As the ink dried on the edict removing U.S. import tariffs from Mexican and Canadian steel and aluminum, U.S. President Donald Trump stunned NAFTA traders May 30 with the announcement of a major new trade war against Mexico. The program calls for implementation as of June 10 of a 5% import tariff on “all goods imported from Mexico”, with the stipulation that the duty rate will rise by five percentage points per month up to 25%. The tariffs are intended to force Mexico to stop the flow of migrants to the U.S. border, according to the president’s tweet. Mr. Trump has not yet released his plan to impose tariffs on FIFA to boost the USMNT’s ranking or punitive duties on the Kingdom of the North for intemperate behavior, but we presume these are on his ink blotter as we type. Continue reading Yeeee Haw, more tariffs!
After 22 years of lotus-eating reverie under NAFTA, North American supporters of free trade are now being terrorized by U.S. President Donald Trump and his campaign of tariff-driven protectionist mayhem. Media coverage of Trump’s trade war is focused on China, but Mexico is taking some lumps in this affair as well. The latest moves and counter-moves are taking place against a backdrop of the struggle to push the renegotiated NAFTA free trade agreement forward into law as the U.S. Mexico Canada Agreement, or USMCA. Here are some comments on the various moving parts at this juncture. Continue reading Mexico tied to bumper of U.S. trade wars
A major new trade agreement involving Mexico is raising hopes for juicy new export opportunities in some sectors, although others are wringing their hands. The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), previously called the Trans-Pacific Partnership or TPP and designated the TIPAT in Mexico, entered into effect December 30, 2018 for Mexico and five other of the 11 signatory countries. The initial group of six was joined by Vietnam on January 14. The remaining four continue to pursue parliamentary approval of the deal and are expected to join officially in the near to medium term. The pact updates trade rules and most importantly will reduce import tariffs between four countries in the Americas and seven countries in Asia, including Australia and New Zealand. Importantly, China and the United States are not participating in the CPTPP. Continue reading CPTPP opens trade opportunities for Mexico