Protecting Mexico-US auto sector integration: Friday’s mañanera recapped

Mexican boxing fable Julio César Chávez and World Boxing Council president Mauricio Sulaimán Saldivar attended President Claudia Sheinbaum’s Friday greeting property league to beforehand the “National Boxing Class” that volition instrumentality spot successful nationalist squares crossed the state connected Sunday, April 6.

Sheinbaum said she didn’t yet cognize whether she would don immoderate gloves herself, but a newsman nevertheless quipped “watch retired Bukele,” a notation to a nascent feud with the president of El Salvador.

President Sheinbaum donned a aureate mitt to beforehand adjacent week’s nation-wide boxing class. (Presidencia)

During her Q&A league with reporters, the president spoke astir United States President Donald Trump’s latest tariff announcement, the value of the USMCA escaped commercialized pact — which is presently nether onslaught by Trump — and the national government’s increasing taxation revenue.

‘Any tariff’ affects Mexico-US car assemblage integration 

Two days aft Trump announced a 25% tariff connected imports of vehicles and car parts, Sheinbaum emphasized the precocious level of integration betwixt the car industries successful Mexico and the United States.

“Mexico is the state with the astir integration with the United States successful the automotive industry,” she said.

She noted that car parts often walk backmost and distant crossed the borderline during the conveyance manufacturing process.

“It’s integration that has been going connected for decades,” Sheinbaum added.

“Obviously immoderate tariff affects that integration and some economies. It affects the United States and Mexico,” she said.

“So of people we don’t hold with this unilateral tariff decision,” Sheinbaum said.

The USMCA is the ‘tool’ that allows North America to vie with China 

Sheinbaum told reporters that her authorities is seeking to fortify the USMCA escaped commercialized pact, adjacent arsenic Trump seemingly adopts much protectionist “America first” positions by the day.

“The United States-Mexico-Canada Agreement is the instrumentality that allows … North America to vie with different regions of the world, peculiarly China, which is besides a ample shaper of cars,” she said.

“What we person ever said is that we don’t vie among ourselves, we complement each different to fortify the economies of the 3 countries,” Sheinbaum said.

The president said the USMCA escaped commercialized woody allows North America to vie with China successful car manufacturing. (BYD)

She said that her government, successful talks with its United States counterpart, is seeking to debar an adverse interaction connected Mexico-U.S. car assemblage integration successful bid to “protect jobs successful Mexico and jobs successful the United States.”

“That’s ever been our argument,” Sheinbaum said.

Economy Minister Marcelo Ebrard said Thursday that the authorities would question “preferential treatment” for Mexico, adjacent arsenic Trump appears determined to alteration what helium sees arsenic an unfair presumption quo successful the United States’ commercialized relationships with most, if not all, of its trading partners.

As Mexico News Daily reported, and Ebrard emphasized astatine the president’s Thursday greeting property conference, U.S. contented successful vehicles assembled successful Mexico (and Canada) volition beryllium exempt from the 25% duty, lowering the effectual tariff connected vehicles made successful Mexico.

Mexico frankincense has already been afforded immoderate “preferential treatment” — that is if (and it’s a large if) the United States’ usurpation of the USMCA — an statement Trump personally signed — tin beryllium ignored.

US automakers volition beryllium astir affected by tariff, Sheinbaum says 

Sheinbaum said that Trump’s car tariff volition impact Mexico much than immoderate different state owed to its precocious levels of integration with the United States successful the accumulation of vehicles.

She added that United States automakers with a beingness successful Mexico, specified arsenic General Motors and Ford, volition carnivore the brunt of the car assemblage protectionism.

U.S carmakers that manufacture successful Mexico — similar Ford and General Motors — volition beryllium hardest deed by the tariffs, Sheinbaum said. (X)

While Mexico continues to question a woody with the United States to instrumentality to escaped commercialized conditions, Sheinbaum reiterated that she is preparing a “comprehensive response” to U.S. tariffs, which are already successful effect for Mexican alloy and aluminum and goods not covered by the USMCA.

She has said she volition unveil that effect connected April 3, the time aft the United States intends to enforce reciprocal tariffs connected the goods it imports from its trading partners astir the world.

Tax postulation ‘going precise well’

A newsman asked the president whether the United States “unilateral decision” to enforce tariffs connected imports from Mexico would impact her government’s economical objectives and infrastructure concern plants.

“Not astatine all. The system of Mexico is precise strong,” Sheinbaum responded.

She told reporters that she looks astatine authorities gross information each time and that taxation postulation is presently 6% higher than it was a twelvemonth agone “in existent terms.”

“I convey the radical due to the fact that they’re paying their taxes,” Sheinbaum said.

“… The information is taxation postulation is going precise well,” she said.

“And, well, we’re gathering 7 much hospitals, the railroads, highways, h2o projects, housing, and that helps the system a lot,” Sheinbaum said.

By Mexico News Daily main unit writer Peter Davies ([email protected])