Mexico faces trade challenges as Trump threatens tariffs on exports

Mexico is facing new challenges as President-elect Donald Trump threatens to impose a 25% tariff on its exports. This has caused the peso to drop 1.7% against the dollar, marking a nearly 20% decline since April. President Claudia Sheinbaum responded with a confrontational letter to Trump, highlighting Mexico's efforts on migration and criticizing U.S. gun exports. This approach contrasts with Canadian Prime Minister Justin Trudeau's more conciliatory stance. Sheinbaum's administration, which took office in October, appears unprepared for Trump's aggressive trade policies. Key positions, including the ambassador to the U.S., remain unfilled, raising concerns about Mexico's ability to navigate the situation effectively.