Wednesday, January 8, 2025

Sheinbaum challenges tariff chatter with hard data: Tuesday’s mañanera recapped

President Claudia Sheinbaum’s first priority at her Tuesday morning press conference was to respond to Donald Trump’s threat to impose a 25% tariff on all Mexican and Canadian exports to the United States on the first day of his second term as U.S. president.

“Before moving on to the issue of health care, I want to share with you, with everyone that’s watching us, a letter that I’m sending today to President-elect Donald Trump,” Sheinbaum said.

Donald Trump
Donald Trump on Monday pledged to impose a 25% tariff on all Mexican and Canadian exports to the United States on the first day of his second term as U.S. president. (Facebook)

The president read out her entire letter, which in its penultimate paragraph said that a U.S. tariff on Mexican exports would be met with a Mexican tariff “in response.”

(Click here to read Mexico News Daily’s report on Trump’s latest tariff threat and Sheinbaum’s response.)

During her Q&A session with reporters later in her mañanera, Sheinbaum said she believed that Mexico would reach an agreement with the United States to stave off the 25% tariff Trump pledged to impose on Mexican exports to the U.S.

Imposition of tariffs is senseless, Sheinbaum asserts 

After a reporter described Sheinbaum’s plan to impose a retaliatory tariff on U.S. exports to Mexico as “potent,” the president expressed confidence that Mexico and the United States would reach an agreement to avert the 25% duty promised by Trump — as occurred during the first Trump administration.

“I have a vision that there will be an agreement with the United States and with President Trump,” she said.

“What we want to say in the letter, and what we’re going to demonstrate tomorrow in more detail, is that raising tariffs on Mexico — which would also mean raising tariffs on this side [of the border] — would lead to … hurting companies that work in Mexico and the United States,” Sheinbaum said.

“And there are United States companies that have been in Mexico for decades,” she said.

“… What we’re saying today is what is the sense of having tariff upon tariff upon tariff when in the end that will lead us to a loss of competitiveness in North America,” Sheinbaum said.

At her regular daily press conference, Sheinbaum shared a letter responding to Donald Trump's threat.
At her regular daily press conference, Sheinbaum shared a letter responding to Donald Trump’s threat.
(Mario Jasso/Cuartoscuro)

The president also said that the Mexican government would provide “information” to the United States about the “very significant” efforts it has made to stem the flow of both migrants and narcotics across the Mexico-U.S. border.

A letter for Trudeau, too 

Sheinbaum told reporters that she would also send a letter on Tuesday to Canadian Prime Minister Justin Trudeau, who said last week that Canada “may have to look at other options” beyond the trilateral USMCA free trade pact because of the “decisions and choices that Mexico has made” with regard to Chinese investment.

In her letter to the Canadian leader, the president said she pointed out that Canada imported electric vehicles (EVs) from China worth US $1.6 billion last year.

Canada’s outlay on Chinese EVs in 2023 — before the Canadian government imposed a 100% tariff on those vehicles — showed “exponential growth,” Sheinbaum said.

In the case of Mexico it’s much less,” she said.

Referring again to the content of her letter to Trudeau, Sheinbaum said that Chinese investment in Mexico’s auto sector is much lower than United States and Canadian investment in the same sector.

Between 2006 and 2024, U.S. and Canadian companies invested more than $33.35 billion in Mexico’s auto sector whereas Chinese investment totaled just $590 million, she said.

Sheinbaum asserted that the data on Canada’s importation of Chinese EVs in 2023 and the comparatively low levels of Chinese investment in Mexico’s auto sector is not widely known.

She said that “of course” Mexico has a relationship with China, but stressed that it favors trade with countries with which it has a free trade agreement, such as the U.S. and Canada.

Sheinbaum said last Friday that her government is aiming to reduce reliance on Chinese goods via an import substitution plan.

By Mexico News Daily chief staff writer Peter Davies ([email protected])

30 COMMENTS

  1. As a ” Gringo” who visits Mexico EVERY year,I do not like the fact that Mexico DOES buy battery vehicles from communist. China who also sell deadly. pills to Mexico!!But a 25% terrif plan from Tramp hurts both countries.When the U.S. gets it’s DRUG addiction under control Everyone will be better off.

