Mexico City, Mar 5 (UNI) Washington's decision to impose tariffs on products from Canada and Mexico represents a "step backward" in trade ties, the Employers Confederation of the Mexican Republic (Coparmex) said Tuesday, as the tariffs took effect.
In a statement, the business group said that the measure contradicts the principles of the existing free trade agreement between the three North American countries, the United States-Mexico-Canada Agreement (USMCA), and creates uncertainty in productive sectors.
"The impact of this measure will be significant," Coparmex warned of the 25-percent tariffs on Canadian and Mexican imports into the United States.
The trade measure could plunge Mexico into a recession, devalue the currency to above 22 pesos to the U.S. dollar and raise costs for companies, it said.
The tariffs "attest to a lack of commitment to cooperation and respect for trade agreements by the United States government," the group added.
In light of this, the business organization called on the Mexican government to strengthen market diversification and reduce dependence on a single country through strategies that promote competitiveness and the growth of Mexican companies in international markets.
"The stability of the economic relationship with our main trading partners must be a priority, but always under fair and reciprocal conditions," said the group.
U.S. President Donald Trump has threatened Canada and Mexico with trade tariffs in various sectors, saying they have not done enough to contain the flow of migrants and illegal drugs into the United States.
In February, after phone conversations with Canadian Prime Minister Justin Trudeau and Mexican President Claudia Sheinbaum, Trump suspended the tariffs for a month to give them time to address these issues but later said the tariffs will go into effect as planned because not enough has been done.
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