Mexico ready to quit NAFTA if US talks fail

originally posted by: Tardacus
a reply to: conspiracy nut
you don`t make money by manufacturing products, you make money buy selling those products,if you don`t do business with a massive consumer country like the U.S. you won`t make any money.

I'm glad someone pointed this out. We account for 27% of the worlds consumer market vs 8% for China last I checked Only 8% of our exported goods go to china vs 20% of their imports to us. Seems like a trade war could hurt, but not nearly as much as the pain china would feel. Im not even worried about Mexico. Lol, they don't have a leg to stand on in negotiations.

Consumer markets

U.S. Import/Export percentages by country

originally posted by: lordcomac
Not to mention that without mexican imports, we'd be in a tight spot too. It would take a decade at full speed for us to start up industry in this country to replace what we import now.

Which would be awesome, of course... but it has to be ramped up. You can't just flip a switch, we import almost everything.

Saudi taquilla?

It seems obvious to me that if building a secure border wall is more important than losing 80% of Mexico's exports to the U.S.A., then the exports they are really worried about are not that "80%" that is being accounted for, it's the black market in the drug trade and moving illegals that they are really worried about.

Tighten up the security at the border and build a wall they will have trouble getting through, and that 80% of legit trading becomes squat compared to the trade figures that they lose when it gets nearly impossible to send the drug traffic north across the border. Right now it is most likely fairly cheap to send mules across the border through a hole in the fence then to deal with a brand new wall as proposed.

"Gangster Warlords" author Ioan Grillo recently revealed how the notorious Mexican drug cartels are making billions of dollars because of drug trade in the United States . . . Mexican authorities have also revealed that drug cartels earn $64.34 billion for their sales in the United States.

How Mexican Drug Cartels Earn Billions in Drug Trade

Drug trafficking in Mexico is a business worth over $50 billion per year . . .It is believed that the loss of the drug trafficking industry in Mexico would cause that country’s economy to shrink by over 63 percent.

Trafficking Statistics

a reply to: gort51

Are you serious? Do you have any idea how racist that sounds? How about if all white people take their money back to Europe and save their economy? Does that not sound absolutely ridiculous to you?

Mexico wants to bail on NAFTA????

HA...good! Let's wad up that ill-conceived Clinton special called NAFTA and toss it in the trash can where it belongs! Then, let's sit down with our brothers to the north and craft a trade deal that really works (for both countries, and not just Mexico). And, a good starting point on this front would be upping import tariffs on manufactured goods from China and Mexico/South America while reducing/eliminating import tariffs on raw materials. Eliminate export tariffs on manufactured goods and increase tariffs on exporting raw materials.

We'll make the computers/electronics, we'll make the cars and the steel that goes into them.

Oh, and charge an admission fee to get into the Walmart parking lot! Wanna' shop at Walmart? It's gonna' cost ya' $5 bucks to get in the lot and park...payable to US Government, Debt Reduction Office.

That is all.

a reply to: Flyingclaydisk

i honestly don't see the long term economic benefit to the united states of america of starting a trade war with its neighbor. down the line this will not be good for the us anyone saying otherwise is talking macho and thinking short sighted. the most logical solution would be to draw up friendly contracts with all nations that benefit all parties involved. making enemies of your neighbors is never a good idea.

originally posted by: conspiracy nut
a reply to: Flyingclaydisk

i honestly don't see the long term economic benefit to the united states of america of starting a trade war with its neighbor. down the line this will not be good for the us anyone saying otherwise is talking macho and thinking short sighted. the most logical solution would be to draw up friendly contracts with all nations that benefit all parties involved. making enemies of your neighbors is never a good idea.

Thats exactly what Trump is doing. He wants fair trade deals, not trade deals only beneficial to our trading partners.

a reply to: Flyingclaydisk

I believe NAFTA was the hero of millions Reagans super duper unflushable.

History of NAFTA and Its Purpose
www.thebalance.com...

a reply to: conspiracy nut

How do you draw up fair contracts with 3rd world countries?

a reply to: seasonal

I don't disagree entirely, but one has to remember the NAFTA signed under Clinton was far different from the one envisioned by Reagan.

a reply to: seasonal

ustr.gov...
Some figures you might want to look at.

It's not quite as black and white as you portray I'm afraid.

We export more in the way of services than we import.
We import more goods than we export. (Oil is a big part of that).
Jobs are created on both sides.
Much of Mexican imports actually go into producing final products right here in the US. That creates jobs here too.

Trade Balance The U.S. goods trade deficit with Mexico was $58 billion in 2015, a 8.4% increase ($4.5 billion) over 2014. The United States has a services trade surplus of an estimated $9.2 billion with Mexico in 2015, down 12.7% from 2014.

a reply to: conspiracy nut

Who said anything about trade "war" or making enemies?

We should be making trade deals which benefit our own country, not trying to make the rest of the world rich.

As it stands right now the only trade deal which doesn't make an "enemy" is a deal which is favorable only to a country other than the US. Trade deals are one of the areas where you can make a very, very, strong argument for stopping the unbridled lobbying in DC.

originally posted by: Sillyolme
a reply to: seasonal

ustr.gov...
Some figures you might want to look at.

It's not quite as black and white as you portray I'm afraid.

We export more in the way of services than we import.
We import more goods than we export. (Oil is a big part of that).
Jobs are created on both sides.
Much of Mexican imports actually go into producing final products right here in the US. That creates jobs here too.

Well, that's a loophole in the laws and it needs to be closed...for good. This notion that a tractor can be imported into the US as a "raw" product because the wheels have been taken off, and the notion it creates jobs for 3 guys to put the wheels back on, is ridiculous. It skirts tariff laws, and it's intentional. Sure, three jobs were created, but how many jobs would have been created if the whole tractor was both built and assembled here...thousands maybe?

This is actually a giant issue when it comes to trade deals.

Thank you for bringing it up.

a reply to: Flyingclaydisk

True, I have to admit I don't know what Reagan envisioned and what we have.

My opinion is that reagan would have been OK with NAFTA the way it sits.

a reply to: Zanti Misfit

And to think that we all here in ATS had various thread when the fight between the American truckers for their livelihood when unheard while the government gave rights to Mexican Truckers to come into the US.

You know is sad that sometimes nobody remember how our own American workers had lost their job one piece at a time.

originally posted by: seasonal
a reply to: lordcomac

I think it is high time we start to make our $125 a pair shoes here.

Aww that's adorable that you think those shoes would cost the same if they were made here.

originally posted by: marg6043
a reply to: seasonal

Trust me, Mexico is just all talk and will beg to Trump for whatever he decides, because they are wetting their pants knowing that their goods will go to waste if Trumps starts to make America a productive nation again.

The peso will take a hit and will be very hard to bring it back.

I can not wait what the oil companies will do if Trump goes after them next.

I have no desire whatsoever to see the Mexican people suffer anymore than they already are. Nor does it give me good feelings to think their "goods will go to waste".

I would like to see successful negotiations, and that is what we should strive for.

Putting "America First", through bullying and causing other nations to suffer?
This is NOT the American way.

a reply to: angeldoll

Mexico is a big producer of oil, hell they are our second biggest seller after Canada, they have wealth, the people should be doing better than they do, and immigration should be minimal, the reason they don't is because as usual the wealth of the nation is held by a few and they don't give two rat arses what happen to the rest, their corruption is eating the nation away

They rather have their poor come to the US to enjoy the American way at the expenses of America tax payers.