U.S. President, Donald Trump announced last week that the U.S. will levy tariffs on steel and aluminum imports that comes from Mexico, Canada and the EU.
In response to that, the Mexican government has also set new tariffs on US products, the list includes whiskey, cheese, steel, bourbon and pork.
This decision by the Mexican industry will hit domestic businesses, who will face a 20% tariff on their exports to Mexico, because Mexico was the highest imports of US pork. The tariffs amount to $3 billion worth of the US exports, the tariffs on the products range from 15% to 25%, which will raise the prices of US products.
Mexico is the second largest market for the US exports, Canada being the largest. Mexico is estimated to buy close to $227 billion word of US products. The tariffs are surely impact the US economy, business and thousands of jobs.
(Source: CNN Money and BBC)