In the event that the flow of narcotics from Mexico is not stopped, Donald Trump has threatened to levy a 25 percent tariff on Mexican imports.
After US President-elect Donald Trump vowed to put 25% import levies on Mexican goods if Mexico doesn't stop the flow of migrants and narcotics across the border, President Claudia Sheinbaum warned on Tuesday that Mexico could respond with tariffs of its own.Sheinbaum stated that although she was open to discussing the concerns, she believed that drugs were a problem in the United States.
Sheinbaum warned that "one tariff would be followed by another in response, and so on until we put at risk common businesses," alluding to American automakers with factories on both sides of the border.
Mexico has taken significant steps to stop the migration flow, she said on Tuesday, adding that "caravans of migrants no longer reach the border."
Despite an increase of guns coming in from the United States, she added, Mexico has tried to stop the flow of drugs like the deadly synthetic opioid fentanyl. According to her, drug use "is a problem of public health and consumption in your country's society."
Sheinbaum also criticized US military spending, arguing that funds should be allocated locally to combat the migration issue. "If a percentage of what the United States spends on war were dedicated to peace and development, that would address the underlying causes of migration," she stated.
Trump is facing a very different Mexican president than he faced during his first term, based on Sheinbaum's abrasive response.
Former President Andrés Manuel Lopez Obrador, a charming, traditional politician, became friendly with Trump in late 2018. In the end, the two were able to come to an agreement where Trump backed down on the threats and Mexico assisted keep migrants away from the border while also receiving the deported migrants from other nations.
However, Sheinbaum, a hard-line Marxist ideologue with experience in extreme student protests, who entered office on October 1, seems less inclined to appease or placate Trump.
The severity of Trump's threat is unclear, though. The free trade agreement between the United States, Mexico, and Canada prohibits simply levying tariffs on other parties. Furthermore, it's unclear if the economy could even withstand abrupt import taxes because auto factories on both sides of the border depend on one another for parts and components, and certain manufacturing lines might come to a complete stop.
Sheinbaum added, "It is unacceptable and would cause inflation and job losses in Mexico and the United States," and offered to discuss the problems.
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