China offers to buy $70 billion in USA goods

Theresa May and Donald Trump

GETTYMay will try to persuade Donald Trump to reverse his steel and aluminium tariffs

Manufacturers and business groups, including the U.S. Chamber of Commerce, have slammed Trump's decision last week to impose tariffs on steel and aluminum imports from the European Union, Canada and Mexico, warning that retaliation is likely and calling the move a tax on U.S. companies and consumers.

Mexico announced steep duties Tuesday on a raft of U.S. products ranging from whiskey to apples in retaliation for the "unilateral adoption" by Washington of steel and aluminium tariffs.

President Xi Jinping's government has started to quantify its commitment to import more US products as trade talks between the two nations progress, said the people, who spoke on condition of anonymity because the negotiations aren't public.

Groups backed by powerful Republican donors Charles and David Koch said on Monday they will champion free trade and oppose tariffs with a multimillion-dollar campaign that puts them on a collision course with President Donald Trump.

Heriberto Hernández, president of the Mexican Association of Pork Producers (OPORPA), said that he supports the government's decision and didn't expert Mexican pork prices to go up because "there are a lot of alternatives" to USA suppliers.

While other World Trade Organization members are also considering retaliating by targeting iconic American products - such as bourbon whiskey and Harley-Davidson motorcycles - the escalating tensions between Mexico and the USA may further complicate the renegotiation of the NAFTA trade accord.

The newly announced tariffs have caused some to fear a possible trade war with USA allies, an issue that is likely to come up at the G7 summit in Canada on Friday.

But he said even that amount "would not address the underlying, long-run concerns the United States has with China".

Mexico announced its response to Trump's move last week but it did not provide details of tariff levels or a full list of products at the time. In a report by the Economic Policy Institute, between 2001 and 2015, about 3.4 million U.S.jobs were lost due to the country's trade deficit with China.

Hernandez said he supported the Mexican government's decision and does not expect it to cause pork prices in Mexico to rise because "there are many alternatives" to US suppliers.

The industry officials said the new pork tariff schedule will be published on Tuesday in Mexico's official gazette and will go into effect on Wednesday. Trump imposed the penalties under a 1962 law that allows a president to increase or reduce tariffs on goods they regard as critical to national security. The European Union also attends.

Mexican President Enrique Pena Nieto and his Canadian counterpart, Justin Trudeau, spoke as soon as Washington announced the new duties.

"This campaign makes a clear statement: Trade is a major priority for our network".

Trump suggested last week that NAFTA could be replaced with two separate trade accords, one with Mexico and another with Canada.

"He's looking at the best way to make sure he gets the best deal possible for American workers and whether or not that's through NAFTA or other means, those options are on the table", Sanders told a news briefing. Economy Minister Ildefonso Guajardo said his country would now "surely" look to Europe for pork products, used in many traditional dishes in Mexico.

Latest News