Mexico Raises Tariffs on Non-FTA Imports, Targeting China Amid Trade War

Mexico has raised tariffs on imports from countries like China with which it lacks free trade deals, affecting Chinese exports.
The tariff hikes come as Mexico replaces China as a top US import source amid the US-China trade war.
China is urging Mexico to maintain free trade principles and limit tariff hikes that could hurt bilateral trade.
The tariffs may disrupt Chinese manufacturers that have shifted production to Mexico to circumvent US curbs.
China should adjust trade patterns as Mexico's importance rises, like encouraging more Chinese investment there.

scmp.com

Relevant topic timeline:

8/20/2023

Mexico replaced China as America's top trade buddy — and it shows how the global economy is rapidly transforming

### Summary Mexico has become the top trading partner of the United States, surpassing China and Canada, with trade reaching $263 billion in the first four months of this year. This shift reflects an accelerated move towards "nearshoring" and regional trade, driven by factors such as increased protectionism and the desire for faster delivery times. ### Facts - 🇲🇽 Mexico has overtaken China and Canada as the top trading partner of the US since the start of the pandemic. - 🌍 The $263 billion worth of goods traded between Mexico and the US in the first four months of 2021 accounted for 15.4% of total US trade. - 🌎 In comparison, trade totals with Canada and China were 15.2% and 12% respectively. - 🚚 The practice of "nearshoring," where countries bring supply chains closer to home, has gained momentum, driven by factors such as increased protectionism and the demand for faster delivery times. - 📉 The economic chaos of 2020 continues to shape the world economy, with regional trade and nearshoring becoming more prominent. Please note that the article also mentions the improving relationship between the US and China, as well as the potential for growth in trade between Mexico and the US. However, these points are not included in the bulleted facts above.

8/20/2023

Mexico replaced China as America's top trade buddy — and it shows how the global economy is rapidly transforming

Trade between the US and Mexico has surpassed China and Canada as America's top trade partner, reaching $263 billion in the first four months of 2022, indicating a shift towards regional trade and nearshoring.

9/8/2023

China Seeks Improved Ties with U.S. Amid Economic Uncertainty

China recognizes its economic problems and wants to improve communication and attract foreign investment, showing a shift from its usual anti-Washington rhetoric.

9/10/2023

China's Economic Slowdown Spreads Across Global Steel Market

The decline in Chinese imports into the U.S. is impacting steel prices and raising concerns about sourcing steel and other metals.

Topics

Posted 9/21/2023, 3:00:20 PM

Mexico Raises Tariffs on Non-FTA Imports, Targeting China Amid Trade War

Mexico has raised tariffs on imports from countries like China with which it lacks free trade deals, affecting Chinese exports.
The tariff hikes come as Mexico replaces China as a top US import source amid the US-China trade war.
China is urging Mexico to maintain free trade principles and limit tariff hikes that could hurt bilateral trade.
The tariffs may disrupt Chinese manufacturers that have shifted production to Mexico to circumvent US curbs.
China should adjust trade patterns as Mexico's importance rises, like encouraging more Chinese investment there.

scmp.com

Relevant topic timeline:

8/20/2023

Mexico replaced China as America's top trade buddy — and it shows how the global economy is rapidly transforming

8/20/2023

Mexico replaced China as America's top trade buddy — and it shows how the global economy is rapidly transforming

9/8/2023

China Seeks Improved Ties with U.S. Amid Economic Uncertainty

China recognizes its economic problems and wants to improve communication and attract foreign investment, showing a shift from its usual anti-Washington rhetoric.

9/10/2023

China's Economic Slowdown Spreads Across Global Steel Market

The decline in Chinese imports into the U.S. is impacting steel prices and raising concerns about sourcing steel and other metals.