Mexican President Claudia Sheinbaum hinted that the country could respond to Donald Trump's tariff threats with tariffs, warning that the economic consequences would be unimaginable.
After the US President-elect vowed to impose a 25% tariff on all goods from Mexico and Canada, Sheinbaum on Tuesday read a letter she intended to send to Trump, stating that cooperation would be a better way to curb migration and the flow of illegal drugs.
"After one tariff, there will be another tariff in response, so on and so forth, until we put ordinary companies at risk," Sheinbaum said at a daily press conference in Mexico City. "Mexico's main exporters to the United States are General Motors, Stellantis, and Ford Motor Company, which came 80 years ago. Why impose tariffs that put them at risk?"
Claudia Sheinbaum spoke at a press conference in Mexico City on November 6.
Mexico's auto industry and factories exporting electronics, plastics, and other manufactured goods to US consumers are particularly vulnerable to trade conflicts. With a decrease in import share in recent years, this Latin American country has become the largest trading partner of the US. The Mexican government estimates that the total trade between the two countries currently reaches 80 billion US dollars annually.
Sheinbaum stated that in her letter she called for joint discussions on immigration and fentanyl issues mentioned by Trump in his threats, and added that she hoped teams from both sides could meet soon.