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Mexico

Mexico's US tariff treatment unchanged as Democrats projected to win Congress

Duties on Mexican goods depend on trade rules, and a new annual USMCA review cycle keeps the outlook uncertain for firms that rely on nearshoring.

Photo: The Rio Times

What happened

Democrats are projected to win the US Congress, but Mexico's tariff treatment is set by trade rules rather than by the vote. The Rio Times Goods that do not qualify under the USMCA have paid a 10% duty since 24 July, while more than 80% of Mexican exports qualify and pay nothing extra. The Rio Times Firms shipping USMCA-qualifying goods therefore face no new duty, and others pay 10%, as they have since July. The Rio Times

Around it

At the first joint USMCA review on July 1, the United States declined to renew the agreement in its current form, while Mexico and Canada both backed a 16 year extension. Lean Six Search The agreement remains in force, but the three countries now review it every year until they agree on an extension or the deal expires in 2036. Lean Six Search Mexico reached a record 17.4 percent of US goods imports in the first eight months of 2026, well ahead of China. Lean Six Search The relationship with Canada shows how quickly matters can escalate, including a 50 percent US tariff on a range of Canadian imports in August. Lean Six Search

What comes next

The US Trade Representative opened the public comment period for the next review in October, with comments due on January 12, 2027 and the next joint review due by July 1, 2027. Lean Six Search Official US results and any change to the 10% duty are also among the items to watch. The Rio Times

Sources

  1. The Rio TimesMexico Trade Shield Holds After US Vote
  2. Lean Six SearchUSMCA Annual Review & Mexico Supply Chain Leadership

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