Mexican President: Will Respond "Prudently" To Tariff Threat, We Want Dialogue

Mexican President: Will Respond

Mexican President: Will Respond "Prudently" To Tariff Threat, We Want Dialogue

President Donald Trump says he will impose a 5% tariff on Mexican goods beginning June 10.

President Donald Trump blasted Mexico for taking advantage of their relationship with the US on Twitter and called on the Democrats to act on addressing the immigration crisis at the southern border.

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"America has had enough!" he added.

He also suggested the tariffs were an immigration issue, separate from the trade deal the United States is trying to negotiate with Mexico and Canada. The move looks to serve as punishment to Mexico for effectively letting refugees transit its borders to seek asylum in the United States.

DHS intends to increase the number of returns under "Remain in Mexico", a spokeswoman said on Saturday, saying there were plans to expand the program, although new crossings had not been officially designated.

The measure would open yet another front in a global trade war that has pitted the USA against allies like Canada, Mexico, Europe and Japan, and deepened divisions with countries like China. If Mexico doesn't stem the flow of immigrants to the United States, the administration has warned, the tariffs could eventually increase up to 25 percent.

Herring is asking Washington to move forward with ratification of the U.S. -Mexico-Canada trade agreement and preserve zero-tariff pork trade in North America for the long term. According to USA government estimates, dairy sales to Mexico and Canada should grow by $277 million once USMCA is fully implemented.

Lopez Obrador said he expects "good results". The trade wars heated up within the last 18 months, impacting both USA imports and exports. Trump would likely be able to declare the tariffs a victory even in the absence of a major policy shift from Mexico because of seasonal differences in migration.

Trump set off shock and dismay throughout the US business community and from Republicans in Congress with his tariff threat.

Mexico has returned tens of thousands of people fleeing Honduras, Guatemala and El Salvador this year, paying for shelter, meals, transportation and medical aid, Foreign Minister Marcelo Ebrard told reporters on Monday.

Department of Homeland Security acting Secretary Kevin McAleenan said the tariffs would not worsen Mexico's economic situation and drive more migrants over the border but instead incentivise Mexico to curtail the flow of Central American immigrants that cross through on the way to the US.

"He's been known to play with fire but not live hand grenades", Kennedy said of Trump.

Mulvaney said Kushner and Secretary of State Mike Pompeo would meet with Mexican representatives in Washington this week, as would Lighthizer, to spell out what the Mexicans could do to avoid the tariffs. "We appeal to President Trump to reconsider plans to open a new trade dispute with Mexico".

The jeans maker said the proposed tariffs would have a negligible impact on the company this fiscal year and that it would be able to substantially mitigate the effects of the levies in fiscal 2020 and beyond.

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