Mexico’s Start to the New Year

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Mexico has started the 2017 year pretty rough with all the hectic things going on over there. If you have been living under a rock or simply not paying attention to the news, then you wouldn’t know that Mexico is currently having issues with fuel prices as well as Trump still encouraging them to pay for the wall.  

Trump has also played his part in all the commotion taking place in Mexico. On Friday, January 20, 2017, Trump came into office, (which not only caused many protests in the United States, but also caused a number of protests in Mexico). This fear is caused by Trump’s shocking win in the race to becoming the 45th president of The United States.  

According NBC News, “Gas price hikes of some 20% imposed on Jan. 1 may have sparked the demonstrations but they are much more than the cost of refueling a car… They are being propelled by anger at President Enrique Pena Nieto’s handling of the economy and widespread corruption, as well as his treatment of Donald Trump.”  

The citizens of Mexico are angry not only about the increase of the cost of fuel, handling of the economy, widespread corruption, but they are also angry at the Mexican President because of his treatment towards Trump. Trump during his presidential campaign said many awful things about Mexicans and how Mexico only sent criminals, rapists,etc and many did not take those comments well. I don’t think anyone would if their people were being described those awful things.    

President Peña Nieto invited him over where they discussed things as civil people. Later on Peña Nieto tweeted that he had made it clear to Trump, Mexico would not be paying for the wall dividing both countries. Sadly this wasn’t the case, Trump obviously didn’t understand as he still went on to say they would indeed be paying for the wall. The Mexican people were not happy of Peña Nieto’s actions in being so nice as many were expecting the Mexican President to denigrate Trump’s actions.  

The protests have also been causing many issues at the borders taking control of vehicle lanes including the busiest crossing which is the Tijuana-San Diego border. The mexican citizens are still trying to get their opinions out there about the gas price hikes by protesting even if that includes getting guns pointed at you by Mexican Authorities. According to Fox News World,“ The demonstrators waved signs to protest gas hikes and air other grievances against the government of Mexican President Enrique Pena Nieto. Other protests closed the southbound traffic for hours at the San Diego-Tijuana San Ysidro port of entry, the busiest crossing along the 2,000-mile border, and halted southbound traffic at one of the two crossings in Nogales, Arizona.”  

If you have not traveled to Tijuana through the San Diego-Tijuana crossing, then you wouldn’t be able to know how busy this crossing is. Sometimes crossing can take up to hours because of all the people trying to cross. I have had the opportunity to travel through there and know better than anyone how bad traffic is there and how hectic it would have been with all the protestors around.    

Update: Trump has still made it very clear that the wall is going to built one way or another. One idea Trump has is raising taxes on Mexico by at least 20% to pay for the wall. What Trump doesn't seem to understand, is that this is illegal and will only end up hurting the US.  

Mexico is the US’s third largest goods trading partner with more than $296 billion imports in 2015. The tax increase would impose a $59.2 billion tax on consumers in the United States who purchase Mexican goods. This means that all the goods that Mexico imports (beer, vegetables, minerals, cars, etc.) will be 20% more expensive for US consumers.  

According to P. Alford, R. (January 27, 2017). Trump’s Idea for Mexican Wall tax is illegal and would hurt the US. “The North American Free Trade Agreement has similar prohibitions, including its Article 302, which prohibits the United States ‘from increasing any customs duty’. Mexico could sue the United States before the WTO to challenge the illegal tax.”  

So if Trump thinks this is how Mexico will pay for the wall, he’ll be paying for an illegal tax increase as well.