Will Imposing Tariffs on Mexico Curb the Arrival of Illegal Immigrants?

illegal immigrants

The President on Thursday, in a move to curb the flow of illegal immigrants from Mexico, announced that the US will impose tariffs on the goods exported by Mexico.

It seems that the President’s efforts in controlling the tide of immigrants have not yet bore the expected fruit. Despite building a border wall across the southern border, the number of immigrants has increased in the past months, which is a worrisome issue for the President.

To prevent the illegal immigrants from crossing the US-Mexico Border, Trump revealed that starting June 10, 5 percent tariff will be imposed on the goods coming from Mexico. He also said that the tariff will continue to increase by 5 percent each month. He added that the tariff on exported Mexican goods will remain at 25 percent until Mexico devises a plan to stop the migrants from crossing the border.

As an impact of the announcement, Mexican Peso experienced a three-month drop of 1.8 percent. However, Japanese Yen advanced despite the announcement and recorded a growth of 0.35 percent.

Even though, an announcement like this might appear to be in violation of the rules, Trump claimed that he can impose tariffs according to the powers granted to him by the International Emergency Economic Powers Act.

Previously, House Speaker Nancy Pelosi criticized Jared Kushner’s move to curb the ever-increasing number of illegal immigrants. He developed a merit-based system, which did not go well with the Republicans as well as the Democrats.

Since December, around five children have died under the custody of US Customs and Border Protection custody.

Following the tariff hike announcement, Mexican President Andres Lopez Obrador sent a letter to Trump saying, “I express to you that I don’t want confrontation […] I propose deepening our dialogue, to look for other alternatives to the migration problem.” However, he also added, “America First is a fallacy.”

Trump also mentioned that the tariffs might be removed, only if Mexico takes the necessary steps that the US has determined and decided.

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