The 14 states in Mexico that would suffer most if NAFTA ends

PHOTO: El Universal

If the North American Free Trade Agreement (NAFTA) ends, the states at greatest risk will be Aguascalientes, Baja California, Coahuila, Chihuahua, State of Mexico, Guanajuato, Jalisco, Morelos, Nuevo León, Puebla, San Luis Potosí, Querétaro, Sonora and Tamaulipas, warned Aregional, a consulting firm for economic analysis and public finance for states and municipalities in Mexico.

According to El Universal newspaper, the exports of these fourteen states would decrease 8% and their gross domestic product
(GDP) would drop 5% since about 70% of their exports goes to the United States.

PHOTO: El Universal

According to Erika Peralta, Competitiveness and Urban Development Coordinator of the Aregional firm, foreign direct investment in the states will decrease.

Given this scenario, she assured that Mexico should restructure industrial and commercial policy.

“We are not prepared at a national level. We are failing both in innovation and technological development, entrepreneurship, and business promotion, in quality employment, sustainability, business financing, access to higher education and infrastructure,” she concluded.