Mexican lawmakers backed on Wednesday a measure to raise tariffs on goods from China and other Asian countries that do not have a trade agreement with Mexico, despite strong pushback from Beijing.
The move, spearheaded by President Claudia Sheinbaum and awaiting Senate approval, would increase tariffs on imports of automobiles, textiles, clothing, plastics, appliances, and other products, primarily affecting Chinese goods.
The proposed tariff rates had been lowered from an initial suggestion of 50 percent, down to 20 or 35 per cent for most categories of goods. The 50-per cent rate would still apply in relatively few cases.
The Sheinbaum administration has sought to strengthen the domestic market and reduce dependence on imports, though opponents of the tariff plan warned it could lead to price hikes at home.
Some analysts have said it was a response to pressure from US President Donald Trump, who is waging a trade war with China.
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Beijing has said it opposes any “coercion” to impose restrictions on its exports, and Chinese officials had previously warned Mexico to “think carefully” about the move.
The lower house of Congress approved the proposal by 281 votes to 24, with 149 members not voting, arguing that further discussion was needed. The measure will now move to the Senate for consideration.
Beyond China, South Korea, India, Indonesia, Russia, Thailand, and Turkey are among the countries impacted by the proposed legislation.
AFP