    • And, no more cartels. No person makes stuff for which there is no market. Why do sooooo many Americans have to use drugs? Therein lies the problem and the solution.

  2. With Trump’s tariff plan Americans will pay more for groceries, cars, auto parts, shoes, clothing, etc. He will just fuel inflation. Second, drug addiction is an American choice (knowing they are addictive) It’s virtually impossible to stop the American hunger for recreational drugs. There are plenty of countries willing and able to provide them. It appears that the Mexican president and Canada’s prime minister are the only adults in the room. The White House must sit and work out solutions, not create more problems. I am sure Sheinbaum is working hard to expand exports to other countries.

    • She is indeed and everyone should read her letter which is in Spanish posted above. She talks facts, not falsehoods and hyperbole.
      Furthermore Donald Trump continues to be misunderstood and far from racist. The never Trump and TDS (Trump deranged syndrome) attitude doesn’t help the situation. Give him and peace a chance.
      Trump is a negotiator and is looking out for the US, as is President Sheinbaum. Let them work things out.

      • So give tariffs a chance to do their damage? Trump is an excellent bully/negotiator when he sees a path to personal profit.

  3. I note with approval the increasing comments about the daily reports of the Presidential daily briefing. Readers have an interest in Mexico and these daily summaries are helping your readership know more about the actions of the government which affect us all. Please keep up this important daily summary.

  4. We humans live by hope. Effort, sure, but hope is the catalyst. I think CS is the right President for Mexico right now, and her calm assurance that all can be well will resonate on all sides of the border. Clearly, she is feeling the power that Mexico’s continuing economic and political maturity is bringing to this country. And I think she will use that power carefully and sensitively, not only in Mexico’s relations with the Colossus del Norte, but with Mexico’s southern neighbors.

    Ah, there’s that hope thing again!

  5. Nobody is going to put Trump in his place especially Shienbaum she’s low IQ Socialist trained at Berkeley California Tru.p won’t do Tariffs he just wants to stop these illegals from the rest of the world coming thru Mexico USA need to deport that criminals the good ones will stay

    • “…the good ones will stay.” “The good ones” being those who are docile and subservient to white America. Those who will accept persecution, discrimination, and exploitation for the privilege of doing the work that Americans don’t want to do.

  6. Trump is going to do what he is going to do with his gang of unqualified appointees. Americans will have proof at the end of his term that his economic and social programs, based on little more than his twisted “gut” ideas. will set us back domestically and internationally. Thank goodness we have thinking adults north and south of us.

  7. Time , after Trump is inaugurated will tell if President Sheinbaum is a “smart” women president and so will all of Mexico. American’s can afford to pay more for groceries, car’s, auto parts and etc. BECAUSE they make “higher” wages ($35 to $65/hr.) versus the “lousy” low wages” paid in Mexico. That is the only reason why businesses want to go to Mexico for the “low wages” that are “screwing all the people” and especially the poor” who live in poverty.
    All I can say, is “watch your step Ms. Sheinbaum, because it looks like you are “treading in dangerous waters”, when you are dealing with Trump. Remember Trump is not like past Democratic presidents, “Obama”, “Clinton” and Joe Biden”, who all three “jump in bed” with Mexico. So far, every comment you have made in public Ms. Sheinbaum, you have retracked your past statements and comments. Don’t “blow” the already “poor” and “fraudulent” relationship that barely exists with President Trump.

  8. The only exception I take is her offer of “the significant efforts we’ve made”. We’re all living in a grown up world now- talk about results please – enough “I tried very hard”

  9. The US needs to take commensurate actions to reduce the number of guns coming into Mexico. Those guns are used for terrorism in Mexico and are purchased in plain site in the US using straw man purchases. Those guns are not separate from the drug trade – they are an essential ingredient.

  10. On the other hand, Trump is smart enough and likes to be challenged. Its only after all points of view are considered that one is in better position to make the right decision. That may not be apparent immediately and a smart person can change course mid-stream

    Please give the new administration a chance. We know for certain that both in the US and Canada they have destroyed the middle class interests for a number of years.

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