Mexican President Claudia Sheinbaum announced that the United States has agreed to extend the deadline for reaching a trade agreement by several weeks.

Speaking at a daily press conference, Sheinbaum revealed that she held a brief phone call with former U.S. President Donald Trump on Saturday, during which both sides agreed to prolong negotiations to resolve outstanding non-tariff trade barriers. Sheinbaum stated that the two nations are close to finalizing a deal and that she will engage in further discussions with Trump in the coming weeks.

Following her remarks, the Mexican peso strengthened to its intraday high, trading at 18.38 per U.S. dollar as of 9:04 a.m. Mexico City time.

Since returning to the White House in January, Trump has imposed tariffs on a range of Mexican imports, including steel, aluminum, and automobiles. However, he has also demonstrated a willingness to negotiate, repeatedly delaying tariff implementations or granting exemptions for certain Mexican goods.

Trump had initially planned to raise fentanyl-related tariffs on Mexican goods not covered by the USMCA (U.S.-Mexico-Canada Agreement) starting November 1. The White House has not yet responded to requests for comment.

"We agreed to talk again in a few weeks because this issue is practically close to being resolved," Sheinbaum said.