How Trump’s ‘bungling’ hotel-building deal may cost the U.S. economy
Donald Trump’s plan to build a hotel in Mexico City may cost an estimated $1.6 billion, according to estimates released Thursday by the White House.
The plan calls for a $1 billion loan guarantee from the Mexican government.
Trump’s company would repay that loan in installments, the Wall Street Journal reported.
Mexico’s central bank has not commented on the deal.
The Trump Organization has said the project is “a priority for the administration.”
Trump said Thursday he has not decided whether he will pursue construction of the hotel.
A spokeswoman for Trump’s campaign did not immediately respond to a request for comment.
The hotel is expected to open in 2021, though a date for completion has not been announced.
The deal could also create an economic boost for Trump and his family.
The president-elect has promised to renegotiate NAFTA and revive a $700 billion trade deficit with Mexico.
The two countries have agreed to open new markets for American goods and services.
Mexico has not yet said whether it will extend its commitments.
Mexico and the U,S.
have a trade deficit of about $600 billion.
The U.K. has a trade surplus of about £350 billion.
Trump has pledged to renegotiated NAFTA with Mexico and will sign an executive order that would renegotiate the pact in 2018.