US Mexico Trade Deal: Trump Says ‘Great’ Deal Close
The us mexico trade deal took a major step forward Monday when President Donald Trump told a rally crowd in Kansas that the United States and Mexico are “very close” to agreeing to what he called a “great” deal.
Trump’s Announcement in Park City
Trump delivered the line Monday at a political rally in Park City, Kansas, declaring that the two countries are nearing a final agreement on trade. The remark signals that months of negotiation are approaching a conclusion, though no signing date has been announced.
A Separate Track From Canada
The Kansas comments build on remarks Trump made October 10 in Clarksville, Tennessee, where he previewed a possible independent trade agreement with Mexico while questioning the need to keep trading with Canada. Mexican President Claudia Sheinbaum has responded that the USMCA is a law approved by the senates of all three countries, and that Washington chose to negotiate with Mexico and Canada separately.
Sheinbaum said there is still no final agreement, but added that “there has been progress.” Mexico has asked to extend the pact for 16 years, while the United States has proposed keeping the remaining 10 years with annual reviews. Former US Ambassador Ken Salazar has meanwhile urged leaders to build a stronger North American alliance as the review continues.
Tariffs Remain the Sticking Point
Mexico’s top priorities are reducing tariffs on automobiles, steel and aluminum and avoiding new levies. In August, Trump extended the existing arrangement for 90 days, keeping a 25% fentanyl tariff, a 25% tariff on cars and 50% tariffs on steel, aluminum and copper, while Mexico pledged to terminate non-tariff trade barriers.
The stakes are high: Mexico is currently the United States’ largest trading partner, and its trade surplus with the US climbed more than 20 percent in the first eight months of 2026, reaching nearly $156 billion. Trump has repeatedly criticized trade imbalances with major partners and, in Clarksville, cited his own figure of $190 billion a year in US losses.
Source: Reuters