Big changes are hitting the world of trade. After the U.S. Supreme Court blocked President Trump’s old taxes on February 20, 2026, he quickly used a different 1970s law to set a new 15% global tariff. While a new tax sounds like bad news, many Latin American countries are actually breathing a sigh of relief. Major players like Mexico and Brazil were previously facing much higher taxes—sometimes up to 50%—on their goods. For them, this new flat rate is actually a massive discount that could give their businesses a huge boost in the U.S. market.
However, there is a catch: this new 15% rule is only temporary and lasts for just 150 days. To keep prices low for Americans, Trump also exempted essential items like minerals from Chile and Peru, as well as coffee and some vegetables. The big question now is whether this “discount” will last, or if the U.S. Congress will step in to change the rules again. For now, Latin America is in a lucky spot, but the next five months will be a rollercoaster for anyone buying or selling across the border.
