Mexico Imposes 50% Tariffs on China, India; India Sees Export Opportunities

• Mexico will impose up to 50% tariffs on goods from countries without trade deals, including China, India, South Korea, Thailand, and Indonesia, starting 2026.
• The tariffs, approved by the Senate, will affect imports of auto, auto parts, textiles, clothing, plastics, and steel, aiming to protect Mexico's local industry.
• This move could create new market opportunities for Indian exporters and strengthen India's role in the global supply chain.
• Indian export-oriented stocks in sectors like textiles, auto parts, footwear, and plastics may benefit, accelerating the "China Plus One" manufacturing theme.
• The decision is seen as a strategic move by Mexico ahead of the 2025 USMCA review, potentially aligning with US pressure on China.

Why It Matters: Mexico's new tariffs reshape global trade, creating opportunities for Indian industries.