Mexico's president tells Trump she could retaliate against US after tariff announcement

Mexican President Claudia Sheinbaum reacted to U.S. President-elect Donald Trump's proposal to impose a tariff of 25% on imports of goods from Mexico, warning that this measure could generate a trade war and increase inflation in both countries.

Following Trump's announcement of signing an executive order to implement the tariff, Sheinbaum expressed concern about the economic effects, highlighting that this measure could put jobs at risk and would mainly affect the automotive industry, which represents more than 35% of Mexico's manufactured exports, as well as U.S. automotive companies with plants in Mexico, such as General Motors and Ford.

"One tariff will follow another and so on, until we put our common businesses at risk," Sheinbaum commented, making it clear that if Trump imposes tariffs, Mexico could respond with similar measures.

Bilateral dialogue and cooperation

The Mexican president stated that the increase in tariffs could have consequences not only in the economic sphere but also in bilateral relations. Despite this, Sheinbaum, who took office just seven weeks ago, expressed willingness to dialogue with the incoming Trump administration to find joint solutions. Sheinbaum indicated that she planned to send a letter to the president-elect and would seek a call with him. In addition, she mentioned her intention to communicate with Canadian Prime Minister Justin Trudeau due to Canada's involvement in Trump's proposal.

Migratory flow and fentanyl

Trump justified his tariff proposal by pointing out that thousands of people are crossing illegally from Mexico and Canada into the United States, a phenomenon that has reached unprecedented levels. He also mentioned the problem of fentanyl, a synthetic opioid that has caused an overdose crisis in the United States. He noted that both Mexico and Canada have the "absolute capacity" to resolve the flow of immigrants and illicit drugs that directly affect U.S. security.

"This Tariff will remain in effect until such time as Drugs, in particular Fentanyl, and all Illegal Aliens stop this Invasion of our Country!" stated Trump. "Both Mexico and Canada have the absolute right and power to easily solve this long simmering problem (...) And until such time that they do, it is time for them to pay a very big price!" he added.

For her part, Sheinbaum attempted to defend Mexico's actions to curb migration, mentioning that encounters at the border with the United States have decreased considerably since June of this year. However, Trump has clarified that the responsibility for curbing these flows falls largely on neighboring countries, which must do more to control the situation.

Sheinbaum also attempted to disassociate Mexico from blame for the trafficking of fentanyl by pointing out that the weapons that feed the cartels come mainly from the United States. However, Trump has reiterated that his proposed tariffs are necessary to pressure Mexico to take more decisive action.