Mexico to Raise Tariffs on Cars From China to 50%

Mexico said it will raise tariffs on automobiles from China and other Asian countries to 50%, in a broad overhaul of import levies that the government said would protect jobs and analysts said was aimed at placating the United States, Ana Isabel Martinez and Adrianna Barrera reported for Reuters.

The measures cover textiles, steel, automotive, and other sectors. (Photo: XPENG)

The Economy Ministry said the measures—covering textiles, steel, automotive, and other sectors—would affect $52 billion worth of imports. “They already have tariffs,” Economy Minister Marcelo Ebrard told reporters when asked about Chinese cars, which are currently subject to 20% duties.

“What we will do is raise them to the maximum level allowed. Without a certain level of protection, you almost can’t compete,” he added.

Ebrard said the new levies, which remain within World Trade Organization (WTO) limits, are intended to protect jobs in Mexico as Chinese cars were entering the market “below what we call reference prices.”

China’s Foreign Ministry condemned the move, saying it “firmly opposes being coerced by others” under “various pretexts,” and urged Mexico to work toward global economic recovery and trade development instead.