Mexico's president Enrique Pena Nieto announced that the Mexican government vowed to control prices to contain mounting protests and anger that hit the country since the beginning of 2017. The decision to contain prices was outlined in an economic plan released on Monday.

The proposals said that the government, business, and organization leaders vowed to maintain prices stability, slash senior government officials' salaries by 10 percent, and push for capital repatriation. Nieto aimed to reduce the impact of gas price hike on families, as quoted by Reuters.

The decision to raise gas prices is a part of the Mexican government to bring the prices to international level. However, this will also trigger inflation as some experts estimated the inflation rate will reach above 4 percent.

The fuel price hike from 14 percent to 20 percent announced on January 1, 2017, sparked outrage across the country. Demonstrators burned gas stations and looted stores, which led to police arrests. The country's economy is struggling to survive a falling currency, a rise in inflation, and threats from the U.S president-elect Donald Trump.

The real estate mogul, who will be sworn in as the next U.S president on January 20, 2017, aims to create more jobs for U.S citizens, a promise he said many times during the presidential campaign. U.S automaker Ford has canceled an investment in a plant in Mexico and is investing US$ 700 million in Michigan that can help create 700 jobs in the U.S, as CNN reported.

Previously in 2016, Ford stated it would disburse US$ 1.6 billion to move Ford Focus production to Mexico. Now the Focus will be manufactured at an existing plant in Hermosillo, Mexico, and Ford will expand its Michigan plant.

However, the Mexican government's proposal to contain prices also sparks controversy. The country's main business group Coparmex didn't sign the accord, criticizing it for not explaining clear targets. Moreover, Coparmex also argued that the accord lacks detail on how to measure progress.

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