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Mexico approves higher tariffs on Chinese imports from 2026

Mexico’s Senate passes a bill to raise tariffs up to 50% on imports from China and other nations without trade deals, drawing Beijing’s criticism

MEXICO CITY: Mexican lawmakers have approved a measure to increase tariffs on goods from China and other countries without a trade agreement with Mexico.

The bill, spearheaded by President Claudia Sheinbaum, passed the Senate on Wednesday night with a vote of 76 to 5.

It raises tariffs on imports including automobiles, textiles, clothing, plastics, and appliances, primarily affecting Chinese goods.

The changing tariffs will also impact South Korea, India, Indonesia, Russia, Thailand, Turkey, Taiwan, and Brazil.

President Sheinbaum must now ratify the tariffs, which are expected to take effect on January 1, 2026.

Proposed tariff rates were lowered from an initial suggestion of 50% down to 20% or 35% for most goods, though the 50% rate will still apply in some cases.

Beijing stated on Thursday that the move would “substantially harm the interests of relevant trading partners, including China”.

“China… hopes Mexico will promptly rectify this erroneous practice of unilateralism and protectionism,” a Chinese commerce ministry spokesperson said.

The ministry noted an ongoing trade barrier investigation China launched against Mexico in September, suggesting possible retaliation.

Beijing’s statement urged Mexico to “act with prudence,” having previously opposed any “coercion” to restrict its exports.

The Sheinbaum administration seeks to strengthen Mexico’s domestic market and reduce import dependence, though opponents warn the tariffs could cause domestic price hikes.

There were 35 abstentions in the Senate vote, with senators arguing the bill was rushed and needed more analysis on its inflationary impact.

The proposal faced heavy pressure from US President Donald Trump, according to reports.

Mexico’s lower house of Congress had earlier approved the proposal by 281 votes to 24, with 149 members not voting, arguing further discussion was needed. – AFP

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