Retaliatory Tariffs: Mexico's Response to Trump's Economic Moves
Retaliatory Tariffs Announced by Mexico
In response to President Trump implementing 25 percent tariffs on goods from Mexico, President Claudia Sheinbaum declared that she will announce retaliatory tariffs on Sunday. During a press conference, she emphasized her objective isn’t to initiate an economic confrontation but to acknowledge the potential damage to U.S. citizens and companies.
Escalation of Trade Tensions
The trade war intensified when Trump’s tariffs on Canadian, Mexican, and Chinese imports took effect this past Tuesday. Initially delayed due to negotiations with Sheinbaum and Canadian Prime Minister Justin Trudeau, the tariffs aimed at securing U.S. borders.
- Mexico’s peso fell by 1.5 percent against the dollar.
- Canada retaliated with tariffs on $30 billion in goods.
- China announced 15 percent tariffs on various U.S. imports.
Market Reactions
The S&P 500 experienced a significant downturn, dropping 1.76 percent, marking the largest decline since December. The Dow Jones fell nearly 650 points, while the Nasdaq Composite saw a decrease of 2.64 percent, fueled by a nearly 9 percent drop in Nvidia stock.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.