Mexico's Budget Proposal: A Strategic Move Against Asian Imports
Mexico proposes new tariffs on over 1,400 products, primarily from Asia, to boost national production amid pressures from the US to align against China. Treasury Secretary Édgar Amador highlighted the absence of trade deals with affected countries and the alignment with WTO guidelines. The budget is likely to pass.
Mexico's government has unveiled a budget proposal that targets more than 1,400 products, predominantly imported from Asian countries, with new tariffs. This move is part of a strategy to bolster domestic production, coinciding with American calls for a united North American stance against China.
Although Treasury Secretary Édgar Amador refrained from pinpointing China, he emphasized that the budget for 2026 aims to levy tariffs on imports from countries lacking trade agreements with Mexico. The plan complies with World Trade Organisation guidelines, and care will be taken to mitigate any potential impact on production and prices.
The proposal comes amid challenging trade discussions with the Trump administration, which has hinted at imposing increased tariffs. Mexico has countered with its own measures, such as tariffs on Asian textile imports and heightened efforts against pirated goods. Despite tensions, the proposal is anticipated to pass, given the ruling party's legislative majority.
(With inputs from agencies.)
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