MEXICO CITY – In a significant shift of North American dynamics, Canada and Mexico have pledged to deepen their bilateral ties on trade and security, forming a united front as both nations grapple with economic pressure from their largest trading partner, the United States.
The commitment came during Canadian Prime Minister Mark Carney’s first official visit to Mexico, where he met with President Claudia Sheinbaum. The meetings aimed to reset a relationship strained last year by accusations that Canada sought a side deal with the U.S. during tariff negotiations, a move Mexico viewed as a slight.
“We compliment the United States, we make them stronger, and we are all stronger together,” Carney told reporters at a joint news conference, striking a conciliatory tone. “Our agreement today will expand and deepen the partnership, so that the next 30 years hold even greater promise than the last 30 years have delivered.”
The leaders’ warm rapport—evidenced by an exchange of gifts and pleasantries—stood in stark contrast to the diplomatic friction of 2024. At that time, President Sheinbaum asserted that “Mexico must be respected, especially by its trading partners.”
The renewed coordination is a direct response to the trade policies of U.S. President Donald Trump, who has imposed a series of punitive tariffs on both members of the USMCA free trade bloc. Canada faces a 50% tariff on steel and a 25% tariff on vehicles, while Mexico is subject to a 25% tariff on some pharmaceuticals and a unique 25% “fentanyl tariff” cited for border security reasons.
“Observers say the renewed co-ordination is expected, as the two ‘don’t want to be pitted against one another when negotiations start’,” said Sebastián Vallejo Vera, a political scientist at Western University. “It’s a subtle dance. Canada and Mexico want to show unity, without appearing to gang up on the US.”
The timing is critical. The USMCA agreement is scheduled for a review in 2026, and the early stages of that process are already underway. Both Canada and Mexico are strong supporters of the pact, arguing it has bolstered the competitiveness of the entire North American market.
Canadian officials stated that boosting trade with Mexico is a key goal. Bilateral trade was valued at C$56 billion ($40.5 billion) in 2024, a figure both governments believe can be expanded.
However, the two leaders face different domestic pressures. President Sheinbaum has maintained a calm, non-confrontational approach with Washington. Prime Minister Carney, while keeping dialogue open with President Trump, has faced criticism at home for failing to secure tariff relief. Last month, he lifted retaliatory tariffs on U.S. goods in a bid to revive talks.
Professor Vera noted that Canada may have more to gain from this strengthened partnership. Canadian exports to the U.S. have slumped in 2025, while Mexican exports have proven more resilient. There is also a lingering perception in Mexico that Canada has historically prioritized its relationship with the U.S. above its southern partner.
But as both countries navigate the policies of a protectionist U.S. president, they are being forced to redefine their own relationship.
“These are unprecedented times,” Prof. Vera added, underscoring that the familiar contours of North American trade are shifting, compelling Ottawa and Mexico City to write a new chapter
