Chinese carmakers will likely feel the sting of Mexico’s anticipated 50 per cent tariff on cars imported from Asia, but their competitive prices and global operations may offset some of the pain, according to analysts.
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The proposed tariff hike, more than doubling the current level of 20 per cent, was included in a draft bill on raising levies on roughly 1,400 products – from textiles to steel – from countries with which Mexico does not have a trade deal. The bill was submitted to the Congress of the Latin American country, its economy minister, Marcelo Ebrard, said on Wednesday.
Auto-part imports will also be subject to tariffs ranging between 10 and 50 per cent, according to the bill.
Mexico was the No 1 export destination for Chinese cars in the first seven months of 2025, with shipment volumes rising 25.5 per cent in the period, year on year, to 272,100 vehicles, according to statistics from online Chinese auto marketplace Yiche.com.
The tariffs will have some impact on China’s auto sector, said Cui Dongshu, secretary general of the China Passenger Car Association.
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“Mexico is also a major production base, with particularly significant imports of both automobiles and auto parts,” Cui said. “Therefore, these tariff increases will inevitably affect [Asian exports’] competitiveness.”