Home / Metal News / Copper / Mexican President G20 refuses to attend Trump's warning to Mexico: raise taxes without agreement
Mexican President G20 refuses to attend Trump's warning to Mexico: raise taxes without agreement
Jun 6,2019 15:32CST
The content below was translated by Tencent automatically for reference.

SMM6, June 6: recently, the United States and Mexico this pair of neighbors fell out.

On May 30, President Trump announced that he would impose a tariff of 55 on Mexican imports from June 10 until illegal immigrants stopped entering the United States.

On June 4, Mexican President Lopez announced his absence from the G20 summit in Osaka, Japan, in late June, meaning that the heads of state of the United States and Mexico will not meet for negotiations in the near future.

On June 5, the United States and Mexico began negotiations on immigration and tariffs. According to CNBC, the United States and Mexico have not reached an agreement on immigration and tariffs.

On the same day, Moody's downgraded Mexico's outlook from stable to negative, confirming it as AAA, while Fitch downgraded Mexico's rating from BBB+ to BBB, to stable.

Trump said on his Twitter feed on the 5th that the negotiations are making progress, but that they are not enough. Negotiations will continue tomorrow, and if no agreement is reached, the 5 per cent tariff will begin on Monday and be increased on a monthly basis. 'The higher the tariffs, the more companies will move back to the United States, 'Mr. Trump said.

The United States and Mexico, as neighbors, have always been at peace with each other. The Mexican economy is heavily dependent on the American market, and the United States can consume cheap goods through Mexico. After Trump took office, the North American Free Trade Agreement was overturned in one fell swoop, and the United States, Canada, and Mexico resumed trade negotiations for more than a year, and finally signed a new three-nation agreement between the United States, Canada, and Mexico at the end of 2018. As a result, the United States scrapped taxes on steel and aluminum products in Mexico and Canada in May. The resurgence of the trade war is mainly due to the problem of South American refugees. Mexico has done nothing to prevent refugees from entering the United States. In May, the United States arrested 133000 illegal immigrants at the border, and Trump launched a tariff war against Mexico in anger. To force Mexico to do more on the issue of refugees.

There is a world of difference between South America and the United States and Canada in North America. South America has always been economically backward, politically unstable, crime-prone, people poor and unable to meet their basic living needs. So he traveled thousands of miles north to try to enter the United States. Since early 2018, more than 150000 refugees from South American countries have tried to enter the United States illegally, 61 per cent of them from Honduras. Since the political change in 2009, the number of illegal immigrants seeking asylum in the United States has increased 15-fold to a total of more than 180000. However, these refugees were blocked by Trump from the high wall, and in order to deal with all parents who illegally crossed the border, the US government even forcibly separated them from their children, and the policy of zero tolerance for illegal immigrants drew strong criticism from the Democratic Party. Trump, on the other hand, accused the Democratic Party of weakness on immigration and worried that immigration would bring unemployment and crime to the American people.


Whenever I see pictures of refugees with their families, I can't bear it. Peace is still so out of reach today in the 21st century.


For queries, please contact Frank LIU at liuxiaolei@smm.cn

For more information on how to access our research reports, please email service.en@smm.cn

Related news