Trump Wants to Impose Tariffs on Mexican Imports Over Immigration
“The Tariff will gradually increase until the Illegal Immigration problem is remedied at which time the Tariffs will be removed.”
Someone please tell President Donald Trump to stop with the tariffs! He announced yesterday he wants to impose tariffs on Mexican imports over the migration surge from our southern neighbor.
A tariff of 5% would go into effect on June 10 and could rise to 25% on October 1.
On June 10th, the United States will impose a 5% Tariff on all goods coming into our Country from Mexico, until such time as illegal migrants coming through Mexico, and into our Country, STOP. The Tariff will gradually increase until the Illegal Immigration problem is remedied,..
— Donald J. Trump (@realDonaldTrump) May 30, 2019
….at which time the Tariffs will be removed. Details from the White House to follow.
— Donald J. Trump (@realDonaldTrump) May 30, 2019
The administration told Fox News that Trump wants Mexico “to step up security efforts on the border, target transnational smugglers, crack down on illicit bus lines and align with the U.S. on a workable asylum policy.”
Trump has the power to take this action thanks to the International Emergency Economic Powers Act of 1977, which allows the executive branch to levy tariffs “in the event of a national emergency originating from a foreign source.”
Some think this path will cause problems for the “legislative passage of the United States-Mexico-Canada Agreement (USMCA), sent to Congress by the White House on Thursday, which has aimed broadly to limit tariffs among the three countries.”
Mexican President Andrés Manuel López pushed for Trump to take the dialogue route. From The Wall Street Journal:
“Social problems are not resolved with taxes or coercive measures,” he said. He reiterated his proposal to confront migration through development efforts in Central America, adding that Mexico is doing what it can to curb the flow of migrants across Mexico without violating human rights.
“People don’t leave their homelands for pleasure but out of necessity,” Mr. López Obrador said. “I don’t lack courage, I’m not a coward or timid, but act out of principles. I believe in politics which, among other things, was invented to avoid confrontation and war.”
He asked Mr. Trump to make U.S. officials available to meet with Mexican officials, led by Foreign Minister Marcelo Ebrard, who will travel to Washington on Friday.
The auto industry is the most significant import from Mexico at $93 billion.
The threat of tariffs has already affected the stock market. General Motors and Ford manufacture car parts in Mexico, which led to their shares going down this morning. Other car companies felt it as well. Mazda went down 7% this morning in Asia while Honda fell 3.2%, Toyota down 2%, and Nissan tumbled 3.6%.
Tariffs could also harm other consumer goods like appliances, produce, and apparel. From CBS News:
Other products that the U.S. imports from Mexico include electrical machinery, at $64 billion in imports, and agricultural imports, at $26 billion. Mexico is the largest agricultural supplier to the U.S.
The costs to consumers could be considerable, with Raymond James estimating that U.S. businesses and consumers would shell out $86 billion in tariffs. That’s on top of $62.5 billion in tariffs placed on Chinese goods by the Trump administration, which will go into effect on June 1 Beijing time.
The apparel industry decried the Mexico tariffs, saying it represents “another tax for Americans.” Mr. Trump has continuously misrepresented who pays tariffs, falsely stating that China pays the tariffs. In fact, U.S. importers — businesses like Walmart and Costco — pay the tariffs, with many retailers warning they will need to pass on the costs to consumers by raising prices.
You all know I despise tariffs, but one of my best friends works in the finance industry. He relayed to me that other factors harm our farmers and other sectors more than tariffs. I’ll get into that later when I complete my research.
But the fact is, with those other factors already bogging down people here, we don’t need tariffs on top of it.
However, something tells me this is the business side of Trump. It reminds me of real estate, but the opposite. You usually go in and offer the lowest price you can and the work with the seller to the middle.
It seems like Trump will ask for the moon, bring people to the table, and negotiate downward. We import way too many products, which makes it look like we have a lot to lose, but since we import so much, it makes us a big customer to those countries. In other words, they have a lot to lose as well.
