Trump鈥檚 2025 Tariff Strategy: What鈥檚 Next for Mexico Manufacturing

As of March 25, 2025, manufacturers operating in or trading with Mexico are watching closely as the Trump administration prepares for a second wave of tariffs. Set to go into effect on鈥�April 2,

these tariffs follow the broader trade actions launched earlier this year that have already placed a 25% tariff on a wide range of goods imported from Mexico and Canada.

President Donald Trump has framed the tariffs as a necessary response to what he describes as 鈥疢exico鈥檚 failure to prevent fentanyl and illegal immigration鈥痜rom reaching the United States 鈥� key issues at the core of his reelection campaign.

鈥淚f a country makes cars and sells them into our country and we get nothing, we get no tax and they get massive tax when we send them the other way, or they don鈥檛 take them, that鈥檚 not fair,鈥� Trump said during a campaign stop in Michigan, referencing the concept of "reciprocal tariffs."

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Targeted Tariffs Coming April 2

According to鈥疶reasury Secretary Scott Bessent, the upcoming tariffs will adopt a more surgical approach:

鈥淭he reciprocal tariffs will target about 15% of the countries the administration considers trade abusers.鈥�

While exact product categories remain unclear, industries such as鈥痑utomotive, electronics, and food processing鈥痑re on high alert.

For now,鈥痑uto imports compliant with the USMCA agreement are temporarily exempt, but that exemption ends April 2 鈥� unless another delay or policy revision is issued.

Market & Industry Reactions

The market responded positively to news that the April 2 tariffs might be narrower than originally expected. The鈥疍ow Jones surged over 600 points鈥痮n Monday, March 25, as Wall Street welcomed the possibility of a more restrained approach. Yet, many manufacturers remain cautious.

Insurance experts鈥�have warned that the cost of car ownership in the U.S. could rise if Mexican-made parts and vehicles are taxed further. Similarly, companies like鈥疞G Electronics鈥痑re now reassessing their global manufacturing footprints to mitigate supply chain disruptions.

Meanwhile,鈥疨emex, Mexico鈥檚 state-run oil company, is reportedly looking to diversify its export markets to reduce reliance on U.S. demand, signaling broader strategic shifts in response to U.S. policy uncertainty.

What It Means for Manufacturers in Mexico

For companies manufacturing in Mexico, especially those exporting to the U.S., this evolving situation highlights the importance of鈥痗ompliance with USMCA rules of origin, as well as the need to explore鈥痶ariff mitigation strategies鈥痵uch as:

• Shelter Services in Mexico鈥痶o reduce risk exposure
• Restructuring supply chains鈥痶o minimize U.S. duty impact
• Leveraging programs like鈥�IMMEX and VAT Certification鈥痶o remain cost competitive

Stay Ahead of Policy Shifts

础迟鈥� 黑料吃瓜网, we closely monitor policy changes that impact North American manufacturing. With over four decades of experience helping companies navigate trade, compliance, and site selection in Mexico, we are your trusted partner in uncertain times.

Contact us鈥痶oday to evaluate how these tariffs may affect your operations 鈥� and how you can safeguard your business moving forward.