Mexico has announced a sweeping overhaul of its import tariffs, significantly raising levies on goods from countries without a trade deal, including a sharp increase on Chinese automobiles from 20% to 50%. The Economy Ministry stated the measures, which target sectors like automotive, steel, textiles, toys, and motorcycles, are designed to protect domestic industries and 325,000 jobs from what it calls unfairly priced imports. The move impacts $52 billion worth of imports, representing 8.6% of Mexico’s total.
The plan specifically targets nations including China, South Korea, India, Indonesia, Russia, Thailand, and Turkey. Economy Minister Marcelo Ebrard defended the decision, stating that without a “certain level of protection,” local industries cannot compete, citing that Chinese vehicles were entering the market “below reference prices.” The new tariffs, which are set at the maximum level allowed under World Trade Organization rules, still require approval from Mexico’s Congress, where the government holds a strong majority.
The announcement has drawn a firm response from China. A spokesperson for China’s foreign ministry stated the country “firmly opposes being coerced by others and restrictions imposed under various pretexts,” urging Mexico to instead collaborate on global economic recovery. The spokesperson added that China would “resolutely safeguard” its rights and interests in response to the move.
Analysts suggest the tariff hike is strategically aimed at placating the United States, which has been pushing countries in Latin America to limit their economic ties with China. By aligning its trade policy more closely with U.S. interests and protecting its own manufacturing base, Mexico is seeking to strengthen its position as a key U.S. ally and trading partner, even as it risks escalating trade tensions with Asian economic powers.