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He has limited options. Tariffs may be the only real leverage he has without legislation. Guess I’ll hold off on buying my new computer.
Yup! If congress will not act on illegal immigration Trump can pound Mexico to deal with the problem.
Agree.
President Trump doesn’t “want to,” he HAS TO to fulfill his duties as President – which in part is to defend the U.S.A. for all enemies – foreign and domestic.
“FLASHBACK June 2018 … Interestingly, people now started to take notice because AMLO is openly telling his fellow countrymen they must flood the U.S. border.”
https://theconservativetreehouse.com/2018/06/22/mexicos-next-president-tells-country-they-must-leave-their-towns-and-find-a-life-in-the-united-states/
He is essentially making Mexico pay for the Wall. At least, a virtual wall.
Amen!
Plus if the Communist/Globalist Mexican Government doesn’t get in line with what’s best for their underclass citizens, Mexico will pay so much that the entire Wall will make Disney Land look like an ant farm in comparision.
Wait, what? Mexican computers?
In fact, U.S. importers — businesses like Walmart and Costco — pay the tariffs, with many retailers warning they will need to pass on the costs to consumers by raising prices.
Incorrect. (But what would you expect from CBS?) This claim is one of those “all other factors remaining constant . . . ” things. But of course the other factors do not remain constant. That’s the whole idea of tariffs—the playing field is altered and the ball rolls in a different direction.
In this case, retailers are obviously not free to “pass on the costs to consumers” as they arbitrarily see fit, because Mexico is not America’s sole supplier.
Wrong …
Right
“Compared with a year earlier, prices of goods were 0.5 percent lower, according to the government’s personal consumption price index. This was the fifth consecutive month of year-over-year deflation.
Prices of durable goods, which are thought to be those most likely to be affected by metals tariffs, are down even more. On a 12-month basis, these are down 1.8 percent. They have been down on an annual basis every month since at least September.”
https://www.breitbart.com/economy/2019/05/31/low-inflation-shows-tariffs-have-not-hurt-u-s-consumers/
Retailers are free to set prices for the items they sell.
This is one way to force emigration reform, and subsequent reduction of collateral damage at both ends of the bridge and throughout. Next, address immigration reform that exceeds the rate of assimilation and integration before planned parenthood.
The simple solution to all this is for Mexico to not have an open border allowing tens of thousands of illegal immigrants to flow in to Mexico.
And of course the easy solution to all this is for Mexico to turn off the tap and stop illegal immigrants coursing through its country to the US border.
Or, from the American border viewpoint, the USA must cease being Mexico’s pressure relief valve. LET the pressure build up. If there’s a revolution, so be it. Our ONLY role should be keeping the warfare from spilling over to our territories.
Uh, Mary, I disagree, and from reading tweets and comments at other sites, there is a significant number of Trump voters that are 100% behind this. This was necessary because it is a action the President has the authority to take that a Federal Judge in Hawaii can’t immediately stop.
That’s why. This is what happens when Democrats, RiNOs and judges tie the hands of a new President who was elected on border reform and cracking down, and yet at EVERY turn he has been thwarted. Pain must be felt by Mexico. Pain must be felt by politicians who are fine with sitting back and enjoying the show. No way GM and GE weren’t on the phone first thing this morning chewing out the Democrat they have on speed dial.
ross perot called.
he wants the ridicule he got over nafta recalled.
I still hear that giant sucking sound.
Just gonna say that I have yet to see any controversial Trump policy that goes against the will of his core supporters. And the would be the 90 percent of his voters.
It took Mexico about five minutes to request an emergency pow wow.
Since the demise of Mueller, the gloves are off.
He relayed to me that other factors harm our farmers and other sectors more than tariffs. I’ll get into that later when I complete my research.
But the fact is, with those other factors already bogging down people here, we don’t need tariffs on top of it.
**************
yet…..here you are posting this w/o completing any research.
I am not a fan of tariffs but if they are the only weapon you have you use them.
All the tools should be available to repair a problem.
