During the inauguration of a new hospital, Mexican President Claudia Sheinbaum addressed recent US tariff threats, expressing optimism that a new trade deal could be reached by the August 1st deadline — but firmly stating that Mexico's sovereignty is non-negotiable.

US President Donald Trump announced the tariffs citing Mexico's insufficient efforts to curb cross-border drug trafficking. In a Fox News interview, he defended his broader trade strategy, criticizing long-standing trade deficits and accusing countries like those in the EU of exploiting the US for decades.

EU Commission President Ursula von der Leyen responded by outlining a two-track approach: continuing negotiations while preparing countermeasures. Trade expert Jacob Funk Kirkegaard criticized Trump's tactics, suggesting they could backfire by undermining diplomatic efforts.
 

(This video summary was created using AI. A journalist edited it before publication.)