Mexican President Warns Trump Tariffs Will Kill Jobs, Hints At Retaliation

Mexican President Warns Trump Tariffs Will Kill Jobs, Hints At Retaliation

Mexico’s President Andrés Manuel López Obrador has condemned US President Donald Trump's decision to impose tariffs on Mexican goods, warning that the move will harm jobs and damage the economy of both countries.

Background

The Trump administration has threatened to impose 5% tariffs on all imports from Mexico starting June 10, citing the number of Central American migrants crossing the US-Mexico border as the reason for the tariffs.

Key Facts and Latest Updates

In a televised address to the nation on May 30, López Obrador said: "We don't want confrontation. We want cooperation for the development of both nations." He added that he had instructed Mexico's foreign minister, Marcelo Ebrard, to travel to Washington to negotiate with US officials.

Ebrard said that Mexico would be willing to increase its efforts to stem the flow of migrants, but that tariffs were not an acceptable solution.

Analysis or Impact

Economists have warned that the tariffs could hurt both the Mexican and US economies. The Peterson Institute for International Economics estimates that the tariffs could cost the US economy $1.5 billion per month and reduce economic growth by 0.1%.

The tariffs could also have a significant impact on the Mexican economy. The Mexican peso has fallen sharply since Trump announced the tariffs, and the Mexican economy is expected to grow by only 1.5% this year, down from 2.1% in 2018.

Conclusion

The trade dispute between the United States and Mexico is a major challenge for both countries. The tariffs could have a significant impact on both economies, and it is unclear how the dispute will be resolved.