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Mexico Responds To Threat Of U.S. Tariffs

Newly-sworn in President Claudia Sheinbaum addresses supporters in the Zócalo, Mexico City's main square, on Oct. 1, 2024. (AP Photo/Fernando Llano, File)

President Claudia Sheinbaum of Mexico City responded to U.S. President-elect Donald Trump's threat of imposing 25% tariffs on Mexican goods if the country does not address the issues of drug trafficking and illegal migration across the border. Sheinbaum suggested that Mexico could retaliate with tariffs of its own if necessary.

Sheinbaum emphasized that drug trafficking is primarily a U.S. problem and expressed willingness to engage in discussions on the issues at hand. She highlighted Mexico's efforts in curbing the flow of migrants, stating that caravans no longer reach the border. Additionally, she mentioned Mexico's actions to combat drug trafficking, including the synthetic opioid fentanyl, despite it being a public health issue rooted in U.S. society.

The Mexican President criticized U.S. military spending and proposed redirecting those funds towards peace and development initiatives to address the root causes of migration. Sheinbaum's firm stance indicates a departure from the previous administration's approach to dealing with Trump.

Former President Andrés Manuel López Obrador had a more amicable relationship with Trump, resulting in a collaborative agreement to manage migration flows. However, Sheinbaum, a leftist ideologue with a background in student protest movements, appears less inclined to appease Trump's demands.

It remains uncertain how serious Trump's tariff threat is, given the restrictions imposed by the U.S.-Mexico-Canada free trade agreement. The interconnected nature of the automotive industry across the border raises concerns about the potential economic repercussions of sudden tariffs on imports.

Sheinbaum warned that such tariffs would lead to inflation and job losses in both Mexico and the United States. The situation underscores the complex dynamics at play between the two countries and the challenges of addressing contentious issues through trade measures.

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