During meetings in Mexico City, U.S. Trade Representative Jamieson Greer stated that President Donald Trump's tariffs on the auto and steel sectors will remain in effect, even as the U.S. and Mexico negotiate changes to the U.S.-Mexico-Canada Agreement (USMCA). This announcement marks the first public confirmation that some level of tariffs will persist beyond the ongoing negotiations, which are set against a July 1 deadline for a six-year review of the USMCA. The auto and steel industries in Mexico are particularly affected, with over 50% of their exports directed to the U.S. These tariffs have already led to a decline in vehicle exports to the U.S. by nearly 3% in 2025 and resulted in the loss of about 60,000 jobs in the auto sector last year. Greer indicated that while there may be some easing of tariffs to maintain competitiveness, a return to a zero-tariff environment is not expected. The U.S. is also proposing changes to rules of origin that would require 100% of key components to be sourced from North America, which could further impact the Mexican automotive industry. Greer and Mexican Economy Minister Marcelo Ebrard announced plans for formal bilateral negotiations to address USMCA issues and other economic matters in the coming weeks.