Tariff Benefit for Electric Vehicles Imported from China in Mexico is Set to Expire

"China does not play by the same rules as other countries," said Prime Minister Justin Trudeau, accusing China of "unfair competition."

"This decree has benefited Chinese automotive companies in importing electric vehicles to market in the country. Undoubtedly, it will impact the profit margins of the plant-distributor chain for these vehicles and, in part, also the consumer," said Guillermo Rosales, Executive President of the Mexican Association of Automotive Dealers (AMDA).

"The policy we propose is to apply a zero-rate Value Added Tax on the purchase of electric vehicles. This measure would benefit all electric vehicle buyers, regardless of the product's origin, and would provide an incentive to produce here, as well as a benefit to vehicles from countries with which we have trade agreements," he emphasized.