Canada, Mexico race to avoid US tariffs, and other global trade news to read this month

Canada and Mexico are in last-minute negotiations with the United States to avoid 25% tariffs on their exports ahead of a 4 March deadline.

The tariffs, announced on 4 February, were delayed for a month to allow both countries to strengthen border security and curb fentanyl trafficking - key conditions set by President Trump.

At stake is over $918 billion in trade, across industries ranging from automotive to energy. Businesses are also monitoring Trump’s plan to raise steel and aluminium tariffs on 12 March and impose new duties on key industries.

Moreover, US Department of Homeland Security reports due this week will help determine whether the tariff suspension is extended, a trade lawyer told Reuters.

China is currently the only country with a US levy on its goods, of 10%, but Europe could be next as the president pushes for reciprocal trade measures. Meanwhile, Bloomberg reports that the US' proposed steel and aluminium tariffs could affect up to €28 billion ($29.3 billion) of EU exports.

“We are facing a new reality,” warned the World Trade Organization's (WTO) outgoing General Council Chair, Ambassador Petter Ølberg, during a General Council meeting held on 18-19 February, stressing that fundamental trade principles are being challenged.

“It's not business as usual anymore,” he urged, calling for real dialogue and bold reform.

Ølberg’s remarks come amid economic uncertainty, geopolitical tensions, technological change and growing demands for sustainable growth, prompting WTO members to review the organization’s functions for effectiveness.

So what might a shake-up of the WTO look like?

The new General Council Chair, Ambassador Saqer Abdullah Almoqbel, set to lead these reforms, said he was “keenly aware of the significant challenges and opportunities that lay ahead”.

Gold prices have hit a record high of $2,956.15/oz, driven by tariff concerns and strong demand, with the US dollar’s temporary decline further boosting the metal's appeal.

President Trump could impose tariffs of around 25% on automobile, semiconductor and pharmaceutical imports, with an announcement expected as soon as 2 April.

US aluminium imports surged to over 580,000 tonnes in January, the highest since mid-2022, as importers rush to stockpile ahead of the country's planned tariffs next month, reports the Financial Times.

Emirates SkyCargo and Astral Aviation have signed an MoU to boost global trade with Africa. The partnership leverages their networks to transport sensitive cargo, like fresh produce and pharmaceuticals, underscoring Africa's growing trade role, says Payload Asia.

Brazil leads global trade growth in poultry, capturing 90% of it, with Thailand, China, Ukraine and Russia also increasing their market share, writes Poultry News.

In its latest Global Trade Outlook, the ICC urges governments to: pursue dialogue through plurilateral initiatives, reinvigorate WTO trade talks to address major frictions and enhance negotiation mechanisms to tackle emerging trade challenges.

Recent headlines highlight growing global fragmentation and rising tensions, with a looming trade war worrying European leaders, writes Aengus Collins, Head of Economic Growth at the World Economic Forum. Read more of his economic insights here.

Since returning to the White House, President Trump has threatened major new tariffs that could disrupt global trade. For more on the tariffs and their potential impact, this article offers the latest insights.

US trade measures are reshaping business strategies: 40% of companies are increasing US sourcing, 46% are diversifying geographically, and 62% are prioritizing sustainability more than last year. Find out other ways organizations are adjusting to the changing landscape.