Mexico Warns of Retaliation Against Proposed Tariffs

Mexican President Claudia Sheinbaum and Economy Minister Marcelo Ebrard have issued strong warnings against a proposed 25% tariff by U.S. President-elect Donald Trump, which they claim could lead to the loss of 400,000 jobs in the U.S. and significantly increase vehicle prices. Ebrard described the tariffs as 'a shot in the foot' for the U.S. economy, particularly affecting major automakers like Ford, General Motors, and Stellantis, whose operations in Mexico would be severely impacted. Both officials emphasized the need for regional cooperation over retaliatory measures, predicting that such tariffs would trigger counter-tariffs from Mexico. Business leaders in the border region also expressed concern, estimating that up to 150,000 jobs could be at risk due to the uncertainty created by Trump's tariff threats. Sheinbaum stated that economic threats would not effectively address drug and immigration issues, advocating instead for mutual understanding and collaboration. The proposed tariffs are seen as a potential violation of existing trade agreements, raising fears of a new trade war between the U.S. and its North American partners.