Mexico Joins US in Raising Tariffs on Indian Goods
Mexico has approved significant tariff hikes on several Asian countries, including India, following the United States’ recent move to impose 50% tariffs on Indian goods. The Mexican Senate passed a revised bill that raises or introduces new duties—mostly up to 35%—on products like autos, auto parts, textiles, clothing, plastics and steel. Despite strong objections from business groups, the government argues the move will help strengthen its domestic industries.
The bill, affecting around 1,400 import lines, was softened from an earlier version after pushback from lawmakers and industry sectors. While the tariff rates and product coverage were reduced, the decision still marks a notable shift in Mexico’s trade approach as it prepares for the upcoming USMCA review. Other countries impacted include China, South Korea, Thailand and Indonesia.
Analysts say the policy is aimed at aligning Mexico closer to the United States and generating an estimated $3.76 billion in revenue next year to address fiscal challenges. This follows Mexico’s earlier tariff hikes on Chinese goods, which were seen as an attempt to address U.S. trade concerns—though Washington has continued to express reservations.
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