Mexico plans to raise tariffs on Chinese cars and parts to 50%

Mexico is moving to sharply raise tariffs on cars, auto parts, steel, textiles, and other goods from China and several countries without trade agreements.

Economy Minister Marcelo Ebrard said the current tariff on imported Chinese cars will rise from about 20% to 50%. “We are going to take it higher, which the World Trade Organization allows us to do, which is up to 50%. Why? Because the prices at which they are arriving in Mexico are below what we call reference prices,” he said. “The main objective is to protect jobs.”

Mexico has become the largest destination for Chinese cars, a shift that has drawn attention from the United States as President Donald Trump escalates his trade fight with China. The new tariffs will defend local industry while easing U.S. concerns.

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