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 Mexico’s Minister of Economic Relations on US-China Tensions**
**Editor:** Thank you for joining us today, Minister. You mentioned that the tension in economic relations with China will play a central role in the U.S. strategy moving forward. Can you elaborate on how these tensions are impacting Mexico’s economic landscape?
**Minister:** Absolutely, and thank you for having me. The economic rivalry between the United States and China creates a complex environment, and we recognize that the U.S. is our primary economic partner. As tensions rise, we’re strategically positioning ourselves to mitigate any potential fallout that could arise from this competition.
**Editor:** That sounds crucial. You also highlighted Mexico’s role as one of the main exporters to the U.S. How do you see this impacting Mexico’s economy amidst these dynamics?
**Minister:** Indeed, our export relationship with the U.S. is stronger than ever. Mexico has become a key player in supply chains, especially for industries seeking to reduce their dependence on China. This presents opportunities for us to enhance our trade agreements, attract investment, and strengthen our manufacturing sectors.
**Editor:** What steps is Mexico taking to strengthen its economic ties with the U.S. in light of these tensions?
**Minister:** We are actively engaging with U.S. officials to ensure a smooth trade flow and enhance cooperation in areas like technology and sustainable energy. Additionally, we are exploring ways to bolster regional collaborations, which can help cushion the impact of any disruptions caused by U.S.-China tensions.
**Editor:** Those sound like proactive measures. Do you believe that these tensions might lead to a re-evaluation of global supply chains in the long term?
**Minister:** Yes, I think we will see a significant shift as companies reassess their supply chains to mitigate risks. Mexico is well-positioned to benefit from this re-evaluation, as we offer proximity to the U.S. market and incentives for companies looking to diversify their operations away from China.
**Editor:** Thank you, Minister, for sharing your insights. It’s clear that Mexico is taking a strategic approach to navigate these challenging economic waters.
**Minister:** Thank you for having me. We are committed to fostering strong economic relations with our partners and ensuring that Mexico continues to thrive amid global challenges.