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Trump Vows Rapid, High Tariffs on Mexico Unless Illegal Immigration Ends

WASHINGTON – US president Donald Trump, in response to a wave of illegal immigrants on the southern border, promised on May 30 to impose a tariff on all goods from Mexico, beginning at 5% and increasing much more until stop the flow of people, Reuters said Friday.
The Trump movement dramatically intensifies its battle to control a wave of tens of thousands of asylum seekers, including many Central American families fleeing poverty and violence, who have joined their pledges to make it harder to seek refuge.
The announcement shook investors who feared that the worsening of trade friction could hurt the global economy. The Mexican peso, the futures of the US stock index. US and Asian stock markets fell in the news, including the actions of Japanese automakers that ship cars from Mexico to the United States.
The president’s decision, announced on Twitter and in a subsequent statement, was a direct challenge for Mexican President Andrés Manuel López Obrador and surprised the Mexican government on a day when a formal process to ratify a trade agreement with the United States began and Canada (USMCA).
It increased the risk of devastating economic relations with the largest trading partner of US goods. Mexico, which depends heavily on cross-border trade, came to that classification as a result of Trump’s trade war with China.
The measures against Mexico open a new front in the trade and, if implemented, are destined to trigger reprisals that would affect the industrial, agricultural and industrial states that support Trump.
Higher rates will start at 5% on June 10 and increase monthly by 25% on October 1, unless Mexico takes immediate action, he said.
“If the crisis of illegal migration is alleviated through effective actions taken by Mexico, which will be determined in our sole discretion and criteria, the rates will be eliminated,” Trump said.
López Obrador responded in a letter he posted on Twitter, describing Trump’s policy of América Primero as “a fallacy” and accused him of turning the United States into a “ghetto,” which stigmatized and mistreated migrants.
“President Trump, social problems are not resolved by taxes or coercive measures,” he wrote, adding that a delegation led by Foreign Minister Marcelo Ebrard would travel to Washington on May 31. He did not threaten to retaliate, saying he wanted to avoid confrontation.
López Obrador rejected Trump’s assertion that Mexico allowed immigration to pass through “passive cooperation,” and said: “You know that we are fulfilling our responsibility to prevent (migrants) from moving through our country, as much as possible and without violating human rights.”
Determined to avoid a rupture in the most important bilateral relationship in Mexico, since Trump threatened to close the busiest land border in the world due to the increase in migrants, the López Obrador government has drastically reinforced controls on the movement of migrants, arresting and deporting thousands in recent months, asking for help from the United States to address the root causes.
“We are at a good moment to establish a good relationship (with the United States) and this is like a cold rain,” said Mexico’s Vice Minister of Foreign Affairs for North America, Jesus Seade, who was in the Mexican Senate delivering the USMCA commercial agreement. For its ratification shortly before the news was known.
(Sahar News Monitoring Desk)

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