Concerning farmers in the Midwest – the rains which have either delayed planting or ruined the growing crops are of greater threat than the tariffs.
true.
but oddly enough its corn (for ethanol) farms affected the worst.
cruel irony??
Unless you’re a farmer in the midwest … I doubt you’re qualified to say …
You’re not qualified to make an intelligent comment, but here you are.
idiot.
https://www.nass.usda.gov/Statistics_by_State/Indiana/Publications/Crop_Progress_&_Condition/2019/cw2019in.pdf
****
Farmers were able to make some progress with
corn and soybean planting before rains arrived later in the week, but progress was still lagging far behind the previous year and five year average.
*********
https://www.agweb.com/agweb-crop-comments/
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s a sampling of what some folks are saying:
5/28/2019 Knox County, IL: It’s no exaggeration…I’ve gotten down to counting the hours between rainfall events. Our soils have been saturated since thaw and almost all the corn was planted into wet ground. The no-till is still firm, but sometimes, the heavily worked ground is more like a soup. Two weeks ago, I was told by a custom applicator that any corn planted before May 1 should be sprayed with a fungicide…and it’s only gone down hill since then. The corn is looking worse by the day and what damn few beans you can find are just treading water. The drown-outs are the biggest and most numerous I can recall…even pattern tile with surface inlets can’t get rid of the water. Furthermore, any corn that somehow got planted on a floodplain is already junk. Can’t predict the outcome for beans just yet, but as for the corn around here, we’re already down to half-a-crop…maybe…and most likely, probably not.
************
just one sample of many reports about the corn planting issues.
‘Someone please tell President Donald Trump to stop with the tariffs!’
Oh please, so your cheap crap in Walmart gets a bit more expensive for a bit. We have a true emergency on our southern border, entire towns in central America are being emptied out with people coming here illegally. They’re bringing diseases that affect our children, overwhelming our social services, hospitals are shutting down, bringing gang members committing the most atrocious crimes on Americans, changing the very fabric of our society, taking up jobs for lower class Americans, and they’re voting illegally and politicians are telling me that they will never be sent back en masse.
Suffer quietly.
“”Oh please, so your cheap crap in Walmart gets a bit more expensive for a bit.””
Plus cars and computers, among other things. Since NAFTA, the volume of trade with Mexico has grown tremendously, as anybody who lives in the I-35 corridor can testify. A 25% tariff on a new car is nothing to sneer at.
Sure, let’s give up our culture so we can have cheaper cars and computers.
I didn’t say or imply anything of the kind. I just pointed out that there’s more involved than just Walmart trinkets, that in any event come mostly from China, not Mexico.
Got it. Understood.
For someone interested in a Jeep, a Cherokee (produced in Belvedere, IL or Toledo, OH) suddenly becomes a more logical option to a Compass (produced in Mexico).
Laid-off workers in Belvedere (where Compass was formerly built) get recalled. Mexicans get laid off. It’s called putting America first.
The tariffs are only going on for as long as Mexico refuses to cooperate on the border, then they disappear. I doubt you’ll see many significant changes in long term employment either there or here.
So the average person buys a car and computer every year? If the tariff makes things more expensive then don’t buy them! This is f-ing WAR! This country has been the patsy for so long because of the Chamber of Commerce and the Agri-Business that control all of the produce we eat. They want to be able to sell to corrupt countries like China with no interference. All of Trump’s tariffs are for a national security purpose and not to help Wall Street.
No, but overall, Mexico exports a couple of million cars and a few million computers to the US every year, among other things. I know my last Dell came from Juarez. The tariffs threaten major economic stress for Mexico, which was my point.
Ya, I think the raising of the cost of your computers and cars is the entire point of the tariff.
It’s then time for Dell to bring those jobs to the USA. NAFTA was a terrible idea and it remains a terrible idea.
Let’s roll President Trump we have your back!
Viva la tariffs!!!
he should just slap a 25% tax on all transfers of dollars to any country in Latin or South America.
stop the flow of greenbacks and the wetbacks will stay home.
