Mexican President Claudia Sheinbaum said she does not expect U.S. President Donald Trump to announce a 25% tariff on Mexican goods on Feb. 1.
“We don’t expect it will happen,” Sheinbaum said. “But if it does, we have our plan.”
She did not share details of the plan but said Mexico’s Foreign Ministry is handling discussions with the U.S.
Tariff Fears Grow as Feb. 1 Nears
Trump has suggested he may impose tariffs on Mexico and Canada to push for stronger action on:
- Reducing migration to the U.S.
- Stopping drug smuggling.
- Blocking China from using Mexico to sell cheap goods in the U.S.
A 25% tariff could put the $800 billion trade relationship between the U.S. and Mexico at risk. Some experts warn it could also hurt the U.S. economy by raising prices and disrupting supply chains.
Mexico’s Response to U.S. Demands
In recent weeks, Sheinbaum’s government has:
- Cracked down on Chinese imports to promote local production.
- Introduced incentives for Mexican industries until 2030.
- Continued detaining migrants and keeping them away from the U.S. border.
Will the Tariffs Happen? Experts Say It’s Uncertain
Analysts at Deutsche Bank said it is still unclear if Trump will move forward with the tariffs. They also noted that the Mexican peso has not yet been affected by tariff fears.
“Disrupting this trade relationship could hurt economic growth and increase inflation in the U.S., creating political risks for Trump,” Deutsche Bank wrote in a report.
Sheinbaum also announced that Mexico will release:
- An electricity plan on Feb. 6.
- A strategy for state-owned oil company Pemex on Feb. 12.
With the Feb. 1 deadline approaching, all eyes are on Trump’s next move.
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