(World Trade Interactive)

Mexico is expected to suspend 50% of its retaliatory tariffs on U.S. exports as of July 8 after the U.S. and Mexico signed July 6 a memorandum of understanding resolving their longstanding dispute over Mexican trucks. U.S. officials cast the MOU as an agreement that will ensure roadway safety, create jobs in the U.S. and support economic development in both countries.

Mexico currently imposes tariffs of 5-25% on $2.4 billion worth of goods imported from the U.S. in retaliation for Washington’s failure to allow Mexican long-haul trucks to operate beyond U.S. border zones, as required under NAFTA. In April the Department of Transportation announced details of a new phased-in pilot program that will allow Mexico-domiciled motor carriers to operate throughout the U.S. for up to three years and grant U.S.-domiciled motor carriers reciprocal rights to operate in Mexico for the same period. Read more here.