Washington: US President Donald Trump announced Thursday that Mexico will not pay tariffs on goods covered under the US-Mexico-Canada Agreement (USMCA) until April 2. The decision came following discussions with Mexican President Claudia Sheinbaum, whom Trump praised for cooperation on border security and combating fentanyl trafficking.

According to Anadolu Agency, Trump stated on Truth Social, 'After speaking with President Claudia Sheinbaum of Mexico, I have agreed that Mexico will not be required to pay Tariffs on anything that falls under the USMCA Agreement.' The 'accommodation' was described as a gesture of respect for Sheinbaum, with an emphasis on their collaborative efforts to address illegal immigration and drug trafficking.

The exemption applies to sectors such as dairy, automobiles, and pharmaceuticals. This decision follows the US imposition of a 25% tariff on Mexican imports that took effect on March 4. Meanwhile, Mexico had previously considered imposing retaliatory tariffs on US goods.

The USMCA, which replaced the North American Free Trade Agreement (NAFTA) in 2020, governs trade between the US, Mexico, and Canada.