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Mexico & Nafta - January 2017 (ISSN 1741-444X)

Trump’s economic threat begins to materialise

With just over two weeks to go before he assumes the presidency of the US, Donald Trump has once again shown that he is determined to adopt economic policies aimed at boosting the US manufacturing sector at Mexico’s expense. Trump has succeeded in pressurising US automobile manufacturer, Ford Motor Company, to cancel its plans to invest over a billion dollars to expand its production operations in Mexico and instead concentrate on overhauling its operations and safeguarding jobs in the US. Not content with that, Trump has threatened to impose import taxes on any vehicles produced in Mexico for the US market. Faced with such a threat, the Mexican government is looking for ways to establish a positive relationship with the incoming US administration.

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