Mexico on alert for 'Second Trump'...U.S.-North Korea Trade Agreement Collapses?

[Anchor]
Mexico, which had been booming as a production base replacing China, has faced a major crisis with the launch of the "Second Trump."

There is even a prospect that the free trade system of the three North American countries, which has been going on for more than 30 years, could collapse.

I'm a YouTube reporter on the report.

[Reporter]
Last year, Mexico's economy grew by 22% and pushed South Korea to 13th place in the world.

Exports to the U.S. are the driving force behind growth.

It overtook China to become the largest importer of the United States in 20 years.

Behind the steep growth is the conflict between the U.S. and China, which began during Trump's first term.

Amid the restructuring of supply chains in the U.S., many companies have enjoyed reflective gains as they move their production bases to Mexico, close to the U.S.

President-elect Trump has complained about this situation throughout the presidential election.

In particular, Chinese companies have warned of a tariff bomb, accusing them of bypassing exports through Mexico.

[U.S. President-elect Donald Trump / Last March: We will impose 100% tariffs on all cars crossing the Mexican border. You won't be able to sell such vehicles.]

U.S. companies are no exception, threatening outright when the world's No. 1 agricultural machinery maker announced it would relocate its plants to Mexico.

[U.S. President-elect Donald Trump / Last September: (If John Deere moves his factory to Mexico), he will impose a 200% tariff on all goods he wants to sell to the U.S.]

The urgent Mexican government has tried to persuade the U.S. companies that are benefiting, but the outlook is pessimistic.

[Mexican President Claudia Sheinbaum: (To Trump) the idea that Chinese products go through Mexico is wrong, and it will show that they go into all trade channels.]

Rather, the sense of crisis grew even greater as Trump first formalized the "25% tariff bomb" citing drugs and illegal immigration.

Canada, which is also the subject of a "tariff bomb," is even calling for a separate trade agreement with the United States without Mexico.

Some analysts say that the free trade system of the three North American countries, which has continued since 1994, could completely collapse.

While global companies are reviewing their investment plans in Mexico, Korean companies that invested 1 trillion won last year alone are also on alert.

It's YTN YouTube.