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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What strategies is Mexico implementing to enhance its economic position amid US-China tensions?
**Interview with Javier Martinez, Mexican Minister of Economy**
*Editor*: Thank you for joining us today, Minister Martinez. Given the ongoing tensions in US-China economic relations, how do you view Mexico’s role in this evolving landscape?
*Minister Martinez*: Thank you for having me. The economic tension between the US and China certainly presents both challenges and opportunities for Mexico. We recognize that the US is our primary economic partner, and as China and the US navigate their conflicts, we aim to position ourselves as a reliable and stable partner for American businesses.
*Editor*: You mentioned the importance of mitigating the conflict. What specific steps is Mexico taking to address the potential fallout from these US-China tensions?
*Minister Martinez*: We are actively engaging with American policymakers to ensure that our shared economic interests are prioritized. This includes promoting bilateral trade agreements that can help absorb some of the disruptions caused by the US-China trade war. Additionally, we are focusing on areas where we can enhance cooperation, such as technology and supply chain resilience.
*Editor*: As one of the leading exporters to the United States, how does Mexico plan to capitalize on challenges faced by Chinese exporters in the US market?
*Minister Martinez*: We see this as a unique opportunity to increase our exports. By emphasizing quality and proximity, Mexican goods can fill gaps left by disrupted Chinese supply chains. Moreover, we’re enhancing our logistics and trade facilitation processes to ensure that we can deliver goods to the US market more efficiently.
*Editor*: What long-term strategies do you envision for Mexico in light of the ongoing US-China competition?
*Minister Martinez*: In the long term, we want to strengthen our economic foundations. This includes investing in innovation, encouraging more foreign direct investment, and diversifying our trade partnerships. By doing so, we can reduce our dependency on any single market while enhancing our global competitiveness.
*Editor*: Thank you, Minister Martinez, for sharing your insights on this complex issue. We appreciate your perspective as Mexico navigates these challenging economic waters.
*Minister Martinez*: Thank you! It’s crucial that we remain proactive and adaptable as global dynamics shift.