US Warns Canada of Tariffs; Experts Call It Negotiation Strategy

Donald Trump warns of a 100% tariff on Canadian goods over China ties, as Carney says Ottawa is not pursuing a free trade deal with Beijing. Experts and AmCham Mexico say the US threat is part of the negotiation strategy, not a break from trilateral trade. In addition, Peru authorizes Brazil to represent Mexico diplomatically amid ongoing diplomatic break.

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Trump Threatens 100% Tariff as Canada Denies China Deal

Relations between Canada and the United States have hit another patch after President Donald Trump escalated trade tensions by threatening a 100% tariff on Canadian goods. The threat comes in response to Ottawa’s outreach to Beijing, which Prime Minister Mark Carney has made clear does not amount to a free trade deal with China. 

USMCA to Continue Despite Trump’s Tariff Threats: Mexico, Canada

While Canada’s growing ties with China have revived questions about the USMCA’s future, AmCham Mexico and Prime Minister Mark Carney downplay the risk of fragmentation, arguing that political rhetoric and tariff threats reflect bargaining strategy ahead of the pact’s review, not a real departure from trilateral trade.

Brazil Assumes Mexico’s Diplomatic Duties in Peru Amid Tensions

Peruvian Foreign Minister Hugo de Zela confirmed that Peru’s Ministry of Foreign Affairs has authorized Brazil to assume Mexico’s diplomatic representation in the country. The arrangement, made at Mexico’s formal request and in line with the Vienna Convention on Diplomatic Relations, allows Brazilian officials to operate from the premises and offices of the Mexican embassy in Lima.

PVEM, PT Push Back on Electoral Reform; MORENA Seeks Consensus

Laura Itzel Castillo, President, Mexican Senate, confirmed that the federal government and MORENA are actively working to build consensus with their allies in the PT and PVEM on a proposed electoral reform. She emphasized that the initiative will not be formally presented unless agreement is reached among all parties.

International

EU, India Sign Largest-Ever Free Trade Agreement

The European Union and India have finalized the largest free trade agreement ever for either side, cutting tariffs on thousands of products and opening new markets for businesses on both continents. While the agreement had been under discussion for years, analysts say that uncertainty over US President Donald Trump’s trade policies accelerated both regions’ efforts to diversify.

Trump Raises South Korea Tariffs to 25%, Markets React

President Donald Trump announced a sharp increase in tariffs on South Korean goods, raising rates from 15% to 25%, citing Seoul’s delay in ratifying a trade deal. The move rattled markets and prompted urgent diplomatic talks between the two nations.