The minister added: “The tension in economic relations with China will occupy a central place in the US strategy.” “We are well aware that the United States is our main economic partner… We will try to some extent to mitigate the upcoming conflict and competition between Washington and Beijing.”
Speaking about the economic relations between the American side and his country, the Mexican minister pointed out that it has now become one of the main exporters to the United States, and expressed his confidence that by Trump’s second presidential term, Mexico will be in a better position to renegotiate the free trade agreement than it was during His first presidential term 2017-2021.
“The current starting point is much better than it was six years ago,” he said.
When Trump was still a presidential candidate for the Republican Party, he said that, if elected, he intended to increase tariffs on products coming from China and other countries.
It is noteworthy that the first period of Trump’s presidency witnessed “trade wars” between the United States and China. In practice, Trump’s successor, current President Joe Biden, has continued this economic confrontation: threats have been issued to increase tariffs on imports of Chinese steel, aluminum, and electric cars.
Earlier, calculations conducted by RIA Novosti confirmed that the main exporter of goods to the United States in the first eight months of 2024 was Mexico worth $335 billion, followed by China ($279 billion) and Canada ($275 billion). At the end of this year, Mexico will maintain its leadership in this area, with a supply volume of $496 billion. China comes in second place with a value of $431 billion.
In July, the White House announced that when importing from Mexico and in order to enter the US market duty-free under the US-Canada-Mexico Free Trade Agreement, stainless steel products as well as aluminum must be of Mexican origin, but if the metals used come from outside Mexico A 25% customs duty and a 10% tax will be imposed on Mexican aluminum goods produced using raw materials from China, Russia, Belarus and Iran.
Source: Novosti
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**Interview with the Mexican Minister of Economy, Rodrigo Orozco**
**Interview with the Mexican Minister of Economy, Rodrigo Orozco**
*Editor:* Thank you for joining us today, Minister Orozco. You’ve recently commented on the relationship between the United States and China, particularly concerning economic tensions. Can you elaborate on your statement regarding the central role of U.S.-China relations in U.S. strategy?
*Minister Orozco:* Thank you for having me. Yes, the tension in economic relations with China is indeed becoming a defining feature of U.S. foreign policy. Given the significant trade and investment ties between the U.S. and China, these tensions will likely shape America’s strategic decisions moving forward.
*Editor:* You mentioned that Mexico recognizes the U.S. as its primary economic partner. How does this recognition affect Mexico’s approach to the anticipated competition between Washington and Beijing?
*Minister Orozco:* Absolutely, the U.S. is our main economic partner, and we have to navigate this landscape carefully. While we acknowledge the complexities and potential conflicts that may arise from U.S.-China tensions, we aim to position Mexico in a way that allows us to mitigate these conflicts. This means strengthening our trade ties with the U.S. while being aware of how global dynamics could influence those relations.
*Editor:* As one of the main exporters to the U.S., how is Mexico preparing to leverage its position amidst this economic rivalry?
*Minister Orozco:* We are actively seeking to enhance our trade agreements and logistics frameworks to ensure that we remain competitive. By deepening our supply chain connections with the U.S., we can provide alternatives to businesses that may be reconsidering their ties with China due to the ongoing tensions. We’re also investing in infrastructure to improve efficiency and reliability in our export processes.
*Editor:* what specific steps is your government taking to support exporters in adapting to these changes in the international landscape?
*Minister Orozco:* We are implementing various initiatives, including financial incentives for exporters and support for innovation in key sectors. Additionally, we are fostering partnerships with U.S. businesses to ensure they recognize the benefits of investing and sourcing from Mexico. Our goal is to create a resilient and adaptive economy that can thrive despite the challenges posed by the global economic landscape.
*Editor:* Thank you, Minister Orozco, for shedding light on these important issues. It seems like a challenging yet critical time for Mexico’s economic strategy.
*Minister Orozco:* Thank you for having me. It’s indeed a pivotal moment, and we are committed to navigating it wisely.
