by Mexico to Introduce High Import Tariffs from 2026
The Mexican government has approved the introduction of new high import tariffs on a number of countries, starting in 2026. This decision, adopted by the country’s Congress, applies to states with which Mexico does not have a free trade agreement. Among the most affected countries is China, which will face the highest tariffs.
This step comes against the backdrop of rapid growth in Chinese exports, particularly of electric vehicles. Just last month, Mexico imported over 19,000 electric cars from China, which is a colossal increase compared to the previous year. The new customs policy is designed to sharply slow down this flow.
Key Details of the New Tariffs
The new tariffs will affect 1,463 product categories. While for most countries the tariff will be 35%, for China it will reach 50%. The restrictions will apply not only to finished automobiles and auto parts but also to motorcycles, clothing, plastic and steel products, household appliances, aluminum, footwear, paper products, and furniture.
The Mexican Ministry of Economy stated that the tariffs, which will take effect from the New Year, aim to “protect approximately 350,000 jobs in sensitive sectors such as footwear, textile, apparel, metallurgical, and automotive industries.”
The ministry also noted that this measure is aimed at correcting trade distortions and reducing “high dependence on imports.”
Reaction of the International Community and China’s Position
Mexico’s decision has already caused outrage in a number of countries whose economies will be affected. An official representative of the Mexican Ministry of Economy emphasized that “the change in tariffs is a commercial and economic measure that seeks to benefit the people of Mexico and, therefore, is not directed against any specific country.”
However, this argument is unlikely to appease China, which has already sharply criticized the new rules. The Chinese Ministry of Commerce called the tariffs harmful and urged Mexico to correct its “erroneous practices of unilateralism and protectionism” as soon as possible.
Economic Consequences and Future Prospects
It is currently unclear whether China will limit itself to sharp statements or will take any specific responsive measures. The new tariffs are expected to bring the Mexican treasury an additional approximately $3.76 billion in revenue.
This situation clearly demonstrates global trade tensions, especially in the automotive sector, where China has significantly strengthened its position in recent years. Mexico, being an important manufacturing hub with direct access to North American markets, is trying to protect its own industry from excessive imports, balancing between protecting national interests and preserving diplomatic relations.
Similar protectionist steps could have far-reaching consequences, including contributing to the reorientation of global supply chains. Many manufacturers, especially in the automotive industry, may begin to seek alternative locations for production or assembly to avoid high tariffs. This could also accelerate the process of production localization in Mexico itself, which aligns with the government’s stated goals of creating jobs. In the long term, the success of this policy will depend on whether the country’s domestic industry can effectively fill the vacated market niches and whether such actions will lead to an escalation of a broader trade war.