I have been pushing this for years, make Hispanics pay for the wall by siphoning off money transfers, which in turn denies those countries that cash flow. In other words, Mexico and other countries pay for border enforcement.
I suggested 10% below, but your target is a better one eventually.
I had suggested 20%, but am fine with a higher rate.
https://www.npr.org/sections/goatsandsoda/2017/02/10/514172676/mexicans-in-the-u-s-are-sending-home-more-money-than-ever
“These annual “remittances” — as they’re called by analysts — topped $69 billion in 2016, according to central bank data compiled in a new report by the Inter-American Dialogue, a Washington, D.C.-based think-tank.” 40% of that is to Mexico.
Trump did impose a 2% tax:
Taxing Remittances Can Build the Wall – American Thinker
https://www.americanthinker.com/articles/…/tax_remittances_can_build_the_wall.html
It wouldn’t take log for people to transfer to a bank in Europe and then transfer the money home.
The USMCA’s effectiveness is predicated on everyone conforming to the rules. But everyone continues to cheat, including Canada and Mexico who, among other things, serve as pass-throughs for China dumping.
I don’t see the failure of passing USMCA as a bad thing. So long as our government, bureaucracies and industries continue to show no enthusiasm for enforcing agreements and protecting US interests, agreements serve no useful purpose.
Yeah, if USMCA fails, we go back to bilateral north and bilateral south, which is best. And Mexico and Canada can make their own deal and figure out their own ways to transport back and forth; we’ll be willing to let them on I-35 but there will be fees.
10% tariff on all monies transferred from USA to Mexico.
Actually I would just do remittances, and either ban them, impose “know your customer” rules banks have to go through (I’d let wire transfers between bank accounts go through) or tax them at 50%. Western Union would go bankrupt but it should.
The problem goes far beyond remittances. Drugs and human trafficking. Also, whole families are coming in and living on benefits.
Mexico has really used NAFTA to its advantage. Last year 4.1 million vehicles were produced in Mexico – mostly for import to the US (compared to 11.3 million in the US).
NAFTA has cost US citizens jobs in everything from automotive to cookie production.
This should put the screws to Mexico.
many new locomotives also made in mexico for progress rail (caterpillar who own emd line) as well as most ford remanufactured engines.
friend at dealer has tons of issues with ford remans built there.
Many American companies have moved their manufacturing from the US to Mexico of their own volition. Mexico is not the only culpable party.
Just as they moved to China, Vietnam, Korea, etc. Our problem with Mexico isn’t industries or jobs, it’s illegal immigration, and Trump’s intent isn’t to get industries to move back to this country, it’s to get Mexico to shut down their southern border and help control the northern border, to interdict the flow of people and drugs.
“But the fact is, with those other factors already bogging down people here, we don’t need tariffs on top of it.”
You planning to interview for a job with The Wall Street Journal or US Chamber of Commerce, Mary?
Mexico lets them come in from Guatemala with at most token resistance, lets them past the border area of Chiapas and Tabasco states which was supposed to be a special zone for migrants, gives them bus transportation north from Mexico City, and provides them with visas to pass through Mexico and with some time for them to try to break into the USA.
The tariffs are a great idea. All the above things have to change, and more, before they should come off or even stop being increased.
The only people in the US hurt by tariffs is those who refuse to buy American or from those countries wo tariffs.
The idea that everyone pays the tariffs is wrong. Only those who buy from Mexico and other countries who are SCREWING with us anyway will pay those tariffs. Thus making it easier for them to buy elsewhere and THEN the country targette begins to see their bottom line shrink.
It would not cost the Mexicans much at all to thwart those coming from other countries. That they don’t is a middle finger to the US. Thus we will middle finger them back.
Next up will be someway to tax the huge amount of cash that illegals (mostly) send back home.
We have to stop giving these people a free living or they will keep coming. They’re human, why wouldn’t they come here for all the free stuff they’re given while actual born americans live in the street.
“The only people in the US hurt by tariffs is those who refuse to buy American or from those countries wo tariffs.”
