Mexico’s Higher Costs Under USMCA May Potentially Offset Gains from China-Related Trade Spurt with U.S

Armando Aguirre, Jesus Cañas, Alfonso Cebreros and Daniel Chiquiar

Southwest Economy, 2020, issue First Quarter

Abstract: Approval of the United States–Mexico– Canada Agreement (USMCA) could change trade within the North American region, affecting output and weakening North America’s global competitiveness. At the same time, while Mexico is achieving some temporary gains arising from trade tension between the U.S. and China, it stands to incur a substantial overall long-term economic cost.

Date: 2020
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