Mexico, Under Trump Tariff Pressure, ‘Optimistic’ for a Fast Resolution

Mexico, Under Trump Tariff Pressure, ‘Optimistic’ for a Fast Resolution

Saturday, Mexico’s President said he expects”good results” from talks planned in Washington about President Trump’s threat to impose tariffs on Mexican goods, and floated the possibility Mexico could tighten controls on migration.

President Trump said he will apply the tariffs on 10 June if Mexico does not halt the flow of illegal immigration, largely from Central America, across the US-Mexican border. His ultimatum hurt Mexican financial assets.

In a news conference in the Gulf of Mexico port of Veracruz, President Andres Manuel Lopez Obrador (ALO) said a delegation led by his foreign minister Marcelo Ebrard, who is due to meet US officials in Washington on Wednesday, would explain what Mexico has undertaken to address the problem.

“The main thing is to inform about what we are already doing on the migration issue, and if it’s necessary, to reinforce these measures without violating human rights,” he said.

President Trump’s threat is the biggest foreign policy test to date for ALO and a big task for Mexican authorities struggling to contain migration, and fight record gang violence.

Mexico’s economy relies heavily on exports to the United States and shrank in Q-1. Under President Trump’s plan, US tariffs that could rise as high as 25% this year, threatening wide damage to the economy.

ALO said Mexico would not engage in any trade wars with the United States, but noted that his government had a “plan” in case President Trump did apply the tariffs to ensure the country was not impoverished.

America First!

The following two tabs change content below.
HEFFX has become one of Asia’s leading financial services companies with interests in Publishing, Private Equity, Capital Markets, Mining, Retail, Transport and Agriculture that span every continent of the world. Our clearing partners have unprecedented experience in Equities, Options, Forex and Commodities brokering, banking, physical metals dealing, floor brokering and trading.

Latest posts by HEFFX Australia (see all)