President Donald Trump announced that he will impose tariffs of 5% on all products entering from Mexico, as long as the flow of migrants does not stop.
“On June 10, the US will impose tariffs of 5% on all goods coming from Mexico, until all illegal migrants who come from Mexico stop,” the president tweeted.
The 5% rate will increase until the “problem” is remedied, he added.
If until July 1 the US Administration considers the results insufficient, the tariffs will grow up to 10%. Then, there will be an increase in rates of 5% each month, until reaching 25% in October.
“Mexico has not yet taken steps to dramatically reduce or eliminate the number of illegal aliens crossing its territory into the United States,” the White House said in a statement
The White House said that tariffs will remain high and US companies located in Mexico could return to the US. to manufacture its products and goods if Mexico does not act.
“Companies moving to the US will not pay the rates or be affected in any way,” the White House warned.
Trump plans to make the announcement on Friday, but some advisers to the White House are trying to convince him not to do so, arguing that such a threat would affect financial markets and could jeopardize the approval of the UMSCA trade agreement.
Mexico’s Undersecretary for North America, Jesús Seade, responded to Trump’s announcement by stating that if the US imposes new tariffs on Mexico, the country will respond “energetically”.