I think employees of companies who loose their jobs as a result of the tarifs will beg to differ …
The one thing where I consider any “no more tariffs” as an insult to my intelligence is:
WHAT IS YOUR ALTERNATIVE?
How do you propose to stop the flood of illegals (I hope you are in a sanctuary city where you can pay for them), and the drugs, etc. from coming across our borders.
Mexico and its leader ship does NOT want to deal with it but it won’t go away on its own.
Trump tried but Paul Ryno betrayed him at the march shutdown and the courts have been blocking his other attempts (one judge with a SCOTUS like injunction). Gulliver may be tied down but that doesn’t mean he is defenseless.
Should we send the military and start a mass slaughter of people? Mine fields and cluster bombs?
Should we overthrow the governments of Mexico and Central America and impose martial law?
What is your alternative?
We should also be asking … “What do we do if (when) the tariff doesn’t produce the desired results?”
Israel used cluster bombs in Lebanon, including in school yards.
We can deploy them across the border wehre there are no official crossings and they will blow enough arms and legs off to dissuade most. Add landmines…
Beyond which the 25% would cripple Mexico and they would pay for the wall through the … .
If you think that’s an acceptable strategy … then we’ve sunk lower than I thought. Sounds more like a knee jerk reaction to me.
That is when “Should we send the military and start a mass slaughter of people? Mine fields and cluster bombs?” becomes reasonable. Kill enough people that the majority are no longer willing to take the risk.
It is unreasonable to accept 20-30 million illegals. It is an invasion, one followed by 40-60 million babies the first generation, maybe the same rate of increase (80-120 million) the second generation, meaning that in 40 years we could have 30 + 60 + 120 million, a whopping 210 million additional Hispanics. No matter how you slice this, it is a massive invasion. Even if their fertility rate drops, it still represents huge cultural changes, and even worse a significant drop in our average national average IQ.
Nobody has yet demonstrated to me how it’s a compelling national interest to have an open southern border. Why is it open? I’m waiting for a single good reason.
Cheap labor for Republicans
Votes for Democrats
Ouch! That’s going to leave a mark. I understand US consumers may pay a price but it will hurt Mexico far worse. Their economy hinges on American dollars. I’m tired of them encouraging illegals. 25% would kill their economy!
Now he needs to put a similar fee on all the money wired to Mexico from workers in the US.
It would keill their economy, and finally, there’d be the revolution long overdue.
To clarify, THIS IS N.O.T. ABOUT TARIFFS. Forget who pays, or the economics.
Mexico is not preventing a VERY EXPENSIVE INVASION of illegal immigrant caravans that memorize the asylum liturgy then are released and never show up for their court dates.
I AM PAYING FOR THIS INVASION. I’D RATHER PAY A BIT MORE FOR A FEW THINGS AND END THE INVASION.
Flooding our country with illegals and fentanyl is not some kind of “bilateral trade issue”. It is an act of war.
Tariffs are one tool or weapon we can use to fight Mexico’s attack on our borders and sovereignity.
And no tariffs if they stop the flow of illegals.
I love the phony “muh tariff” concern trolling by the author.
Mary, shut up.
I love the phony “muh tariff” concern trolling by the author.
Mary, shut up..
Mary is prepping for a job interview with the US Chamber of Commerce next week.
Mexico’s response to Trump’s tariff is from their new leftist president and he said that America was for all immigrants and that there should be no borders. This means war! I hope it’s an economic one but by God, we cannot stand for this sh*t. We are already supporting half the world’s poor but enough is enough!
!
One way to get rid of existing illegals would be to declare war on Mexico over the large numbers of invaders. A war declaration would be a good way to oust invaders.
It would be short. Existing illegals would have a strong incentive to leave ASAP. Those who do not should be arrested and be subject to total asset forfeiture.
Did he actually say that? If so, I’d bump the tariffs to 10% immediately.
