Mexico will begin enforcing sweeping new import tariffs on Thursday, a move that brings its trade posture closer to the US as both countries tighten barriers against Chinese goods.
The measures, approved by Congress in early December, raise tariffs to as high as 35% on imports from countries that do not have free trade agreements with Mexico. These include China, India, South Korea, Thailand and Indonesia, with China widely seen as the most affected.
Covering thousands of products, the higher duties apply to sectors ranging from automobiles and auto parts to textiles, clothing, plastics and steel. Analysts say the breadth of the tariffs marks one of Mexico's most significant trade shifts in recent years.
The policy has sparked objections from China and from some domestic industries, which have warned that the higher levies could push up production costs and disrupt supply chains.
Mexican President Claudia Sheinbaum and senior officials have defended the move, saying it is designed to strengthen local manufacturing and correct trade imbalances, while stressing that it is not targeted at any specific country.
"This tariff modification primarily aims to safeguard nearly 350,000 jobs in sensitive sectors like footwear, textiles, apparel, steel and automotives, while contributing to sovereign, sustainable and inclusive reindustrialisation," Mexico's economy ministry said in a statement.
The government estimates the new levies will generate an additional US$3.76 billion in revenue next year, supporting efforts to narrow the fiscal deficit.
Political and trade analysts, however, believe the tariffs, which largely hit Chinese imports, are also intended to ease relations with the Trump administration ahead of the upcoming review of the US-Mexico-Canada Agreement.
Reuters
