US President Trump has threatened to impose tariffs on Mexico to put pressure on the country to keep migrants from crossing into the US. Mexico has said the tariffs would only make the migration problem worse.
The country's foreign minister, Marcelo Ebrard, said in Washington that Mexican officials would be presenting their US counterparts with documents detailing the impact of US-imposed tariffs on both countries.
Ebrard also told reporters that Mexico would reject a US idea to designate Mexico as a "safe third country" if it is brought up during this week's talks.
"An agreement about a safe third country would not be acceptable for Mexico," Ebrard said. "They have not yet proposed it to me. But it would not be acceptable and they know it."
Trump's tariffs and who they target
US President Donald Trump has repeatedly boasted that the tariffs he has imposed on trading partners are a financial windfall but, research shows it is Americans who bear the brunt of the impact. DW has an overview.
Image: picture-alliance/newscom/B. Greenblatt
Solar panels and washing machines
The first round of tariffs in 2018 were on all imported washing machines and solar panels — not just those from China. A study by economists from the Federal Reserve Bank of
New York, Columbia University, and Princeton University found that the burden of Trump's tariffs — including taxes on steel, aluminum, solar panels falls entirely on US consumers and businesses who buy imported products.
On Friday May 10, 2019 President Donald Trump imposed sanctions on $200 billion (€178 billion) worth of Chinese goods. The move raised tariffs from 10% to 25% on a range of consumer products, including cell phones, computers and toys. China's Commerce Ministry said it "deeply regrets" the US decision.
Image: Getty Images/AFP/STR
Issues with the EU
In April 2019, the United States said it wanted to put tariffs on $11.2 billion worth of goods from the EU. The list includes helicopters and aircraft from Airbus as well as European exports like famous cheeses such as Stilton, Roquefort and Gouda, wines and oysters, ceramics, knives and pajamas.
Image: Imago/Ralph Peters
EU fights back
The EU imposed import duties of 25% on a $2.8 billion range of imports from the United States in retaliation for US tariffs on European steel and aluminum. Targeted US products include Harley-Davidson motorcycles, bourbon, peanuts, blue jeans, steel and aluminum.
Image: Getty Images/AFP/M. Ralston
European automakers next?
May 17, 2019 is the deadline for President Trump to decide on imposing tariffs on vehicle imports from the EU. According to diplomats, Germany, whose exports of cars and parts to the United States are more than half the EU total, wants to press ahead with talks to ward off tariffs on automakers Volkswagen, Mercedes and BMW.
Image: picture alliance/dpa
India not exempt
India, the world's biggest buyer of US almonds, on June 21, 2018 raised import duties on the nuts by 20% and increased tariffs on a range of other farm products and US iron and steel, in retaliation for US tariffs on Indian steel. Trump said last month that he would end preferential trade treatment for India, which would result in US tariffs on up to $5.6 billion of imports from India.
Image: Getty Images/AFP/R. Schmidt
North American neighbors in tariff spat
Mexico on June 5, 2018 imposed tariffs of up to 25% on American steel, pork, cheese, apples, potatoes and bourbon, in retaliation for US tariffs on Mexican metals. While to the north, Canada on July 1 imposed tariffs on $12.6 billion worth of U.S. goods, including steel, aluminum, coffee, ketchup and bourbon whiskey in retaliation for US tariffs on Canadian steel and aluminum.
Image: Reuters/E. Garrido
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Last month, US President Donald Trump said the US would impose a 5% tariff as part of a strategy to force Mexico to do more to secure the country's borders and keep migrants from crossing into the US.
"Tariffs, along with the decision to cancel aid programs to the northern Central American countries, could have a counterproductive effect and would not reduce migration flows," the Mexican ambassador to the US, Martha Barcena, said.
Kevin Hassett, chairman of the White House Council of Economic Advisers, told reporters that talks had the potential to be "extremely fruitful," while dismissing criticism that tariffs would adversely affect the US economy.
"The tariffs on Mexico are a very big deal for the Mexican economy and a small deal for the US economy," Hassett told the AFP news agency.
During his state visit to London on Monday, Trump tweeted that Mexico should "immediately" stop flows of migrants and drugs, and could do so "if they want."
'Deadly serious'
Trump has issued similar tariff threats in the past only to scale back at the last minute.
However, Mick Mulvaney, the acting White House chief of staff, told Fox News on Sunday that the president was "deadly serious" about imposing tariffs, but did not give any detail on how this would get Mexico to better secure its border.
"There's no specific target, there's no specific percentage, but things have to get better," Mulvaney said.
Economists and business groups have warned that tariffs would impair trade and increase the costs of many Mexican goods that US consumers enjoy. The US is Mexico's top export partner, with an estimated $344.9 billion (€307 billion) in exports in 2018.
