Mexico Promises ‘Flexibility’ in Negotiations after Trump Win


Donald Trump hasn’t even made it to the White House yet, and his power as a negotiator is already reaping its rewards. Before he was president-elect, Mexico scoffed at Trump’s plan to renegotiate NAFTA. Now that Trump is on his way to the White House, they suddenly seem willing to cooperate.

Although Donald Trump’s election was shocking to the Mexican government, President Enrique Peña Nieto was one of first world leaders to congratulate President-elect Trump and seems ready to negotiate a new economic deal to prevent a trade war.

Mexico is very worried that President Trump will actually follow through on his promises to conduct massive deportations, to apply new trade tariffs and to demand renegotiation of the North American Free Trade Agreement. Pena Nieto’s invitation for Trump to make an official Mexican visit in August now seems brilliant.

The Mexican government promised to intervene in currency markets to prevent any disruptive fall in the peso from the U.S. elections. But Mexico’s financial markets have been hammered since Election Day, with their peso currency crashing by 13 percent.

This week’s panic selling was worse than the start of Mexico’s 1994 “Tequila Crisis.” That disaster came a year after the signing of NAFTA in December 1993 by Mexico’s President Carlos Salinas and U.S. President Bill Clinton.

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Mexico’s President Enrique Pena Nieto’s phone call to President-elect Trump early on the morning of November 9 has already sparked agreement for a meeting before President-elect Trump is inaugurated in January, according to Stratfor Global Intelligence.

The outreach seems to indicates that Mexico values their its relationship with the U.S. and will be “flexible” in negotiations to maintain it.

Barack Obama already criticized Trump for his “unrealistic” plan to negotiate with Mexico. And maybe Obama really believed that Trump’s plan to take Mexico to the negotiation table was impossible. After all, Obama was never able to do it himself. But that’s the difference between Obama and Trump. Trump has the experience to make it happen.

Source: Breitbart

 

 



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