Mexico may be shifting trade toward Canada, according to a Reuters news service report.
Mexican President Claudia Sheinbaum said Wednesday her country could look to new trade alliances if U.S. President Donald Trump’s 25 per cent tariffs continue.
With Canada now looking to other export partners, Mexico could represent a new market for Canada’s agriculture and agri-food goods.
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No submission
According to Reuters, Trump is expected to speak with Prime Minister Justin Trudeau Wednesday afternoon and with Sheinbaum Thursday. Both meetings will likely address the current tariff situation.
Sheinbaum said in a morning press conference Mexico “will reach out to Canada and other nations,” if the tariffs continue.
“It is a very definitive moment for Mexico,” Sheinbaum said. “Our economy is fine, but there will be no submission. … Depending on the circumstances, we will look to Canada and other countries.”
Sheinbaum is expected to reveal a response to U.S tariffs, including retaliatory tariffs Sunday.
A strong agri-food relationship
In late February, speaking to the Canadian Federation of Agriculture, Carlos Joaquin González, Mexico’s ambassador to Canada, touted the need to build on a strong agricultural trade relationship to secure trade resilience in the face of U.S. tariffs.
“Mexico and Canada share a strong agricultural trade relationship built on complementarity and mutual benefit,” González said. “We are not just trading partners. We are strategical allies.”
While Mexico exports commodities like avocados, tomatoes and peppers to Canada, Canada sends wheat, beef and dairy, which González said makes it a critical part of Mexican food security.