Borderplex Alliance warns Trump’s proposed tariffs will “threaten” economy

EL PASO, Texas (KVIA) -- Officials from the Borderplex Alliance are concerned that President-elect Donald Trump's proposed 25% tariff on Mexican products would seriously harm economic development in the borderland "and diminish our nation’s competitiveness."

"The Borderplex region, which thrives on cross-border commerce, stands to lose significantly from these tariffs," Borderplex Alliance CEO Jon Barela said in a statement released Tuesday morning.

“On January 20th, as one of my many first Executive Orders, I will sign all necessary documents to charge Mexico and Canada a 25% Tariff on ALL products coming into the United States, and its ridiculous Open Borders,” Trump posted on Truth Social. “This Tariff will remain in effect until such time as Drugs, in particular Fentanyl, and all Illegal Aliens stop this Invasion of our Country!”

Barela noted that the "free flow of goods and services across borders" is vital to creating jobs and developing communities.

"Imposing these tariffs risks reversing years of progress in building a robust, integrated economy that benefits both sides of the border and creates a chilling effect on regional and national economic growth for years to come," he added.

"Additionally, tariffs are inherently inflationary, potentially leading to higher prices for consumers across various sectors.

Mexico President Claudia Sheinbaum said this morning that Mexico could retaliate with tariffs of its own if President-elect Donald Trump imposes the 25% import duties on Mexican goods.

President Sheinbaum sent the following letter to President-elect Trump to engage in talks on the issues he has mentioned such as drugs and immigration.

Stay tuned to ABC-7 on air and online for the latest details and insight on how the proposed tariffs would affect businesses and consumers on both sides of the border.