The new Cold War is a business opportunity, and Mexico looks better placed than almost any other country to seize it.

US-China tensions are rewiring global trade, as the US seeks to reduce supply-chain reliance on geopolitical rivals and also source imports from closer to home. Mexico appeals on both counts—which is one reason it’s just overtaken China as the biggest supplier of goods to the giant customer next door.

On top of resurgent exports, Mexico boasts the world’s strongest currency this year and one of the best-performing stock markets. Foreign direct investment is already up more than 40% in 2023, even before Tesla Inc. starts building a proposed $5 billion factory. Not since the signing of the North American Free Trade Agreement in the 1990s has the country held the kind of allure for investors that it has right now.

  • MelonYellow
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    1 year ago

    The U.S. doing business with Mexico over China is great. Some pros I can already think of:

    With increased transport using rails, it’d be easier to smuggle shit, therefore you’d think the cartels would be more cooperative. Which means less violence, less turf wars, etc.

    Better for the environment. Much less fuel to transport stuff.

    If Mexico’s economy improves, a lot of the illegal immigrants that would normally come to the U.S. would probably go to Mexico instead (closer, similar in culture and language).

    Pretty much can’t think of a single con, other than prices going up a little bit. It’s worth it.

    • cooljacob204@kbin.social
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      1 year ago

      similar in culture and language

      US is a big place, plenty of areas that they can move which the majority speak the same language and have the same culture.

      Also as for cartel stuff, if the people are able to make good livings not doing drug stuff then they will. So hopefully their economy keeps improving along with their quality of life.