US Tariffs / Mexico Tariffs on China

US Tariffs. Claudia Sheinbaum emphasized her goal of reaching an agreement with the US government to eliminate tariffs before the deadline set by Donald Trump, which was given to achieve results in combating drug trafficking in Mexico. “Our aim is to secure significant agreements on the matter by Friday, Feb. 28. I will seek a call with the President of the United States if necessary.”

Trump announced a 10% across-the-board tariff last week, in addition to the 25% tariffs on steel and aluminum introduced on Feb. 10. Previously, he had announced a 25% tariff on Mexican and Canadian imports, though negotiations, originally set to conclude earlier, have now been extended until March 4. Furthermore, President Trump has instructed federal agencies to explore the implementation of new reciprocal tariffs, a key element of his broader trade agenda. 

Mexico Tariffs on China. Claudia Sheinbaum clarified that the imposition and continuation of tariffs on China are not conditions from the Donald Trump administration but are part of Mexico's broader objective to reach an agreement that ensures no tariffs are imposed between Mexico and the United States. "This is not a condition from the United States. These tariffs have been in place since López Obrador's administration. The key issue is to reach an agreement that safeguards and ensures the absence of tariffs between our countries, allowing the trade agreement to persist."

The Trump administration has urged Mexico to impose tariffs on Chinese imports as part of ongoing negotiations to prevent the United States from imposing duties on Mexican goods. While Mexico did not commit to specific actions regarding China, both parties agreed to establish a bilateral working group to continue discussing trade and tariff policies. Guillermo Barba, Chief Economist, Top Money Report, stated that Mexico has limited options and will likely need to align with US demands. "Mexico has little room for maneuver. Continued cooperation with the United States, which essentially means negotiating within the framework of Trump's demands, will likely require the country to impose tariffs on Chinese imports," Barba explained.

Fentanyl. President Claudia Sheinbaum announced that the National Institute of Public Health will carry out a study on fentanyl consumption in Mexico, despite it not being one of the most commonly used substances. She also disclosed that one of the key issues she has brought up with the US government involves conducting a thorough investigation into the entry points of fentanyl precursors and, more importantly, identifying where fentanyl and its most common form are being manufactured.

"Why is it always stated that fentanyl enters through Mexico and Canada? Why is an investigation not available into whether it enters through the United States? Where are the precursors being produced? How do we engage with the countries that manufacture these precursors to ensure proper controls? Who is responsible for selling fentanyl in the United States? Where is the money laundering associated with these operations happening?"

As part of its ongoing efforts to reduce US pressure on Mexico, the government has, as of 2024, seized more than 10,340 firearms and apprehended 15,640 individuals linked to drug trafficking. Additionally, Sheinbaum proposed a constitutional reform that classified the production, distribution, and sale of fentanyl and other synthetic drugs as grave criminal offenses.