President Claudia Sheinbaum Pardo said tariffs could cause more inflation and result in job losses for the U.S. and Mexico.

MEXICO CITY — Mexico’s president responded angrily Tuesday to President-elect Donald Trump’s pledge to impose a 25 percent tariff on its products if the country didn’t curb the flow of irregular migrants and fentanyl, warning that the penalties would only wind up causing inflation and unemployment in the United States.

The 25% proposal marked an escalation from his campaign claims, as the ex-president previously proposed raising tariffs by 10%, or by 60% on goods imported from China—which is up from approximately 1% and 11% now, respectively, according to data from research firm Wolfe Research cited by the Wall Street Journal.