Mexican President Claudia Sheinbaum announced on Monday that she and US President Donald Trump have agreed to extend a looming trade deadline by a few weeks to finalise negotiations on unresolved issues between both nations.
Speaking during her regular morning press conference, Sheinbaum revealed that the decision followed a phone call with Trump on Saturday, in which both leaders agreed their teams needed additional time to address 54 outstanding trade barriers.
“I was interested in making sure that November 1 didn’t arrive without us having communicated and that we were in agreement that our teams were still working,” Sheinbaum said. “We’re practically closing this issue.”
The United States had earlier agreed in July to pause for 90 days a planned tariff increase on some Mexican goods — from 25% to 30% — to allow continued talks toward a new trade agreement. That pause had been due to expire this week.
Following Sheinbaum’s announcement, Mexico’s peso strengthened 0.29% to 18.38 per dollar, reflecting investor optimism over progress in the negotiations.
Mexico has so far avoided major tariff disputes under the US-Mexico-Canada Agreement (USMCA), which comes up for review next year. The current talks are aimed at ensuring a smoother trade relationship amid broader US trade tensions, including Trump’s recent decision to end negotiations with Canada, citing frustration over stalled progress.
When asked last week how Mexico might respond to Washington’s move and whether it would negotiate separately with Canada, Sheinbaum urged patience, saying, “Let’s not get ahead of ourselves.”
The Mexican leader has previously expressed confidence that the two sides would reach a favourable deal, noting that her administration is also pursuing new technological development projects in electric vehicles, semiconductors, satellites, drones, and artificial intelligence.
“We continue working, and there is no situation in the near future where there could be any special tariff on November 1,” Sheinbaum assured on Monday.
If the new discussions succeed, the extended deadline could pave the way for a renewed US-Mexico trade framework, offering stability for both economies at a critical time for North American commerce.
Melissa Enoch
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