Here's what Mexico can expect from Trumponomics
As Donald Trump takes the oath of office to become the president of the United States, Mexico is taking a deep breath. Will he bring the economic "hurricane" Mexican central bank governor Agustín Carstens warned of during the campaign? And if policy is put in place directly affecting trade and FDI, how will this impact Mexico?
Since the November 8 election there has been uncertainty about whether Trump will attempt, or even be able to, fulfill his campaign promises, including scrapping NAFTA, adopting measures to force businesses to move jobs back to the United States, deporting millions of undocumented migrants, as well as building a new border wall with the caveat that Mexico will pay for it - possibly by siphoning off funds from remittances sent to Mexico from the US. What is not uncertain is that some change will occur.
READ FULL REPORT: The Impact of President Trump on the Mexican Economy
The fact that the relationship with the US is so critical to Mexico's economy is worrisome to many. But at the same time, some in Mexico see potential opportunity in a Trump presidency instead of concern, and any possible change might take years to come into being. This report looks at the potential outcomes of the Trump years in Mexico.
CONTENT
Introduction
Mexico's New Year Headaches
Figure: GDP
Figure: Mexico Inflation
The Issue of Trade
Figure: What`s at stake in trade?
NAFTA in the Balance
Figure: The Nafta balance
Trump's 'Great Wall'
Figure: Mexico migration to US
An Opportunity
Figure: Where does money land in Mexico?
What to Expect
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