The U.S. economy shrank at a 0.3% annual pace from January through March, the first drop in three years. It was slowed by a surge in imports as companies in the United States tried to bring in foreign goods before President Donald Trump imposed massive tariffs.

Mexico’s economy posted a slight expansion in the first quarter, allowing President Claudia Sheinbaum to avoid recession as she steers the nation through an unpredictable US tariff policy.