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On September 10, 2025, Mexico came back to show operations.
Under the U.S. order, Mexico has extended its hand to our goods, promising to raise taxes on our exports of light cars, parts and textiles, up to 50 percent.
Of course we quit-whoever touches our enterprises and industrial chains will have to pay the price.
On September 25, China officially launched an investigation into trade and investment barriers against Mexico, and filed anti-dumping lawsuits on imports of beige fruit originating in them and the United States.
Mexico has to understand: don't think that you can take advantage of pleasing the United States. Their dependence on our country is there. Once we take action, we will be in big trouble.
Mexico to raise taxes
Looking back in the first half of 2025, Mexico has frequently acted against China, calling people straight "unbeatable defense."
At the beginning of the year, they first handed out of textiles and direct sales of clothing, temporarily raised taxes, seemingly protecting the local industry, in fact is rubbing the edge, to the Chinese enterprises.
In March, the upgraded version arrived.
The tariffs on automobiles, electronics and chemical products are 10% to 20%, plus the transshipment inspection, and the customs clearance speed of enterprises has dropped by half a beat.
In April, the measures were extended and the scope was extended to plastics and steel, basically forming a "chain reaction", and every export link may be stuck.
In May, Mexico joined the U.S.-led IPEF (the “Indo-Pacific Economic Framework”) expansion, promising the United States to restrict imports of high-tech goods from China.
This is obviously cooperating with the United States to gain a firm position in the political game of North America.
July was even more ruthless, imposing countervailing duties of up to 35% on our electric vehicles.
As a result, BYD's market share in Mexico has been directly cut from 15% to 10%, and sales have been significantly affected.
In August, a new trick came out, raising the tariffs on packages below $2500 from 19% directly to 33.5%, not even for small items.
In early September, a final counter-subsidy tax was imposed on shoes for less than $22.58, plus $0.54 to $22.5 per pair.
The original 35% tariffs continued for two years, and the entire market seemed to be covered in a “big network of tariffs.”
On September 10, Mexico's President Simón Bolívar launched the "Plan Mexico", which focused on countries that did not sign free trade agreements.
The tariffs on light cars jump from 20% directly to 50%, on auto parts from 10% to 50% and on motorcycles from 35%.
Steel 35%, toys 35%, even aluminum products, shoes, cardboard, textiles, bathroom supplies, water pumps, fans are included in the 10%-50% tax rate.
Almost all of our products are covered in the ink market with a "high tax hat".
Thro this series of operations, the reason is not hard to guess, is nothing but Trump's side pressure, Mexico continues to meet, the heart of the calculator beats: good for the United States, less threatened by trade.
For example, in July, the U.S. threatened to raise tariffs on its commodities to 30 percent, although it was later suspended for 90 days.
But Mexico has long been the leader and frequently acts in order to show a "cooperative attitude" in front of the United States.
In the face of provocation, we shed the sword.
In the face of Mexico's continued action, our country is not sitting on the sidelines.
On September 25, 2025, the Ministry of Commerce officially announced the launch of a trade and investment barrier investigation into their China-related restrictive measures.
An anti-dumping investigation will be launched on imported pecan nuts originating in them and the United States, and the investigation period is expected to be one year.
Moreover, the investigation was extensive, covering both tax measures, as well as various trade barriers and investment restrictions, which almost entirely covered our impact on ink companies and industries.
In this regard, we also made it clear that the investigation adheres to the "three publics": fairness, fairness and openness, and the affected enterprises are welcome to participate.
Meanwhile, the findings will be used to decide, take necessary measures, and possibly even drive bilateral negotiations or upgrade to multilateral mechanisms such as the WTO.
“When we saw the action against Mexico, the media and experts interpreted it.
Hong Kong's South China Morning Post directly pointed out that Mexico's tax hike is "good for Washington", and our investigation is a clear signal to tell Mexico not to easily step on the red line.
Xi Jinping, an expert at the Academy of Social Sciences, pointed out that the timing of an anti-dumping investigation was good and was a warning to Mexico.
China has adopted a response strategy that will not force third parties to stand aside, but will resolutely respond to those countries that openly support the United States and harm our interests.
It costs to touch.
So, if we really do, how much will Mexico have to pay?
To be honest, Mexico’s dependence on our country is not just talking.
By 2024, China and Mexico will trade more than $100 billion and we are Mexico’s second-largest trading partner.
Automotive and parts are at the forefront, with China exporting parts to Mexico at $12.7 billion, accounting for its total imports from China at 14.1 percent, with batteries and generators exporting at $9.2 billion.
Light car sales account for 13 percent of total sales in Mexico, with imports accounting for a high share, rising from 0.5 percent to 9.7 percent over the past five years.
Not only the whole car, but our parts enterprise also invests heavily.
For example, from 2014 to 2023, parts manufacturers invested US $7.9 billion in Mexico, accounting for 37% of my country's total investment in Mexico's automobile industry, far exceeding 22% of OEMs' US $4.6 billion.
Interestingly, most of these parts companies are deployed in Mexico to serve the North American market. Tesla is also promoting Ningbo suppliers to build factories in Mexico and speed up production progress.
Moreover, most of my country's OEMs still directly import complete vehicles or parts from my country. Parts companies in Mexico are also highly dependent on my country's supply, with an import value of nearly US $2 billion in 2024.
In other words, the chain of the Mexican automotive industry is almost connected to our country.
Once we take measures, Mexico's light vehicle assembly, parts production and supply chain operation will be directly affected.
The price of parts has risen, and the production cost has skyrocketed.
On the consumer side, car prices are rising, sales are falling, and the financial, logistics and sales sectors are affected.
Not only the automobile industry, but also the textile industry.
Their textile enterprises are protected, but raw materials and intermediate products are mainly dependent on imports from China, and once supply is blocked and costs rise, the profits of the entire industrial chain are compressed.
In addition, the Mexican business environment and international reputation will be affected.
In the future, Chinese companies may only open stores in Mexico and will not easily invest in factory construction.
This is the bottom line of thinking: dare to touch our interests, you have to pay a price.
Mexico thought it could play double-reed with the United States, and it was supported by big bosses.
But the reality of leaving our supply chain lies there, and the risk of playing two sides is not small.
References:
Margaret Meyers: How the Mexican automotive industry “switches to survive” under the Chinese-American game, Observer Network, 2025-09-08
Cross-border e-commerce, packaging, textiles, Ningbo City Commerce Bureau, 2025-09-09
Checklist announced! Mexico plans to impose a 50% tariff on China, China responds (with product list), Ministry of Information Services, 2025-09-12
China launches trade investigation into Mexico, "warning it not to yield to US pressure," Observer.com, 2025-09-27
Ministry of Commerce: Investigate trade and investment barriers on Mexico's relevant China-related restrictive measures, Observer.com, 2025-09-25
China launches trade investigation into Mexico, "warning it not to yield to US pressure," Observer.com, 2025-09-27