Mexico imposes tariffs on the United States

Mexico increases tariffs on imports from the United States of various manufacturing products such as lamps and flat steels, as well as perishable products such as pork legs and shoulders, sausages and food preparations, apples, grapes, cranberries, and various cheeses, among others.

These taxes were announced with the knowledge that the agricultural and food sectors are key factors in US policy. However, the Mexican authority has mentioned that this measure will prevail until the US government eliminates the imposed tariffs.

Mexico answers to the protectionist measures of the United States

The last June 1st, the US once again imposed tariffs on imports of steel and aluminum, among others, being 25% for steel and 10% for aluminum; thus affecting the commercial relationship between the American union and its neighboring countries, Mexico and Canada, as well as with the European Union.

That measure, considered by the Mexican Ministry of Economy as not adequate or justified under the criterion of national security, can trigger the loss of jobs and an increase in costs for aluminum dependent manufactures, such as the automotive, aerospace, electrical and electronic sectors.

Free trade agreement between Mexico and the EU

Additionally, Mexico has carried out a strategy in international politics, diversifying markets through the modernization of the Free Trade Agreement with the European Union, which will benefit especially the Spanish agri-food sector that will be able to export free pork and poultry to Mexico of customs duties.

Trade with the EU has grown 4 times since the entry into force in 2000, reaching 72 billion dollars in 2017. According to the Ministry of Economy of Mexico, the members of the European Union represent 30% of the investments that Mexico receives, 159 billion dollars (1999-2017). The European Union is the 3rd commercial partner of Mexico and the 2nd investor.

Likewise, the participation in the Integral and Progressive Treaty of Trans-Pacific Association, CPTPP was also signed. Once the latter enters into force, Mexico will have 13 commercial agreements with 52 countries around the world.