Vehicles made in Mexico and exported to the United States will now be taxed up to 15% instead of 25%, Mexican Economy Minister Marcelo Ebrard said Tuesday, who talks about a new American decision.
Since April 3, imported vehicles to the United States have been subject to customs tariffs of 25%, except the pieces of Mexico and Canada and covered by the Free Trade Agreement between the three countries (USMCA or T-MEC in Spanish and French).
“From now on, vehicles made in Mexico and destined to the United States, instead of paying 25%, will pay approximately 15%, which represents a great advantage compared to other countries that export to the United States,” Mexican minister told journalists, adding that the measure could be retroactive.
80% of Mexico’s exports are intended for the United States
At the end of last month, Donald Trump announced measures to temporarily soften customs tasks on the car and affect almost all US manufacturers with factories and suppliers abroad.
Mexico is one of the countries most vulnerable to customs tasks imposed by Washington, because 80% of its exports are intended for the United States, its main commercial partner.
The effects on the Mexican automotive sector, which export almost 3 million cars per year to the US market and represent 3.6% of the country’s gross domestic product, have already been felt by certain important manufacturers, which have interrupted their production in certain factories.
Mexico, the second economy in Latin America after Brazil, is the home of industry giants such as Ford, Nissan, General Motors, Stellantis and Volkswagen.
Source: BFM TV
