Some Mexican States Could Be Vulnerable To A Potential Tariff On U.S. Exports

Some Mexican States Could Be Vulnerable To A Potential Tariff On U.S. Exports

However, if the across-the-board tariff does take effect, and if it remains in place for some time--months or quarters, not weeks--there could be a significant impact on the Mexican economy. Mexican states that rely on export-oriented manufacturing--which are generally in the northern and central parts of the country--appear to be the most vulnerable to a direct economic hit. In addition, there's the potential for weaker economic growth at the n…

The Secretary of Economy said that the president's position in managing the situation has been good.

These Mexican states will feel the greatest impact from US tariffs

Ten of Mexico’s 32 states could be highly vulnerable to U.S. tariffs on Mexican products, the U.S. credit rating agency S&P Global Ratings forecast on Thursday. Several Mexican states rely on export-oriented manufacturing, particularly in the north and Bajío (central) regions. In total, around 80% of Mexico’s exports are destined for the U.S., roughly 40% of them in auto manufacturing. A Toyota automotive plant located in the northern city of Ti…

Recently imposed tariffs will have significant consequences for the Mexican economy

The Trump administration’s tariffs on Mexican imports, which took effect today, Tuesday, March 4th, are expected to have significant consequences for the Mexican economy. The 25% tariffs on various goods, including fresh produce, cars, car parts, and electronics, will likely lead to increased prices for these items in the United States. This, in turn, could reduce demand for Mexican exports, negatively impacting Mexico’s manufacturing and agricu…

The observers agree that the cost to Mexico of the tariffs imposed by Trump will depend on its duration, the time they remain in force. If they were permanent, the impact on the Mexican economy would be almost catastrophic. It would be equivalent to a cancellation of the T-MEC and, with it, of the most modern and productive part of Mexico. It would have a severe impact on the exchange rate and, with it, on the size of the foreign debt, both in i…

Trump's tariff measure would impact 20% of GDP in Puebla Faced with the imposition of tariffs by the United States, the state of Puebla faces “moderate exposure”, with an estimated impact of between 10 and 20 percent of its GDP, according to a report by the rating agency Standard and Poor's (S&P). Meanwhile, the government of Puebla estimated that more than 500 companies would be affected by the measure imposed by Donald Trump. According to this…