Mexico warns Trump tariffs could cost 400,000 US jobs and lead to retaliation

Mexican President Claudia Sheinbaum warned that a proposed 25% tariff by U.S. President-elect Donald Trump could lead to 400,000 job losses in the U.S. and higher prices for consumers. She stated Mexico would retaliate with its own tariffs. During a press conference, Economy Minister Marcelo Ebrard emphasized the negative impact on the automotive sector, noting that 88% of pickup trucks sold in the U.S. are made in Mexico. He predicted an average price increase of $3,000 for these vehicles. Sheinbaum and Trump discussed collaboration on security issues in a recent phone call. Analysts suggest Trump's tariff threats may be more about negotiation than actual trade policy, as the U.S.-Mexico-Canada Agreement is set for review in 2026.