Mexico Imposes Up To 50% Tariffs On Asian Imports, India Impacted

• Mexico has imposed new tariffs, up to 50%, on over 1,400 products imported from Asian countries, including India, China, South Korea, Thailand, and Indonesia.
• This policy shift, approved by Mexico's Senate, targets countries without formal trade agreements and will be effective from next year until 2026.
• The tariffs will impact various sectors like textiles, auto parts, plastics, and metals, potentially increasing production costs and inflation for Mexican manufacturers.
• For India, the tariffs pose a challenge to its efforts to boost exports to Latin America and could reduce competitiveness in sectors like textiles and auto parts.
• Analysts suggest Mexico's protectionist move might be influenced by US pressure ahead of the USMCA review, aiming to align with Washington's stance on Chinese goods.

Why It Matters: Mexico's tariffs on Asian imports, including India, will raise costs and reshape trade routes.