25% tariffs on Mexico have been postponed by 30 days as the Mexican government agreed to send 10,000 soldiers to the border. In addition, the U.S. agreed to try to stop guns from flowing over Mexico’s borders.
The new Secretary of Defense had been quoted by the New York Times as saying that bombing Mexico was not off the table.
Nearly all Stellantis’ trucks depend on Hemi V8 and Hurricane Six engines made in Mexico, the sole source for both. Ram heavy duty pickups are also made there, along with ProMaster vans.
Canada has not blinked, and it appears that Pacifica minivans and Dodge Chargers will be taxed at a 25% rate as they enter the United States. Canadian retailers have started setting up “made in Canada” sections in a show of patriotism. The United States has two free trade agreements with Canada and at least one with Mexico which are being violated by the tariffs.
While American companies tend to turn to Mexico for manufacturing, Canada is actually the nation’s largest trading partner, followed by Mexico. Canada has allied with the United States during wars, and helps maintain far-reaching American military outposts.
South American countries appear to be linking up with Europe, with their free trade alliance signing a major agreement with the European Union and resuming talks with Malaysia. The BRICS group of ten countries, including China, India, Russia, Brazil, and South Africa, is on the way to singing on eight more countries, while the Association of Southeast Asian Nations, another ten-country group, is also turning to China. Great Britain joined the Trans-Pacifica Trade Bloc, which includes Canada, Mexico, and countries in Asia, and is renegotiating with Europe. Finally, Brazil and Mexico are discussing an alliance. One goal of many of these alliances is to avoid the unpredictable swings of American policy and dependency on China.
David Zatz started what was to become the world’s biggest, most comprehensive Mopar site in 1994 as he pursued a career in organizational research and change. After a chemo-induced break, during which he wrote car books covering Vipers, minivans, and Jeeps, he returned with Patrick Rall to create StellPower.com for daily news, and to set up MoTales for mo’ tales.
David Zatz has around 30 years of experience in covering Chrysler/Mopar news and history, and most recently wrote Century of Chrysler, a 100-year retrospective on the Chrysler marque.
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