Mexico Factory Output Expected To Remain Exempt From U.S. Tariffs

While President Donald Trump’s second term has featured a steady rise in tariffs, most Mexican manufacturing exports are expected to remain exempt, El Paso Times' Vic Kolenc reported.

Most Mexican-made goods are expected to be protected under the United States–Mexico–Canada Agreement (USMCA). I Photo: Grupo Bimbo 

Tariffs on some Mexican imports to the U.S. are scheduled to rise from 25% to 30% starting Friday, August 1, unless postponed or renegotiated—a move Trump has made in the past.

The European Union recently avoided the harshest U.S. tariffs through a new deal that reduced the planned 30% tariffs on most European goods to 15%, though EU steel exports to the U.S. remain at a 50% rate.

Trump called the 15% rate the “new standard” for future tariff talks, Yahoo Finance reported.

Despite the overall rise in trade barriers, experts expect that most Mexican-made goods—especially factory output from border hubs like Juárez—will continue to be protected under the United States–Mexico–Canada Agreement (USMCA)

“Most imports from Mexico will remain exempt from the U.S. tariffs,” said Garrick Taylor, spokesperson for the Border Trade Alliance, in an email. “That should mean much of the factory production from Mexico remains untouched by the new measures.”