Mexico Says They Will Cut Off NAFTA Talks If Tariffs Are Brought Up

Yeah right!

Good, Trump needs to learn how to properly negotiate.

Trump knows how to negotiate -just ask Citibank.

Mexico (and many other countries) need to compete on equal environmental and health and safety standards with Canada and the US. They can't and wont. Secondly they don't buy finished product from us only natural resources so they can make finished product to sell back to us so in fact the trade deficit is actually much larger than it appears.

Free trade with Canada was great for both countries. NAFTA fucked everything up in Mexico's favor and the corporations that shifted North American production down there to exploit cheaper labor pools.

Mexico holds no cards.

If they walk, then all Trump has to do is speed up ICE deportations that get dumped at the border which create a human crisis for Mexico.

Mexico is being arrogant and they really need to realize that they need to kiss as rather than acting like assholes.

One - the USA imports 298 Billions dollars worth of Goods with Mexico - and Exports 240 Billion to it. IF Mexico put a tariff on American goods - they would become too expensive of Mexicans to buy.
Two - The reason why Mexico does not buy more American goods is simple- the average factory worker in Mexico has a $6 PER DAY minimum wage. They actually make more money in China. Mexicans cannot afford a lot of American Goods.

However - American Companies cannot just move Mexican production to the USA - they do not have the facilities or production capacity here - not to mention that they cannot pay those wage scales here either. Most cars made in Mexico are small car that are not currently selling well in the USA - and would not sell if they were 20% more expensive - BUT - the ONLY way the USA would get any money from this is of AMERICAN CONSUMERS actually bought the cars at a 20% increase in price. (higher production cost would only lead to lack of profit for the companies here - and reduce their taxes due to the losses).

AS far as a human crisis - if you think a "wall" is going to keep out Mexicans - think again. They will just come up with another way. We already have a problem with other countries who simply refuse to take back people who have committed crimes here.

Typical Alt-Left wheel spinning.