Mexico’s lower house early Wednesday approved tariffs of up to 50 per cent next year on imports from China and several other Asian countries, aiming to boost domestic production and address trade imbalances.
With 281 votes in favour, 24 against, and 149 abstentions, the chamber passed the bill, which still requires Senate approval, despite opposition from China and local business groups.
The proposal would impose or raise tariffs – mostly up to 35 per cent – throughout 2026 on goods such as cars, vehicle parts, textiles, clothing, plastics and steel from China and other Asian countries without a trade deal with Mexico, including India, South Korea, Thailand and Indonesia.
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Mexico’s Economy Ministry presented the proposal in September, but struggled to gain broad support despite the ruling Morena party’s majority in Congress.
President Claudia Sheinbaum’s government claims the measure aims to strengthen domestic production and address trade imbalances with China. The approved bill is more flexible than the original, which stalled this autumn after strong opposition from China.
Analysts and the private sector argue the move is aimed at appeasing the US ahead of the next review of the United States-Mexico-Canada trade agreement (USMCA), and say it is also intended to generate US$3.76 billion in additional revenue next year as Mexico seeks to reduce its fiscal deficit.