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July 21, 2025 4 mins
Listeners, welcome to the latest update from Mexico Tariff News and Tracker, your source for everything you need to know about U.S. tariff policy and its impact on Mexico. As of today, July 21, 2025, the tariff landscape is shifting dramatically under President Trump’s administration.

This weekend, President Donald Trump officially announced a sweeping 30% tariff on all imports from Mexico, set to take effect on August 1. This bold move comes as part of a wider campaign that also hits the European Union with the same rate, ramping up pressure on major trade partners. In a letter to Mexican President Claudia Sheinbaum, Trump tied these hefty tariffs directly to border security and anti-narcotics efforts, stating that current cooperation from Mexico on stopping fentanyl and migrant flows is “not enough.” Trump insisted that if the situation does not improve, these rates will remain, and he made it clear that U.S. retaliation will match any Mexican countermeasures, potentially increasing the burden on cross-border trade even further, according to recent coverage from CNN and AOL.

Commerce Secretary Howard Lutnick underscored the administration’s hard line on tariffs, telling CBS News the American people are about to witness “weeks for the record books” as the August 1 deadline nears. Lutnick explained that unless Mexico meets the U.S. demands, the country will face the full brunt of the 30% rate—a significant jump from Trump’s previous 25% tariff. He also indicated that certain sectors, like autos already covered by the United States–Mexico–Canada Agreement, or USMCA, would continue to enjoy exemptions as long as they meet strict content requirements. This ongoing shift is causing uncertainty for supply chains throughout North America, with industry sources like Supply Chain Connect reporting many businesses are bracing for impact.

Beyond tariffs on goods, the U.S. Department of Transportation has announced a series of sanctions aimed at Mexico over alleged breaches of a bilateral air transport agreement. Following Mexico’s revocation of airport slots for U.S. carriers and forced relocation of cargo operations in Mexico City, U.S. Transportation Secretary Sean Duffy stated America would require Mexican airlines to file detailed operating plans for all flights to the U.S. and receive prior approval for large charters. The threat of possibly ending the Delta-Aeromexico joint venture further complicates U.S.–Mexico aviation ties, according to Fox32 Chicago and UPI.

Looking forward, Secretary Lutnick says President Trump is poised to push for renegotiation of the USMCA itself, with a formal review set for July 2026. Trump’s angle: bring more manufacturing jobs back to states like Michigan and Ohio, reduce reliance on Mexican plants, and further shift the balance toward American interests.

On a broader strategic note, it’s worth watching Canada and Mexico as they work on a separate land and sea trade corridor to bypass the U.S. entirely. Reports from PPR Mundial suggest that if these plans succeed, the U.S. economy, especially in the Midwest, could see a multi-billion dollar hit over the next five years.

Listeners, as tariff deadlines approach and new sanctions roll out, the economic relationship between the U.S. and Mexico faces immense strain—and American, Mexican, and multinational businesses alike are scrambling to adapt. We’ll keep tracking every headline and policy change so you stay informed.

Thanks for tuning in. Make sure to subscribe for ongoing coverage and expert analysis. This has been a Quiet Please production. For more, check out quietplease.ai.

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Transcript

Episode Transcript

Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
Listeners, Welcome to the latest update from Mexico Tariff News
and Tracker, your source for everything you need to know
about US tariff policy and its impact on Mexico. As
of today, July twenty first, twenty twenty five, the tariff
landscape is shifting dramatically under President Trump's administration. This weekend,
President Donald Trump officially announced a sweeping thirty percent tariff

(00:23):
on all imports from Mexico, set to take effect on
August first. This bold move comes as part of a
wider campaign that also hits the European Union with the
same rate, ramping up pressure on major trade partners. In
a letter to Mexican President Claudia Shinbaum, Trump tied these
hefty tariffs directly to border security and anti narcotics efforts,

(00:45):
stating that current cooperation from Mexico on stopping fentanyl and
migrant flows is not enough. Trump insisted that if the
situation does not improve, these rates will remain, and he
made it clear that US retaliation will match any Mexican countermeasures,
potentially increasing the burden on cross border trade even further.
According to recent coverage from CNN and AOL, Commerce Secretary

(01:09):
Howard Lutnik underscored the administration's hard line on tariffs, telling
CBS News the American people are about to witness weeks
for the record books as the August first deadline nears.
Leut Mak explained that unless Mexico meets the US demands,
the country will face the full brunt of the thirty
percent rate, a significant jump from Trump's previous twenty five

(01:32):
percent tariff. He also indicated that certain sectors like autos,
already covered by the United States Mexico Canada Agreement or
USMCA would continue to enjoy exemptions as long as they
meet strict content requirements. This ongoing shift is causing uncertainty
for supply chains throughout North America, with industry sources like

(01:55):
Supply Chain Connect reporting many businesses are bracing for impact
beyond tariffs on goods. The US Department of Transportation has
announced a series of sanctions aimed at Mexico over alleged
breaches of a bilateral air transport agreement. Following Mexico's revocation
of airport slots for US carriers and forced relocation of

(02:17):
cargo operations in Mexico City, US Transportation Secretary Sean Duffy
stated America would require Mexican airlines to file detailed operating
plans for all flights to the US and receive prior
approval for large charters. The threat of possibly ending the
Delta Aero Mexico joint venture further complicates US Mexico aviation ties.

(02:40):
According to Fox thirty two Chicago and USP Looking Forward,
Secretary Lutnik says President Trump is poised to push for
renegotiation of the US MCA itself, with a formal review
set for July twenty twenty six. Trump's angle bring more
manufactur kexturing jobs back to states like Michigan and Ohio,

(03:03):
reduce reliance on Mexican plants, and further shift the balance
toward American interests. On a broader strategic note, it's worth
watching Canada and Mexico as they work on a separate
land and sea trade corridor to bypass the US entirely.
Reports from PPR Mondal suggest that if these plans succeed,
the US economy, especially in the Midwest, could see a

(03:27):
multi billion dollar hit over the next five years. Listeners
as tariff deadlines approach and new sanctions roll out. The
economic relationship between the US and Mexico faces immense strain
in American Mexican and multinational businesses alike are scrambling to adapt.
We'll keep tracking every headline and policy change so you

(03:49):
stay informed. Thanks for tuning in. Make sure to subscribe
for ongoing coverage and expert analysis. This has been a
quiet please production. For more check out Quiet Please dot
ai
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