Mexico is confident it will reach a deal with the US to avoid new tariffs, following discussions that have already begun.
Mexico and the US established a working group to address security, migration, and economic issues in an effort to find alternatives to tariffs.
The US threatened 30% tariffs on Mexico due to lack of progress in combating drug cartels, urging Mexico to challenge cartels and halt the flow of Fentanyl.
US-Mexico-Canada free trade agreement compliance may exempt certain goods from tariffs, benefiting sectors like the auto industry; the situation is fluid.