Overview

• Mexico is advancing a plan in 2026 budget discussions to raise tariffs on Chinese goods, including a 50% rate on cars.
• China’s Ministry of Commerce told Mexico to “think twice,” calling unilateral hikes an appeasement of “unilateral bullying.”
• President Claudia Sheinbaum said the proposal is designed to protect domestic industry rather than provoke China.
• The move comes as the United States under President Donald Trump pushes trading partners toward tougher measures on China.
• China reports a roughly $71 billion trade surplus with Mexico, and the Chinese Embassy did not immediately comment.