When United States President Trump imposed tariffs on Canada and Mexico in early 2025, the two countries reacted very differently. Canada led with an “elbows up” campaign involving counter-tariffs and boycotts of American alcohol.
Mexico, by contrast, struck a more conciliatory tone and cautiously started to align its trade policy with the U.S. As Canada prepares for a turbulent 2026, Mexico’s experience offers valuable lessons.
Both Mexico and Canada depend heavily on trade with the U.S: both send three-quarters of their exports there. The Canada-United States-Mexico Agreement (CUSMA) underpins tariff-free access to the U.S. for most North American goods. But the deal is in jeopardy.
