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DATE PUBLISHED: 2018/6/5 - 13:16:24
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Mexico responds to US tariffs by imposing own duties

Mexican authorities have introduced tariffs on goods and products imported from the United States to respond to US President Donald Trump’s controversial duties on metals.

 A list by the Mexican economy ministry published in the government’s official gazette included a 20 percent tariff on US pork legs and shoulders, apples and potatoes and 20 to 25 percent duties on types of cheeses and bourbon as of Tuesday.

The list also showed that Mexico will impose tariffs of 15 percent to 25 percent on US steel products in a direct response to US metal tariffs which was announced in March and would include 25 percent duty on steel and 15 percent on aluminum.

The gazette said Mexico will open a tariff-free quota for pork imports from other countries to offset the reduction in imports from the US.

Mexico has revealed its intention to impose tariffs on politically sensitive agricultural products from the US.  Authorities said last week that they would impose tariffs on products from congressional districts where Trump’s Republican party is fighting to retain seats in the November elections. Among those states is Iowa, a major pork exporter, where incumbent Representative Rod Blum is struggling to maintain his position.

Trump’s decision to impose tariffs on metals has sparked widespread anger among allies in Europe and in North America. His administration said last week that it will go ahead with tariffs by ending a two-month exemption for Canada, Mexico and the European Union.


This June 1, 2018 file photo shows US President Donald Trump looking on during a military ceremony in Washington, DC, June 1, 2018. (AFP photo)

However, an economic adviser to the White House said Tuesday that Trump may launch talks with Canada and Mexico in an effort to revive some trade mechanisms of the North American Free Trade Agreement (NAFTA) which he abandoned after taking office last year.

Mexico’s rising trade tensions with the US has already affected its economy. Tuesday reports showed peso led losses among major currencies to tumble to its weakest level since February 2017.

 

LINK: http://ansarpress.com/english/10036


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