Mexico Rejects US Tariffs and Prepares Countermeasures

Mexican President Claudia Sheinbaum strongly opposed the new tariffs imposed by US President Donald Trump on Mexican imports The twenty five percent tariff which took effect early Tuesday has caused strong reactions from Mexico City

During a press conference Sheinbaum stated that there is no justification for this decision which will negatively impact the economies of both countries She added that no one benefits from such measures

The tariffs were enforced at midnight Washington time after a thirty day negotiation period Mexican officials engaged in talks with US representatives and took measures to strengthen border security Sheinbaum emphasized that Mexico has cooperated with the US on immigration security and combating drug trafficking

In the past thirty days decisive actions have been taken against organized crime and fentanyl trafficking while high level discussions on security and trade have been held Sheinbaum added

The Mexican government is set to announce countermeasures including reciprocal tariffs at an event in Zocalo Square on Sunday Meanwhile the Mexican peso weakened by nearly one percent against the dollar following the news

Canada Responds with Its Own Tariffs

Canada has also reacted firmly to Trump decision Prime Minister Justin Trudeau announced a twenty five percent tariff on US imports worth thirty billion Canadian dollars approximately twenty one billion US dollars effective immediately

Speaking at a press conference Trudeau stated that Canada will not leave this unjustified decision unanswered He confirmed that these measures would remain in place until the US retracts its tariffs

If the US tariffs persist we are actively discussing additional non tariff measures with provincial and territorial leaders he added

Trudeau urged the US administration to reconsider its stance warning that the move threatens North American economic stability These tariffs disrupt a highly successful trade relationship and violate the very trade agreement negotiated by President Trump during his previous term he said

Economic Risks and Trade Relations

Trump justified his decision by accusing Mexico Canada and China of failing to curb the flow of fentanyl and its chemical components into the US However economic analysts warn that his aggressive tariff strategy could push North America into a trade war

Mexico is the largest trading partner of the United States accounting for sixteen percent of total trade followed by Canada at fourteen percent and China at eleven percent Disrupting these relationships could slow economic growth increase inflation and even trigger a recession in Mexico and Canada

The new tariffs also put the US Mexico Canada Agreement USMCA at risk a trade deal originally signed during Trump first administration If tensions escalate further businesses across North America may face significant financial uncertainty

For more details read the full report on Al Jazeera and News24Go