The Mexican economy has experienced five consecutive months of decline, leading to a negative annual accumulation. This uncertainty is exacerbated by the policies and decisions of President Trump, which have impacted investor confidence in Mexico and Canada. The uncertainty generated by the Trump administration has led to a decrease in foreign investment in the region, as the rules of the game are not entirely clear.
In this context, the decline of the industrial activity index in January is highlighted, with sectors such as manufacturing, mining, electricity, and construction registering significant contractions. This has been aggravated by the threat of tariffs imposed by the Trump administration, creating a negative outlook for the Mexican banking system, according to Moody’s.
The uncertainty and reduced economic activity have increased the risk for businesses in Mexico, leading to a decrease in retail sales and a deterioration in various industrial sectors. The cancellation of investment projects and the lack of clarity in economic policies have contributed to the current situation, which is worsened by the decline of international markets and the threat of recession.
Despite interpretations seeking to find a strategy behind Trump's actions, many analysts point out that uncertainty and the lack of clarity in economic policies are the main factors affecting the Mexican economy. The current vulnerability of Mexico to the movements of the northern giant represents a significant challenge for the country, which faces a delicate economic situation amid an uncertain global landscape.
