Bank of America Confident in Mexico Growth Despite Tariff Concerns
Bank of America stays positive about growth in Mexico, driven by nearshoring trends, even with tariff threats from Trump. Revenue and clients expected to double.
Bank of America remains confident in its future in Mexico, driven by the trend of “nearshoring,” which refers to companies moving operations closer to home. This optimism continues even in light of President-elect Donald Trump's recent threats to impose tariffs on imports from Mexico. The bank’s Mexican operations leader, Emilio Romano, believes the country will keep attracting investments due to its strong ties with North America.
Why This Matters
Trump's recent comments about possible tariffs on Mexico and Canada have raised concerns and caused market uncertainty. This has made multinational companies wary about investing in the region. The US-Mexico-Canada Agreement (USMCA), which governs trade between these countries, is set for a review in 2026. The trade relationship between the US and Mexico is especially important, as both economies rely heavily on each other for imports and exports.
What Bank of America Is Saying
In a recent press briefing, Emilio Romano said, "It’s going to be hard for any uncertainties, whether internal or external, to change the opportunities we see in Mexico." He emphasized that the “nearshoring” trend is not going away. This trend has pushed many major companies to move their operations to Mexico, taking advantage of the country’s proximity and strong economic links with the US.
Advertisement
Romano added, “Mexico’s role in North America’s economy is solid and will not change.”
Growth Plans for the Future
Bank of America aims to double its revenue and increase its number of clients in Mexico within the next five years. Romano stated that the bank’s client base is expected to grow from 400 to 800. In Mexico, Bank of America focuses on institutional banking and does not provide services for individual customers. Romano chose not to share more details about revenue projections at this time.
What to Expect Next
Romano acknowledged that Trump’s tariff threats would likely lead to ongoing market ups and downs. However, he noted that these threats might be a negotiation tactic and not an actual plan for implementation.
Also Read: Trump's Tariff Strategy Raises Global Trade and Economic Concerns
