Mexican President Claudia Sheinbaum on Wednesday ruled out a bilateral trade agreement with Canada when asked about the possibility, following what she called a “very good” meeting with top Canadian government ministers a day earlier.
“We have the trade deal with the United States, Canada and Mexico… There is no need,” Sheinbaum said during her morning press conference where she said she discussed expanding direct trade with Canada
Sheinbaum also confirmed Prime Minister Mark Carney will “soon” travel to Mexico for direct talks, but no date has been set for that visit.
Tuesday’s meeting was “a preparatory meeting for Prime Minister Carney’s visit, and it was a very good meeting,” she told reporters.
She said an expansion of direct trade with Canada was among the topics discussed, but clarified that did not mean a separate trade deal from the Canada-United States-Mexico Agreement on free trade, also known as CUSMA.
“I mean, there’s the framework to strengthen the Mexico-Canada relationship, as we’re doing with other countries as well,” she said.
Finance Minister François-Philippe Champagne and Foreign Affairs Minister Anita Anand were in Mexico to strengthen the countries’ relationship, days after the United States hit Canada with higher tariffs.
Champagne said during a virtual press conference from Mexico City on Tuesday evening that it was a “very successful trip” and that the mission was to “get to know each other a bit better.”
The minister said the countries spoke about how to work together in areas like energy, auto and security.
“What we have agreed is to build a work plan between Canada and Mexico which focuses on a number of factors, for example resilient supply chains, port-to-port lines of trade, artificial intelligence and the digital economy, energy, security,” Anand said.
The ministers would not say if they exchanged strategies with their Mexican counterparts or Sheinbaum about how to respond to U.S. President Donald Trump’s tariffs.
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Trump raised tariffs on Canada to 35 per cent on Friday, a day after he announced a 90-day reprieve for higher tariffs on Mexico following a conversation with Sheinbaum.
Anand and Champagne dodged questions from reporters about how Mexico managed to get an extension while Canada didn’t, with Anand stressing that the countries’ economic relationships with the U.S. are different.
Earlier in the day, Carney said he would speak with U.S. President Donald Trump “when it makes sense.”
“I haven’t spoken to the president in recent days,” Carney said during a press conference in West Kelowna, B.C.
When asked Thursday about the prospects for a trade deal with Canada, Trump said that “he’s called” — seemingly a reference to Carney.
The 35 per cent tariff rate applies to Canadian goods that don’t fall under CUSMA. Carney said this means that 85 per cent of trade between the Canada and the U.S. remains tariff-free.
Canada is looking around for trade partners it can trust, Champagne said Tuesday as he and Anand met with Sheinbaum.
In a media statement, Champagne said the visit was part of a broader strategy of diversifying Canada’s trading relationships as the United States takes a protectionist, tariff-focused approach.
“As we strive to provide more certainty and diversify our export markets, forging closer partnerships like the one we enjoy with Mexico is how we chart a new way forward with partners we can trust,” he said.
Ontario Premier Doug Ford last year called for a bilateral trade deal between Canada and the United States because he said Mexico was serving as a back door for Chinese auto parts and vehicles entering the North American market. Those calls earned support from former prime minister Justin Trudeau and then-deputy finance minister Chrystia Freeland, who is now the transport minister.
Anand said her and Champagne’s visit was the next step in repairing ties with Mexico that began when Carney invited Sheinbaum to this summer’s G7 leaders’ summit in Alberta, where the two leaders held direct talks.
The automotive sector is one of the biggest drivers of trade between Canada and Mexico. Vehicles and auto parts account for 20 per cent of Canada’s exports to Mexico and 37 per cent of Canadian imports from its southern partner, according to Economic Development Canada.
The auto sector has been a key target of Trump’s tariffs. The North American automotive supply chain is spread between the three countries and Trump has said he wants to build up end-to-end auto manufacturing in the U.S.
Mexico is one of Canada’s biggest trading partners for various commodities, including oil and gas, steel and aluminum.
Canada’s imports from Mexico include tropical fruits, broadcast equipment and medical devices, according to Mexico’s economy ministry.
—With files from the Canadian Press and Global News