum duties are still unresolved as Mexico awaits a U.S. response to its proposals, and 25% tariffs on medium and heavy trucks are slated to take effect in November.
  • Moody’s Analytics now estimates the effective U.S. tariff on Mexican exports at 7.5%, reflecting that about 85% of shipments are entering under T‑MEC rules.
  • Moody’s cautioned the effective rate could rise by 0.5 to 1 percentage point as negotiating leverage, while Mexican business executives warn policy uncertainty continues to weigh on investment.