The peso has taken several plunges tied to President Donald Trump’s rhetoric and policy proposals, a reality that hurts San Diego’s retail industry. Economic development leaders believe San Diego’s manufacturing and tourism industries may also feel the impact. Voice of San Diego, May 1, 2017.
Image credit: San Diego Chamber of Commerce
The Mexican peso has weakened in the past several years, hurting some areas of San Diego’s retail industry, and much of it has to do with President Donald Trump. Two days after Trump defeated Hillary Clinton in November, the Mexican peso weakened by 11 percent to the U.S. dollar, according to the Federal Reserve. On Jan. 19, the day before Trump’s inauguration, the peso hit a record low, dipping to 21.89 pesos for $1.
The peso has been declining in value since 2014, when Mexico’s oil prices also began to fall. More recently, the peso has taken several plunges due to Trump’s rhetoric and policy proposals, such as the proposed wall along the U.S.-Mexico border, potential withdrawal from the North American Free Trade Agreement, imposing taxes on cross-border trade and a crackdown on undocumented immigrants.