High tariffs can hardly hide the advantages of Chinese products in the Mexican market

The Mexican economist reported on December 6th that ROBERTO MORALES' article "Despite China's high tariffs, China still has an advantage in the Mexican market." The article said that although according to Mexico's implementation of some 45%-250% of China's high tariffs on certain goods, China still dominates the market for toys, children's vehicles and shoes.

According to the article, in 2010, Mexico imported 390 million U.S. dollars in toys of different types, and children's cars cost 20 million U.S. dollars, of which 80.4% and 74.8% came from China. Chinese toy and buggy exporters must pay an additional 75% and 50% tariff, respectively. Despite this, China’s exports are more competitive than other 151 countries that only pay 15% tariffs on Mexico, which fully demonstrates the strength of Chinese toy exports in the international market. China has surpassed other competitors and legally exported toys to Mexico.

The Mexican Federation of Toy Industry** stated that in Mexico there are production and competitive markets, and Mexicans demand equal competition. It is required to increase the tariff to 15%-30%. This is a measure that Mexico can take unilaterally after the transitional measures are lifted.

The article said that the transitional measures have not been able to prevent Chinese goods from taking up the market in Mexico. Among them, tools, locks, power tools and candles from China account for 29.4%, 39.2%, 40.4% and 57.6% of the Mexican market respectively.

The general manager of Mexico's IQOM Consulting stated that if tariffs are raised, the policy should be implemented for all countries that do not have a free trade agreement with Mexico and should not be discriminated against.