AsianFin— Mexico will increase tariffs on imported automobiles from China and other nations without free-trade agreements to the maximum level allowed under World Trade Organization (WTO) rules, covering about $52 billion worth of goods, the government said on Tuesday.
The measure, announced by Economy Minister Raquel Buenrostro, will raise duties on Chinese-made vehicles and components to protect Mexico’s domestic auto industry and jobs. “This action is necessary to level the playing field for our workers and ensure that local production remains competitive,” Buenrostro told reporters in Mexico City.
The tariff hike comes as the United States intensifies scrutiny of Chinese electric vehicles (EVs) and other products, warning that they could flood the North American market via Mexico. Washington has privately pressed Mexico to prevent Chinese automakers from using the country as a backdoor to circumvent U.S. restrictions, according to people familiar with the discussions.