this post was submitted on 06 Aug 2025
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Crucial exemption allows majority of Canadian and Mexican goods to be shipped to US without tariffs (apnews.com)
submitted 1 day ago by Stamau123@lemmy.world to c/news@lemmy.world
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TORONTO (AP) — U.S. President Donald Trump raised the tariffs on Canadian goods to 35% last week, but a key exemption for Canada and Mexico shields the vast majority of goods from the punishing duties.

Goods that comply with the 2020 United States-Mexico-Canada Agreement that Trump negotiated during his first term are excluded from the tariffs.

Here’s a look at Trump’s tariffs on the two countries and their exemptions:

Most Canadian exports reaching the US duty free

Canada’s central bank says 100% of energy exports and 95% of other exports are compliant with the trade pact, known as USMCA. The Royal Bank estimated that almost 90% of Canadian exports appear to have accessed the U.S. market duty free in April.

. . .

25% tariffs on Mexican goods target a small slice of trade

Trump said last week he would enter into a 90-day negotiating period with Mexico, also one of America’s largest trading partners. The current 25% tariff rates are staying in place, down from the 30% he had threatened earlier.

But that 25% only applies to the fraction of Mexico’s trade with the U.S. that isn’t covered by the USMCA. Shortly after speaking with Trump on Thursday, President Claudia Sheinbaum said that within the “new commercial world order,” Mexico was still the best positioned nation because of the free trade agreement.

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[–] Jode@midwest.social 9 points 1 day ago

Taco in disguise.

[–] HubertManne@piefed.social 3 points 1 day ago

I really would like it to be redone to change its name again to CAMUS

[–] Rentlar@lemmy.ca 2 points 1 day ago

Shhhhhh... keep it out of Tantrump's earshot!

Let Mexico and Canada cook up a deal amongst themselves and the rest of the world.