Trump is told by Mexico’s president that taxes will make prices go up and jobs disappear

After Trump promised to put 25% tariffs on all goods coming from Mexico and Canada, Mexican President Claudia Sheinbaum said on Tuesday that she would write a letter to U.S. President-elect Donald Trump asking for discussion and cooperation.

In a regular news conference, Sheinbaum warned that tariffs would lead to inflation and job losses in both countries. “To one tariff will come another, and so on, until we put our common businesses at risk,” he said.

Additionally, Sheinbaum said she would send the letter later that same day.

The promise was made by Trump on Monday night. He blamed Mexico for not doing more to stop the flow of illegal drugs and undocumented immigrants across their shared border.

Tariffs might go against the USMCA, which is an agreement between the US, Mexico, and Canada that was made when Trump was president in 2020.
In early Tuesday trading, the Mexican peso lost about 1.3% of its value.

According to Sheinbaum, her government has always shown that Mexico was ready to help fight the fentanyl problem in the U.S. She also said that fewer migrants were being caught at the border and that migrant caravans were no longer coming to the shared border.

Criminal groups in Mexico were still getting guns from the U.S., though, Sheinbaum said. For the region’s problems to be solved, she said, people had to work together, talk to each other, and understand each other.

It says, “We don’t make weapons or use synthetic drugs.” She said, “Unfortunately, we have people being killed by crime that is meeting the demand in your country.”