FP on Mx energy issues
Created Wednesday 20 November 2024
- nearshoring big opp 4 SB
- https://foreignpolicy.com/2022/07/15/amlo-biden-supply-chain-nearshoring-china-trade-ecuador-uruguay/
- Tr may try to roll back AMLO energy nationalisation w / 2026 re-nergotiantion
- critiqyes see Rule of Law week in Mx w/ the amlo policy
- see FT article I read the other day about oil grab by AMLO near Cancun / TM
- claims that it is against current USMCA rules here
- critiqyes see Rule of Law week in Mx w/ the amlo policy
- 70% gas imported from US
- 64% petrol & 60% diseal consumed in Mx is refined in US
- If Trump returns to the White House, tensions with Mexico are likely to escalate over migration, illegal drug trafficking, and—above all—trade relations with China. Beijing has noted Sheinbaum’s industrial goals and is interested in increasing its commercial and investment ventures in Mexico.
- China aims not only to supply Mexico’s internal market with manufacturing but also to export to the United States, thereby circumventing tariffs that have been in place since the Trump administration. If this occurs, Trump would likely react belligerently at the USMCA revision table in 2026, alleging, among other things, that the agreement harms U.S. interests by allowing Chinese strategic supplies to leak into the United States from Mexico. Trump could even threaten to leave the agreement if Mexico does not impose tariffs and bans on China similar to those already imposed by Washington.
Backlinks: Bullet Journal:Daily log:11 Nov:wk 04:US MX energy brief