Mexico grows confident on US deal to cut steel and auto tariffs
The optimism follows weeks of hedged timelines from both governments over cuts to metals and auto duties.
Published
Mexico is voicing new confidence that a deal with the United States to lower tariffs on steel and autos is within reach, a shift from the cautious tone that has marked the talks for weeks.
Mexican and Canadian steel entering the United States currently faces a 50% tariff, while automobiles are subject to a 25% duty, according to earlier reporting on the negotiations. President Claudia Sheinbaum said on September 18 that Mexico would seek reductions to those levies on steel, aluminum and cars, following what she called a "very good" call with President Trump. Trump himself described the talks as "very close" on September 16.
The path there has not been straightforward. Mexico's Economy Ministry told Reuters there are "no specific deadlines at this time" for an agreement, despite speculation about a deal before the U.S. midterm elections in November. Sheinbaum herself said on September 25 that a deal before November was uncertain, after earlier flagging progress in the talks.
The latest confidence marks a firmer step than that pattern of delays and hedged timelines, and suggests momentum has survived a series of one-week postponements rather than stalling out. If steel and auto tariffs are actually reduced, it would remove a concrete cost overhang for automakers and metals-linked supply chains that negotiators had flagged as a sticking point. What is still unclear is whether Mexico's confidence gets confirmed in an actual signed framework, since earlier rounds of stated progress have not yet produced one.