Mexico’s president hosted senior Canadian ministers for talks after both countries were hit with new tariff threats last week.

An exemption spares Canada and Mexico from most tariffs imposed on goods. Although Mexico is currently in negotiations with the U.S. government, last week, President Donald Trump handed down 35% duties for goods coming out of The Great White North.

While the United States’ largest trading partner now has more time to reach a trade deal, its second-largest saw its tariff rate increase on Thursday.