US Tariffs Open the Door to Stronger Canada-Mexico Ties: Mackay

President Donald Trump's 25% tariffs are affecting two of the United States' closest trading partners: Canada and Mexico. These tariffs are disrupting their access to the US market, heightening uncertainty, and raising concerns about the integrity of the USMCA. In response, both nations are exploring diversification strategies and strengthening their bilateral relations, particularly in key sectors like mining.

Canada and Mexico’s economies have historically been closely intertwined with that of the United States, making both nations vulnerable to shifts in US trade policy. However, the imposition of these tariffs has catalyzed efforts to look beyond the United States for economic growth, said Cameron Mackay, Canada’s Ambassador to Mexico, during Mexico Mining Forum 2025 PDAC. 

Mackay says that despite the challenges, the tariffs present an opportunity to explore new possibilities for collaboration. “Our strategy has always been to ensure that the strong, collaborative approach continues, not just with the United States but with other parts of the world as well. The tariffs, while problematic, offer us an opportunity to rethink and diversify our relationships — creating new opportunities for Canadian businesses in Mexico and vice versa. We must take the chance to modernize and increase foreign investment in key sectors such as mining and energy while simultaneously ensuring we’re investing in sustainability and long-term strategies,” he says.

Mackay explains that both Canada and Mexico are rich in strategic minerals that are crucial for global supply chains, especially for sectors like renewable energy, technology, and infrastructure. However, to fully exploit these resources, both countries need to make substantial investments in exploration, mining infrastructure, and sustainable practices. 

Mexico’s renewed interest in opening its mining sector to foreign investment is a clear example of how both nations can collaborate to foster economic growth while reducing reliance on the United States, explains Mackay. “In the face of uncertainty, this is a critical moment for both Canada and Mexico to assert their leadership in the global mining industry. By embracing strategic partnerships and forward-thinking investments, we can not only weather the current storm but build a more resilient and diversified future together,” he says.

Mackay adds that despite increased integration between Canada and Mexico, uncertainty with the United States will persist, particularly regarding the integrity of the USMCA. “If Trump wants a deal with Mexico and Canada, now is the time. However, there are deeper objectives behind these tariffs, and we must wait to see how they evolve,” he says.

Given this uncertainty, Mackay urges both Canada and Mexico to continue focusing on diversifying their economic ties. “Strengthening their bilateral relationship through strategic investments and collaborations will be crucial in navigating the challenges ahead,” says Mackay.