Mexico suggests it would impose its own tariffs to retaliate against any Trump tariffs

Mexico suggests it would impose its own tariffs to retaliate against any Trump tariffs
November 26th, 2024

President Claudia Sheinbaum of Mexico hinted on Tuesday that Mexico might consider imposing tariffs in response to U.S President elect Donald Trumps warning of levying 25 percent tariffs on products unless the nation takes measures to halt the movement of drugs and migrants, across the border.

Sheinbaum mentioned her readiness to discuss the matters at hand. Emphasized that drug related concerns primarily affected the United States.

"One trade barrier would trigger another in retaliation and continue in a cycle that could jeopardise shared enterprises " Sheinbaum remarked when discussing car manufacturers with factories, on both sides of the border.

She mentioned on Tuesday that Mexico has made efforts to reduce the influx of migrants by stating that "groups of migrants no longer make it to the border." Additionally she highlighted Mexicos actions to curb the trafficking of drugs such as the synthetic opioid fentanyl. She acknowledged that this issue is primarily a health and societal consumption problem, within Mexico.

Sheinbaums sharp reply implies that Trump is dealing with a president who is markedly distinct from the one he encountered during his initial term, in office.

In the part of 2018¸ ex President Andrés Manuel López Obrador was a charming¸ traditional politician who established a friendly rapport with Trump¸ leading to an agreement where Mexico assisted in controlling migrant influx at the border and accepted deportees from other nations¸ while Trump softened his stance, on enforcement threats.

Sheinbaum assumed office on October 1 as a leftist with roots, in radical student protests and seems reluctant to appease or placate Trump.

It remains uncertain about the level of seriousness behind Trumps threat in this situation.The US Mexico Canada trade deal prohibits the imposition of tariffs on fellow member nations.However it is uncertain if the economy would withstand tariffs on imported goods.This is due to the interdependence of auto manufacturers on both sides of the border for parts and components suggesting disruptions, in production lines.

Sheinbaum stated that it is not acceptable and could lead to inflation and job cuts in both Mexico and the United States.

The news agency known as The Associated Press.

Shandor Brenner

Shandor Brenner is an American journalist recognized for his sharp and insightful reporting on social and political issues. His work is known for its depth, integrity, and the ability to highlight critical societal concerns.

Finance Daily News
Copyright © 2024 Finance Daily News.
All rights reserved.