Mexico will make the elimination of existing US tariffs its central objective during the ongoing review of the United States-Mexico-Canada Agreement (USMCA), Mexican Economy Secretary Marcelo Ebrard said on 2 June. Ebrard's remarks signal a firm negotiating stance as bilateral talks between Mexico and the United States advance through a structured multi-round process.

What Ebrard Said

Speaking at a public event, Ebrard confirmed that the US delegation tabled a broad set of proposals following the first round of formal negotiations held last week. “There are a wide range of proposals from the United States regarding content, rules of origin, provisions concerning third countries, and so on,” he told reporters, citing sectors including steel, aluminium, the automotive industry, and economic security.

Ebrard described the Trump administration’s approach to global trade as a “tremendous” transformation, noting that Washington is now applying differentiated tariff rates depending on where goods are produced. “What the United States is creating now is a system in which different parties will be charged different tariffs. It’s very complicated to understand,” he said. Mexican officials argue this model diverges sharply from the multilateral trading framework that has governed regional commerce for decades.

Mexico’s Negotiating Position

While Mexico City’s floor position is to secure the lowest achievable tariffs, Ebrard said the preferred outcome remains a full return to free trade. The economy ministry plans to table a package of proposals at the next meeting that, in his words, “reflect the legitimate interests of the industrial sector.”

This comes amid broader uncertainty over how the USMCA review will reshape North American supply chains, particularly in the automotive and steel sectors where integrated cross-border production is most exposed to tariff differentials.

Upcoming Rounds of Talks

Mexican and US officials have confirmed that the second round of bilateral talks will be held on 16–17 June in Washington, DC, covering agricultural issues, fair competition conditions, and continued discussions on rules of origin.

A third round is scheduled for the week of 20 July in Mexico City, with the goal of resolving outstanding issues before a joint trilateral review involving all three USMCA partners — the United States, Mexico, and Canada — takes place later this year, as required under the agreement’s built-in review mechanism.

Broader Context

The USMCA, which replaced the original North American Free Trade Agreement (NAFTA) in 2020, contains a mandatory six-year joint review clause. The current review is the first of its kind under the agreement. Notably, it is unfolding against a backdrop of sweeping US tariff actions that have already strained trade relations with both Mexico and Canada. The outcome of these negotiations will have significant implications for industries on both sides of the border, with the automotive sector — deeply integrated across the three countries — watching the rules-of-origin discussions most closely.

How far Mexico can move the US toward tariff relief will likely define the commercial terms of North American trade for years ahead.