Mexico Plans to Expand Anti-Dumping Measures Against China, Steel and Automobiles on the List
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Mexico is weighing new tariffs on steel and autos from China and other countries without free-trade agreements, a move closely aligned with U.S. demands that is effectively Mexico trading tighter China rules for leverage in the USMCA renewal talks.
What is Mexico planning?
Bloomberg, citing four people familiar with the matter, reports Mexico is evaluating new tariffs on goods from China and other non-FTA countries, plus increases to existing rates.
Steel and autos top the candidate list — the same two sectors at the center of U.S. pressure on China.
Mexico's Economy Ministry says no specific proposal exists yet but confirmed ongoing consultations with the private sector, alongside case-by-case anti-dumping probes into imports allegedly priced below production cost.
Why now?
The Trump administration has explicitly asked Mexico to impose tariffs on Chinese steel and aluminum matching U.S. Section 232 duties, to preserve differentiated treatment for goods within the USMCA bloc.
This means → if Mexico does not follow through, its preferential access under USMCA — the trilateral free-trade framework — could be withdrawn.
Trump chose not to renew USMCA outright, opting instead for an annual review mechanism — leaving Mexico's market access in limbo.
In plain terms = Mexico taxing Chinese goods is essentially a loyalty pledge to Washington, traded for a multi-year extension of the trade deal.
How did the last round of tariffs work?
In January, Mexico imposed tariffs of up to 50% on roughly 1,500 product categories covering autos, auto parts, and steel.
The impact was immediate: Chinese imports in covered categories fell nearly one-third year-on-year in the first five months.
Chinese light-vehicle, auto-parts, and footwear imports each dropped more than 40%.
This reflects a tangible chokepoint now in place on China's low-cost export channel into Mexico.
Who inside Mexico is pushing for this?
Steel, textile, and heavy-vehicle manufacturers have lobbied the government, arguing that cheap Asian imports erode domestic capacity and jobs.
Their demands align with President Claudia Sheinbaum's "Mexico Plan" — a state-led economic blueprint offering tax incentives to attract private investment and expand local supply chains.
This means → anti-China tariffs enjoy dual backing inside Mexico — from industry and from the policy establishment.
What to watch next?
Whether new measures materialize depends on two variables: the pace of the USMCA annual review and whether Mexican domestic manufacturing can mount a real supply response behind the tariff wall.
In plain terms = if tariffs go up but local capacity does not follow, the result is higher consumer costs without actually replacing Chinese supply.
Sheinbaum has signaled she is open to folding U.S. demands into the USMCA review framework — the trajectory of those talks is the single most important signal ahead.
Content is for reference only, not financial advice.