Mexico warns that Trump's tariff measures will kill 400,000 American jobs and threatens retaliation

Reuters Mexico City, November 27 - Mexican President Claudia Sheinbaum stated on Wednesday that Mexico would take retaliatory action if U.S. President Donald Trump implements his proposal for a 25% comprehensive tariff, warning that such a move could kill 400,000 jobs in the U.S. and drive up consumer prices.

Sheinbaum said at a press conference: "If the U.S. imposes tariffs, Mexico will also impose tariffs," marking her clearest declaration so far that Mexico is preparing possible retaliatory trade measures against its largest trading partner.

Beside Sheinbaum, Mexican Economy Minister Marcelo Ebrard called for strengthening regional cooperation and integration rather than launching a retaliatory import tax war.

Ebrard commented on Trump's proposed tariffs, stating: "This is self-inflicted harm," noting that these tariffs seem to violate the USMCA trade agreement between the U.S., Mexico, and Canada.

Ebrard warned that the tariffs would lead to massive unemployment in the U.S., a slowdown in economic growth, and effectively double the taxes paid by U.S. companies operating in Mexico, thereby impacting these businesses. "The impact on companies is enormous," he stated.

Ebrard added that the proposed tariffs would particularly severely affect major cross-border exporters in the automotive industry, including Ford, General Motors, and Stellantis.

General Motors and Stellantis declined to comment. Ford did not express its views on how the threatened tariffs would affect its business but stated that the number of cars Ford produces in the U.S. is higher than that of most major automakers