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Weekly Report - 17 July 2025 (WR-25-28)

Mexico-US trade and security tensions rise

US President Donald Trump has significantly escalated trade tensions with Mexico in the past week, despite ongoing talks between the two countries. On 11 July Trump announced he would implement 30% tariffs on Mexican imports, up from the current levy of 25%, from 1 August, saying the country had not done enough to combat drug cartels. Three days later, 17% anti-dumping duties came into force on fresh tomatoes from Mexico, which the US says have previously been sold at unfair prices. The tariff announcements represent yet another test for Mexico’s President Claudia Sheinbaum and her cool-headed approach to Trump. She will hope her administration can achieve better conditions for Mexico in subsequent talks. However, the mounting trade pressure will open her government up to criticism from the political opposition, particularly with regards to her security strategy.

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