KOTRA Offers Tariff Solutions to Korean Companies in Mexico, a Key Export Hub to the U.S.

Seminar Held for Korean Companies in Monterrey
Guidance on Responding to U.S. and Mexican Tariffs
Strategies for Tariff Response and Support Programs Introduced
Relay Seminars Also Held in Korea, Vietnam, Indonesia, and More

The Korea Trade-Investment Promotion Agency (KOTRA) announced on October 30 (local time) that it will hold the "Overseas Relay Seminar on U.S. Tariff Response" in Monterrey, Mexico.

KOTRA Headquarters Exterior. KOTRA

The seminar has been organized to help Korean companies operating in Mexico effectively respond to U.S. tariff measures. Monterrey is one of Mexico’s three largest cities and serves as a key base for Korean companies entering the U.S. market. Many major companies and their partners, such as LG Electronics, Kia, and Hyundai Mobis, have established a presence there.

For this seminar, KOTRA plans to invite local industry experts to present focused strategies on how Korean companies can utilize the United States-Mexico-Canada Agreement (USMCA). This initiative stems from the belief that leveraging the USMCA is essential for Korean companies to properly respond to U.S. tariff actions. In addition, KOTRA will provide updates on recent trends in U.S. tariff measures and introduce corporate support programs such as "Tariff Response 119."

Following the U.S. tariff measures, the Mexican government has also recently announced plans to raise import tariffs, making it even more crucial for companies operating in Mexico to prepare. In the 2026 budget proposal submitted to the Mexican Congress this past September, the government revealed plans to increase tariffs by up to 50% on 1,463 items across 17 strategic sectors, including automobiles, steel, and apparel. These increases will apply to countries without a free trade agreement with Mexico, though the implementation date has not yet been determined.

Experts advise that while the Mexican government’s tariff hikes are expected to have a negative impact on Korean companies, the effects can be mitigated by making good use of Mexico’s tariff reduction programs for intermediate goods such as raw materials and components, including PROSEC and IMMEX. PROSEC is a program that applies preferential tariffs to machinery, equipment, parts, and materials used in production across 24 designated industries such as electronics and steel. IMMEX allows for the deferral of tariffs on imported fixed assets or materials and parts used for manufacturing export goods. As of last year, raw materials and components accounted for 90% of Korea’s exports to Mexico.

During the seminar, local legal experts and others will give detailed presentations on Mexico’s tariff reduction programs and real-world examples of how companies can utilize them, enabling Korean companies in Mexico to proactively respond to the anticipated tariff increases. More than 100 representatives from Korean companies operating in Mexico have registered to attend, indicating strong interest in the event.

Lee Heesang, Executive Vice President of KOTRA, stated, "To support our companies facing difficulties due to U.S. tariff actions, we are holding relay seminars not only in Korea but also in overseas locations such as Vietnam, Malaysia, Indonesia, and Mexico. We will actively resolve corporate challenges by collaborating with the government and related organizations, and will provide robust support for companies’ tariff responses through rapid dissemination of trade information, export voucher programs for tariff response, and logistics support initiatives."

This content was produced with the assistance of AI translation services.