Auto and electronics sectors lose logistical edge as Mexico City moves to curb Asian shipments ahead of USMCA review

Mexico’s Senate approved on Thursday a sweeping tariff package that imposes duties of up to 50% on imports from countries lacking a free trade agreement (FTA) with Mexico, explicitly targeting South Korea, China and India. The legislation, which passed the lower house on Dec. 9, sets the majority of rates at 35% and covers strategic intermediate goods including steel, aluminum, electronics and automotive components.

The measures are scheduled to remain in force through 2026, serving as a protective bridge until the upcoming review of the United States-Mexico-Canada Agreement (USMCA). While Mexican President Claudia Sheinbaum has framed the tariffs as a tool for “sovereign reindustrialization,” the move may have been aimed at preempting U.S. criticism regarding trade imbalances and the transshipment of Asian goods through Mexico.

Mexico’s Senate approved on Thursday a sweeping tariff package that imposes duties of up to 50% on imports from countries lacking a free trade agreement (FTA) with Mexico, explicitly targeting South Korea, China and India. The legislation, which passed the lower house on Dec. 9, sets the majority of rates at 35% and covers strategic intermediate goods including steel, aluminum, electronics and automotive components.

The measures are scheduled to remain in force through 2026, serving as a protective bridge until the upcoming review of the United States-Mexico-Canada Agreement (USMCA). While Mexican President Claudia Sheinbaum has framed the tariffs as a tool for “sovereign reindustrialization,” the move may have been aimed at preempting U.S. criticism regarding trade imbalances and the transshipment of Asian goods through Mexico.

Get your
KoreaPro
subscription today!

Unlock article access by becoming a KOREA PRO member today!

Unlock your access
to all our features.

Standard Annual plan includes:

• Receive full archive access, full suite of newsletter products

• Month in Review via email and the KOREA PRO website

• Exclusive invites and priority access to member events

• One year of access to NK News and NK News podcast

There are three plans available:
Lite, Standard and
Premium.

Explore which would be
the best one for you.

Explore membership options

© Korea Risk Group. All rights reserved.
No part of this content may be reproduced, distributed, or used for
commercial purposes without prior written permission from Korea Risk
Group.