US-Mexico USMCA renegotiation round 3

U.S. and Mexican officials concluded the third round of negotiations to revamp the USMCA trade pact, with a fourth round scheduled for early September in Washington. The talks, which excluded Canada, covered autos, economic security, labor, agriculture, electronic payment services, steel, and aluminum. Key sticking points include the U.S. demand for 50% U.S. content in vehicles for preferential access, which Mexico rejects, and Mexico's request for reduction of Section 232 tariffs on autos (25%) and steel/aluminum (50%), which the U.S. has not eased. The Trump administration opted against extending the USMCA on July 1, starting a 10-year wind-down unless changes are agreed. U.S. Trade Representative Jamieson Greer hopes to strike interim agreements this year and tackle thornier issues in 2027.