Investment plans in Mexico are being frozen due to increasing uncertainty over tariffs on Mexican goods and proposed judicial reforms. President Trump's tariffs on steel, aluminum, and cars are causing concerns for both domestic and foreign businesses. The impact is creating a significant lack of confidence among executives, leading to reconsideration or postponement of new operations. Foreign investment levels are lower than expected, and trade dynamics between the U.S. and Mexico are affected, with significant job losses reported in Juarez and looming issues over the USMCA agreement.
A growing wave of uncertainty is freezing investment plans in Mexico, rattling domestic and foreign business leaders. Investors are weighing President Trump's tariffs on Mexican-made goods.
Plans to launch new operations in Mexico or expand existing ones are being reconsidered, postponed, or quietly shelved, gnawing at executives' confidence and potential job growth.
Foreign investment is probably lower than it otherwise would have been, with many U.S. and Mexican businesses closely linked, affecting trade across the border.
U.S.-Mexico bilateral trade reached an estimated $840 billion in 2024, with economic changes impacting thousands of jobs, especially in Juarez.
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