Mexico to Impose 50% Tariff on Chinese Cars After U.S. Pressure

The Mexican government has announced that it will raise tariffs on cars imported from China to 50%, as part of a sweeping trade measure intended to protect local industries and respond to concerns raised by the United States.
The Economy Ministry said the tariff increases which also affect steel, textiles, and electronics will apply to $52 billion worth of goods and represent a major realignment of Mexico’s trade strategy.

“This measure is aimed at protecting Mexican jobs and strengthening national industry,” the ministry stated in a press release Tuesday.

China Reacts: “Firm Opposition to Coercion”
China’s Foreign Ministry issued a sharp response, warning against political interference in global trade.

“China firmly opposes being coerced by others,” said a ministry spokesperson. “China and Mexico are important members of the Global South. Our economic cooperation has always been win-win in nature.”

Beijing urged Mexico to avoid actions that could damage bilateral relations or undermine global trade recovery.
 What’s Affected?
The revised tariffs will hit a range of Asian-made goods, not just Chinese vehicles:

Cars & EVs (Chinese brands like BYD and Geely) – Tariffs rise to 50%

Steel & aluminum – Tariffs up to 35%

Textiles, electronics & machinery – Various increases from 15% to 40%

These changes will reshape the competitive landscape for both Mexican consumers and domestic manufacturers, many of whom have complained of unfair pricing from state-subsidized Chinese competitors.
Global Trade Realignment
This development marks a key moment in the growing trade realignment within the Western hemisphere, as countries balance relations between the U.S. and China.
Mexico, while seeking to remain a neutral bridge between North and South, now finds itself more closely aligned with Washington’s trade agenda amid the strategic battle over EV dominance, supply chains, and technological influence.
What’s Next?

The new tariff structure is expected to take effect in Q4 of 2025

Trade talks between Mexico, the U.S., and China may intensify behind closed doors

China may pursue WTO consultations or retaliatory tariffs if tensions escalate