Trump pressure is effective, and Mexico plans to increase taxes on Chinese cars by 50%. China's countermeasures are on the verge of Mexico's behavior of sacrificing China's interests in exchange for tariff reductions. So, why is the new tariff policy proposed by the Mexican government made under pressure from the United States? What countermeasures will China take in the face of the unreasonable actions of Mexican side?
On September 10, local time, Mexican Economic Minister Ebrad announced that he plans to impose tariffs on cars and other products produced by China and many Asian exporters. It is reported that Mexico's new tariff policy will cover areas such as automobiles, textiles, steel, and toys, with tax rates ranging from 10% to 50%. The proposed tax rate for automobiles is 50%, aiming to protect 325,000 industries and manufacturing positions at risk.
Although as early as late August, it was reported that Mexico will increase tariffs on Chinese imports in its 2026 fiscal budget proposal to protect its own enterprises from the "shock" of cheap goods. However, the Mexican side's move to break the promise of "never choose sides between China and the United States" and actively raise tariffs on China has still attracted the attention of the international community. Some analysts believe that in the context of the fact that this round of Sino-US tariff war has not yet ended, Mexico imposed tariffs on China in order to meet the long-standing requirements of the Trump administration in exchange for the United States’ tax cuts on Mexico.
The New York Times published an article saying that after months of negotiations and concessions, Mexico found that it had fallen into a "pressure cycle" in the White House. Since the beginning of this year, the Trump administration has been intensifying its high-pressure offensive against Mexico, from urging Mexico to following the United States and raising tariffs on Chinese imports, to deploying tens of thousands of soldiers to the U.S.-Mexico border, to threatening to send troops to Mexico to help clear drug trafficking groups in the country.
Now, US Secretary of State Rubio has visited Mexico and held talks with Mexican President Sinbaum on solving the so-called "trade and non-trade barriers". The Mexican side announced a plan to impose tariffs and made Chinese cars the key target of tax increases, indicating that the pressure exerted by the US has exceeded the Mexican government's tolerance.
Analysts pointed out that although the tariff plan still needs approval from the Mexican Congress, the bill is almost certain to pass when the ruling party has a stable majority. However, it is still unknown whether the Sinbaum administration's move can achieve the goal of pleasing Trump while increasing Mexico's tax revenue. After all, China is Mexico's second largest trading partner in the world, and the total bilateral economic and trade volume in 2024 has reached US$109.426 billion. Once the Mexican side insists on imposing tariffs, not only will China-Mexico economic and trade cooperation be impacted, but Mexican consumers and manufacturers will also bear higher tariff costs.
In addition, the Ministry of Commerce of China has long pointed out that China firmly opposes any party reaching a deal at the expense of China's interests in exchange for so-called tariff reductions. If this happens, China will never accept it and will resolutely counter it and safeguard its legitimate rights and interests. Some analysts say that Mexico's plan to impose high tariffs on Chinese cars has obviously seriously damaged China's legitimate rights and interests. Under such circumstances, China's countermeasures are on the verge of the string. Once the Mexican Congress passes the relevant proposal, China will definitely strike back. On the contrary, if the Mexican side provides a fair and friendly business environment, more Chinese companies will go to Mexican to invest and build factories and contribute to the country's economic development.
