Trump announces 90-days extension of prior trade deal with Mexico

A man works in a steel distribution factory in Monterrey in northern Mexico in May 2018. Mexico announced sweeping retaliatory tariffs on a host of U.S. goods Thursday after the United States slapped steep tariffs on steel and aluminum from Mexico, Canada and the European Union. Julio Cesar Aguilar/AFP via Getty Images hide caption

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Julio Cesar Aguilar/AFP via Getty Images

President Trump says he will delay tariffs on Mexico as trade negotiations continue. The announcement comes as countries around the world scramble to negotiate and understand new tariff rates that are set to go into effect on Friday.

Trump said he had a "very successful" conversation Thursday morning with Mexican President Claudia Sheinbaum.

"The complexities of a Deal with Mexico are somewhat different than other Nations because of both the problems, and assets, of the Border," Trump wrote on Truth Social. "We have agreed to extend, for a 90 Day period, the exact same Deal as we had for the last short period of time, namely, that Mexico will continue to pay a 25% Fentanyl Tariff, 25% Tariff on Cars, and 50% Tariff on Steel, Aluminum, and Copper."

Trump said the U.S. would hopefully sign a deal with Mexico, currently the U.S.'s largest trading partner, within the 90-day period "or longer."

Sheinbaum reiterated that the call with Trump was very good in a brief post on X and confirmed the extension.

The news comes one day before a broad deadline Trump created to make trade deals worldwide. The Trump administration insisted the Aug. 1 deadline would be firm, but has continued to shift timelines for various agreements and expectations for what the deals would cover. That uncertainty has left many countries in the dark about how or when new rates would go into effect.