Trump plans 25 percent tariff on goods from Mexico and Canada, raising concerns for Texas economy

Donald Trump announced plans to impose a 25 percent tariff on all goods from Mexico and Canada, citing illegal immigration and drug trafficking as reasons. Economists warn this could cost Texas around 370,000 jobs and significantly impact the state's economy. Experts predict that Texas, heavily reliant on trade with Mexico, would face annual losses of about $46.9 billion in gross state product. They also caution that retaliatory tariffs from Mexico could further harm Texas's economy and disrupt supply chains. Trump's conversation with Mexican President Claudia Sheinbaum suggested an agreement to address migration, but Sheinbaum clarified that Mexico aims to foster cooperation, not close borders. The situation remains contentious, with differing views on the potential economic impact.