Key facts
- US-Mexico tariff deal progress has stalled.
- Commerce Secretary Howard Lutnick opposes significant tariff reductions.
- Disagreements persist over US levies on Mexican automobiles and metals.
Progress toward a US-Mexico tariff deal has stalled due to opposition from Commerce Secretary Howard Lutnick, The Wall Street Journal reported on Thursday, citing people familiar with the talks. The US and Mexico had been nearing an agreement that would reduce US levies on steel, aluminum, and automobiles in exchange for concessions from Mexico. However, disagreements over US vehicle and metal tariffs have slowed the process. Lutnick has reportedly objected to significant reductions in the 25% tariff on Mexican automobiles and the 50% levies on steel and aluminum, as well as tariffs on finished steel and aluminum products. Despite this, Mexico's deputy trade minister Luis Rosendo Gutierrez told the Journal that progress was being made, and a US Commerce Department spokesperson confirmed ongoing dialogue with Mexico.