Comments on: Do new tariffs mean Mexico is bending to US pressure on China?

By: Globe Trotter

Globe Trotter — Fri, 03 May 2024 19:25:16 +0000

Prior NAFTA’s and now the USMCA regional trade agreements continue to have an immense impact on modernizing Mexico economy and increasing prosperity for it citizens and residents. China is desperate to maintain and expand its trade relationship with the US, and access through the USMCA with investments in Mexico is clearly one avenue.

Imposing tariffs by Mexico on many Chinese exports into Mexico probably will incentivize China to depreciate its currency against the Peso and accelerate Chinese investments in manufacturing in Mexico. If AMLO’s (and soon Sheinbaum’s) goal is to maintain and grow well-paying jobs in Mexico this makes sense. The risk as others have pointed out is alienating its US economic partner who in turn could impose trade restrictions on Chinese goods made in Mexico. I guess we’ll just have to see how this plays out over the coming years.

By: Jim Novak

Jim Novak — Mon, 29 Apr 2024 01:34:04 +0000

Worth repeating from above, “AMLO tactics are pure posturing, just yesterday Mexico allowed entry to 500 US army soldiers for “training purposes”. China will try everything to move production capacity closer to the US but Mexico is already taking measures to protect it’s own industry.”

The Chinese do not believe in free or fair trade. Much of what they export is till trash.

By: Jim Novak

Jim Novak — Fri, 26 Apr 2024 14:13:46 +0000

The US, Mexico, Canada trade treaties have made Mexico one of the richest countries in the world and moving into the top ten in 2025. Just to start: 1. $68 billion of ingresos from Mexican workers to thier families in Mexico. 2.Thousands of new factories to build cars and electronics whose workers make the highest wages in Mexico. 3. far looser standards for Mexicans to get 5 year visas into the USA because they have money and relatives in the USA. 4. USA and MX are the world’s largest trade partners due to the trade agreement.5. Without US tourism, much of Mexico would go into a depression.

Mexico and the USA have tied themselves to each other for mutual prosperity. There should be no cry babies.

By: Nick R

Nick R — Thu, 25 Apr 2024 18:30:57 +0000

Mexico should fight for sovereignty over its trade policy and not allow itself to be pressured by the US. It’s unfair to make hard-working Mexicans pay up to 50% higher prices for things that are already quite expensive in Mexico, like clothes and shoes. I think the US just wants Mexico to buy those things from US companies at very high prices (keep in mind the US just reported much lower GDP than expected for the first quarter, party because of an import/export imbalance, and so will be looking to force its “partners” to subsidize its industries…)

By: William Mullins

William Mullins — Thu, 25 Apr 2024 18:07:55 +0000

In reply to Mike Roney.

Just because the US does it doesn’t mean Mexico can. Also, another wrong doesn’t make it right. Good for AMLO, I don’t often agree with him but he’s protecting Mexicans.

By: William Mullins

William Mullins — Thu, 25 Apr 2024 18:06:32 +0000

In reply to Gloria Brown.

No it means lost jobs and industries. Look at the US and Canada, those cheap Chinese goods have caused millions to lose their jobs. It doesn’t help poor Mexicans to pay a few pesos less but they can’t get good paying jobs. This argument has long ago been disproven.

By: Alexander

Alexander — Thu, 25 Apr 2024 17:37:14 +0000

In reply to Gloria Brown.

Yes exactly! It is going to hit the poorest most !

By: Mike Roney

Mike Roney — Thu, 25 Apr 2024 15:02:05 +0000

Yes, higher prices for both Mexicans and Americans. The US subsidizes agriculture, US-made electric vehicles, etc. and US coporations engage in inflationary price-goughing while having exorbitant compensation packages for their executives. Tariffs help then to continue in this way without have to become more efficient or having to lower prices to compete globally.

The corporations that run the US claim to believe in free trade but only as long as is benefits them. They believe in lower taxes for themselves but having a tax (in the form of a tariff) so consumers have to pay more is great for them because it gives them room to increase their prices even more.

By: Miyagi

Miyagi — Thu, 25 Apr 2024 14:51:30 +0000

In reply to David Bloch.

Exactly. There is always someone willing to sell at practically no profit, in order to break into a market and disrupt the profits of an established business.

By: David Bloch

David Bloch — Thu, 25 Apr 2024 14:30:43 +0000

I assume that these tariffs will apply to cars and trucks, which are showing up on Mexican roads at an incredible rate. Chinese government subsidies allow dealers to undercut cars from other countries (including Mexico), and it really is unfair competition. I’m not a tariff fan, but this is a proper reason to apply them. Yes, it might mean some things cost more; it should also mean a lot more Mexicans will have money with which to buy them.