I think everyone understands that the escalating tariffs are designed to get Mexico’s attention. We got it, and quickly too, as the Mexican government now wants a meeting. That’s the beauty of this: the threat is real, the pain (for both sides is real), so that Trump’s threat is not empty. Mexico understands that Trump will go forward and that the U.S. can handle the pain better than Mexico can.
So I suspect we’ll first see some shambling attempt by Mexico to dress up their do-nothing border policy. It’ll be magic, smoke and mirrors at first. Trump then will call them on it and point out that the only numbers he cares about are the number of attempted border crossings — until that goes down, the tariffs go up.
This is leverage. Trump, as a past developer, understands leverage better than most people in Washington.
Take every male member of Congress. Add michelle obama.
Now, count the number of testicles in the group. Then, multply by 1,000.
The number doesn’t even come NEAR the cahones on Donald Trump.
We’re all going to starve to death if the cost of imports goes up. Really? Really?
It is unlikely that the USMCA will get passed before the 2020 elections. So, that agreement is neither in effect, nor is it likely to be a factor. Currently, US-Mexico-Canada trade is operating under WTO rules. So, forget about the USMCA.
Now, the US is being invaded by “refugees” from Central American countries. Under the law, the US can not simply drop these people back across the southern border into Mexico, or drop them off in their countries of origin. But, the vast majority of these people are crossing Mexican territory and Mexico has done little to stop them. Trump has begged the Congress to address the immigration laws to control immigration and the Congress refuses. Not is unable, but flat out refuses to address the immigration problem. Trump has two options. One, he can close the southern border, which the liberal activist courts would immediately block. Or, two, he can put economic pressure on Mexico to control its southern border and stop allowing Central Americans to traverse its territory for the express purpose of entering the United States BAMN, including illegal means.
This is a war. The US is being invaded. In WWII, many products were rationed. Price gouging laws were put in place to protect the consumer. Anti-hoarding laws were enacted. And, still the price of products increased. But, upon winning the war, all of these measures disappeared. And, there is no reason to think that the public would not demand that prices revert to current levels, once the crisis is over.
If people want to see their costs remain the same, perhaps they should put some pressure on Congress to address the immigration crisis.
And speaking of WW2, Mexico wasn’t on our side in that war. There’s a hostile streak in them. Can’t rely on good will there, it’s a fight.
Mary, if you are doing research, you need to go back to the beginning of this country when duties and tariffs were the primary funding for the federal government. Read Patrick Buchanan’s epic column on this from about 3-4 weeks ago.
https://buchanan.org/blog/tariffs-the-taxes-that-made-america-great-136986
Trade NEEDS to be regulated. Tariffs are how we protected ourselves from Great Britain and other major powers. There is a difference between “protectionism” and protecting yourself. It’s another one of those distinctions libertarians refuse to make. Like “regulation is bad”.
How do you play a game without rules (which is another word for regulations)? Rules are what define the game and keep the game honest. The key is not to get “over-regulation” confused with “too much bureaucracy”. Glass-Steagall was the classic example of how efficient and effective regulations can be.
Libertarians are every bit as impossible to have a discussion with as liberals.
Terrible tariffs:
“Compared with a year earlier, prices of goods were 0.5 percent lower, according to the government’s personal consumption price index. This was the fifth consecutive month of year-over-year deflation.
Prices of durable goods, which are thought to be those most likely to be affected by metals tariffs, are down even more. On a 12-month basis, these are down 1.8 percent. They have been down on an annual basis every month since at least September.”
https://www.breitbart.com/economy/2019/05/31/low-inflation-shows-tariffs-have-not-hurt-u-s-consumers/
In other words, despite all the dire world ending warnings from the MBA’s, tariffs have not only not resulted in rising prices, prices have gone down. It is therefore safe to assume that the MBA’s learned a load of horsepuckey, and like all progs, can’t learn something new.
In fact, there has never been any proof of what they say, just their beliefs, which have been proven absolutely and completely wrong.
What a crying shame. Now, General Motors, Ford, Whirlpool, other major appliance manufacturers, and some suppliers will need to make things here, or at the very least, in countries that have not declared open warfare on our borders and demographic makeup.