Essay about Mexico

Can it be in America’s Interest to Economically Destabilize Mexico?

The Struggle of the North

The speculation about America targeting to ruin the economy of Mexico started when Donald J. Trump, the newly elected president of the United States proposed to impose a 20% tariff on all imports coming from Mexico (Jones). You can find things that we must consider before we can consent to speculate or not. Included in these are America, Mexico, and the economic relationship between both of these countries.

First, let us know America with its newly elected president. During the inauguration, Trump has promised to place America first. However , there are numerous surprising items that he has done. One of them was the withdrawal of their state from the Trans-Pacific Partnership. He also threatened to withdraw from NAFTA if renegotiation fails (Snavely). Still another is the construction of a wall on the southern border of America. It separates other region from Mexico. That he even insisted that Mexico will be investing in it (Christodoulou and Lockett).

Next, we have to know the condition of the Mexican economy. The country is famous for assembling parts in to marketable final products such as for example cars along with other machinery. Additionally , high-class apparels that only rich people can afford may also be being stated in Mexico. The biggest part of its exports would go to the United States. Based on the World Bank, its economy has increased throughout the year 2015 up to early 2016 but is foreseen to have a decreasing trend.

Mexico is the 3rd largest exporter of goods to america (U. S. Trade Representative). These two countries are partners and have a very strong trading relationship. From basic needs, such as foods, to luxury, such as cars, Americans get all of these from Mexico. It's very unlikely for Trump and America to damage the Mexican economy. I really believe that Trump proposed the 20% tariff on Mexican goods primarily because of the disapproval of the Mexican president to cover a reimbursement fee that'll be used for the establishment of the wall. Since Trump badly wished to be a man of his words and must make Mexico purchase the wall in any possible way, that he imposed the tariff. If Mexico will suddenly raise the selling price of its goods, this would lead to American citizens shifting to non-Mexican products. Mexican economy will be poorly affected and something course of action to take would be to sacrifice a share of these profits to keep up the value, or just slightly increase it.

Ergo, it is not in the us interests to destabilize the economy of Mexico. Trump just introduced a way to have an additional government fund to allocate for the wall being built. The current events are only because of change in president of a powerful state. Trump has different views and plans for his country. If his way will cause injury to other countries, it is not intended but just an effect of his attempts in improving America.

Works Cited

Jones, Charisse. “Beer, Snacks and Cars: What sort of 20% Mexico Tariff Might cost U. S. Shoppers. ” USA Today, Gannett Satellite Information Network, 27 Jan. 2017, www.usatoday.com/story/money/2017/01/26/americans-may-pay-more-beer-snacks-and-cars-build-border-wall/97108358/. Accessed 20 Mar. 2017.
“Mexico Overview. ” Mexico Overview, World Bank, 26 Sept. 2016, www.worldbank.org/en/country/mexico/overview. Accessed 20 Mar. 2017.
Christodoulou, Holly, and Jon Lockett. “What May be the Wall and contains President Donald Trump abandoned Trying to Make Mexico Shell out the dough? ” Sunlight, The Sun, 1 Mar. 2017, www.thesun.co.uk/news/2179808/donald-trump-the-wall-mexico-border-cost-congress/. Accessed 20 Mar. 2017.
Usa Trade Representative. “Mexico. ” Mexico | United States Trade Representative, US Government, 30 Jan. 2017, ustr. gov/countries-regions/americas/mexico. Accessed 20 Mar. 2017.
Snavely, Brent. “Trump Makes It Official: He Will Renegotiate NAFTA. ”USA Today, Gannett Satellite Information Network, 23 Jan. 2017, www.usatoday.com/story/money/cars/2017/01/22/trump-makes-official-he-renegotiate-nafta/96918094/. Accessed 20 Mar. 2017.