In Mexico City on January 17 (Reuters) - According to a survey published on Friday, a majority of business executives in Mexico foresee the country's economy stalling in 2025 due to uncertainties surrounding government transitions in the U.S. and Mexico, in addition to global geopolitical and trade disputes.
Of the nearly 700 executives polled by consultancy KPMG, approximately 60% anticipated economic stagnation in Mexico in 2025, while 24% predicted a recession.
The looming threat by U.S. President-elect Donald Trump in November to impose a 25% tariff on Mexican imports upon his return to office has raised concerns for Mexico's new president, Claudia Sheinbaum, who aims to allay apprehensions regarding the future of the crucial trade relationship with the U.S.
As Mexico stands as the United States' primary trading partner, the Bank of Mexico has revised its economic growth forecast for 2025 to 1.2%, down from the 1.8% anticipated for 2024.
Ricardo Delfin from KPMG emphasized the impact of Trump's resurgence and tariff warnings against Mexico, along with the U.S.'s trade tensions with China, as major factors contributing to global intricacies.
"We need to adapt to the challenges within our increasingly intricate and tumultuous global landscape," stated Delfin, KPMG's clients and markets head in Mexico, during a press conference.