After the EU, Mexico suddenly announced that we will increase tariffs on Chinese imported cars, up to a maximum of 50%! The reason for doing so is that the price of cars arriving in Mexico is lower than the reference price mentioned by Mexico. A more grandiose reason is to protect local employment. Objectively speaking, if foreign goods are priced too low, it will indeed affect the sale of local goods, and if local goods are difficult to sell, it will affect factory production and subsequently trigger employment problems. The domino effect is quite frightening.

However, it is understood that the price of a Tiggo 4 Pro in Mexico is 399900 Mexican pesos, equivalent to a starting price of 154000 Chinese yuan; A MG4 starts at 194000 yuan in Mexico, and the top configuration is sold for 295000 yuan. This pricing can only be said to be - too high! Others think it's low, but we think it's high. This incident actually happened in Russia, where some protective policies were adopted to avoid devastating impacts on local businesses due to "underpricing".

Mexico is China's second largest trading partner in Latin America, and China is Mexico's third largest export destination. Data shows that from January to July 2025, among the top ten overseas sales of Chinese exported cars, Mexico was included. However, like Russia, both showed a downward trend, while sales in Southeast Asia, Europe, and other countries increased year-on-year. At present, car companies that sell well in Mexico include SAIC, Jianghuai, Changan, Great Wall, and Chery, with sales of 27597, 14187, 9311, 8424, and 5754 vehicles respectively from January to July; In terms of new energy, BYD is gradually opening up the Mexican market.

At the recent Munich Motor Show in Germany, Chinese car brands showcased their new cars and technologies, attracting foreign friends to watch. The top three German brands, Mercedes Benz, BMW, and Audi, have collectively collapsed in the wave of new energy. However, even though executives have long recognized their backwardness and shortcomings, limited by mature systems and architectures, how can they easily achieve a "elephant turn" and counterattack? In this situation, using tariffs as a weapon to counterattack and protect local enterprises has become the most important means.

According to data from China Europe automobile trade, the average export price of Chinese electric vehicles to Europe has risen from 18000 euros in 2020 to 36000 euros in 2025. Obviously, with the increase in premium, Chinese cars overseas are not relying on low prices. On the contrary, the increase in premium indicates the synchronous improvement of brand power, which is the most fatal for foreign brands. Europe is afraid, and Mexico is also afraid.