Mexico vows to raise tariffs on Chinese cars to 50%

Mexico will raise its tariffs on cars from China and other Asian countries to 50% from a previous level of 20%, Economy Minister Marcelo Ebrard said on Wednesday.

"They already have tariffs," Ebrard told reporters when asked about import duties on China. "What we will do is raise them to the maximum level allowed." "Without a certain level of protection, it's almost impossible to compete," he added.

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Ebrard said the measure, which is within the limits imposed by the World Trade Organization (WTO), aims to protect jobs in Mexico, as Chinese cars are entering the local market "below what we call reference prices."

The light vehicle and auto parts sectors have been particularly affected by lower Chinese prices, he said.

The move comes as the United States is pressuring Latin American countries to limit their economic ties with China, with which they compete for influence in the region.

Ebrard had already spoken out this year about the tariff measures, saying that they were at odds with economic growth and the maintenance of inflation.