China investigates Mexican tariffs on imports from Asia as trade tensions escalate

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BEIJING (AP) — China has opened an investigation into whether import tariffs being imposed by Mexico are a trade and investment barrier.

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BEIJING (AP) — China has opened an investigation into whether import tariffs being imposed by Mexico are a trade and investment barrier.

Mexico plans to impose taxes as high as 50% on more than 1,400 products from Asia to protect factories at home, which are facing stiff tariffs imposed by U.S. President Donald Trump on exports to the United States.

A Chinese Commerce Ministry statement posted Thursday said the tariffs would harm the interests of affected countries.

FILE - Chinese products are seen in a supermarket in downtown Mexico City, July 24, 2024. (AP Photo/Eduardo Verdugo, File)
FILE - Chinese products are seen in a supermarket in downtown Mexico City, July 24, 2024. (AP Photo/Eduardo Verdugo, File)

“China believes that, against the backdrop of the current U.S. abuse of tariffs, all countries should jointly oppose all forms of unilateralism and protectionism and must not sacrifice the interests of third parties because of coercion,” the statement said.

China’s Commerce Ministry also announced Thursday that it was launching an anti-dumping investigation into pecans imported from Mexico and the United States.

Mexican President Claudia Sheinbaum denied Friday that Mexico’s tariffs had raised commercial tensions with China. She said that Economy Secretary Marcelo Ebrard had proposed creating a “high-level working group” to facilitate dialogue on the topic at a meeting with the Chinese ambassador to Mexico on Thursday.

Sheinbaum voiced support for that dialogue Friday, so that Chinese authorities “understand the situation” and her administration’s decision to increase domestic production and consumption.

Mexico has been under pressure from the Trump administration to limit Chinese imports, some of which the U.S. says use Mexico as a backdoor to the American market.

Sheinbaum has said that the tariffs are not the result of U.S. pressure.

China will be the most affected as Mexico imported $130 billion worth of products from the country in 2024, second only to what Mexico bought from the United States. Other countries hit will include South Korea, Thailand, India, Philippines and Indonesia.

It’s not clear if the investigation into the Mexican tariffs would result in any concrete steps against Mexico.

Under the regulation governing such investigations, a finding that a trade barrier exists can can lead to consultations with the other country, a settlement under a multilateral framework and other appropriate measures.

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