Written by Carlos Mendez, Americas Correspondent
MEXICO CITY — Mexico imposed 25% retaliatory tariffs on American corn, soybeans, wheat, pork and dairy exports Wednesday, escalating the trade war triggered when the United States placed sweeping duties on all Mexican goods entering the U.S. market.
The Mexican retaliation targets agricultural exports from key U.S. farm states, hitting corn and soybean producers particularly hard. Both governments walked away from USMCA renegotiation talks, raising fears of a prolonged trade conflict with significant economic consequences for border communities on both sides.
Mexico’s economy minister called the U.S. tariffs “an act of economic war.” The Mexican peso fell sharply in early trading before stabilizing. Emergency congressional sessions are scheduled in both countries for June 5 to discuss next steps.
Thousands of jobs in the agriculture, manufacturing and logistics sectors on both sides of the border are at risk, according to industry groups. The U.S. Chamber of Commerce warned the measures could cost American exporters more than $4 billion annually.