"With Mexico's Tariff Barriers Rising"... Government and Industry Discuss Response Strategies

Industry Concerns Over Stricter Rules of Origin

Yeohan Gu, Director General of Trade Negotiations, attended the '53rd Trade Promotion Committee' held at the Korea Chamber of Commerce and Industry in Jung-gu, Seoul on the 8th, delivering a welcoming speech. 2026.01.08 Photo by Dongju Yoon

The Ministry of Trade, Industry and Energy announced on the 8th that it held a meeting with Korean companies operating in Mexico and export industry representatives at the Korea Chamber of Commerce and Industry in Seoul, where they discussed response measures to changes in Mexico's trade environment.

This meeting, chaired by Yeohan Gu, Director General of Trade Negotiations, was convened to identify challenges faced by Korean companies amid growing trade uncertainty—such as Mexico's tariff hikes and the review of the United States-Mexico-Canada Agreement (USMCA)—and to discuss ways to advance negotiations for a Korea-Mexico Free Trade Agreement (FTA).

According to the Ministry, Mexico has implemented tariff hikes on countries without an FTA since January this year. Director General Gu stated, "The Korea-Mexico FTA is not only about economic cooperation; it is an urgent task that must be pursued to restore the export competitiveness of our companies and establish a stable business environment." He further urged the private sector to actively raise on-site difficulties and policy suggestions.

Industry representatives expressed concerns that the rules of origin criteria could be further tightened during the USMCA review process between the United States and Mexico. They requested that the government utilize high-level diplomatic channels to negotiate with the Mexican government. Additionally, they suggested that, in the long term, concluding a Korea-Mexico FTA would be necessary to ensure Korean products benefit from tariff-free access in the local market.

The Ministry of Trade, Industry and Energy plans to continue consultations with the Mexican Ministry of Economy and related organizations based on the industry feedback collected at this meeting.

Director General Gu stated, "The government and the private sector will work together as one team to actively address major trade issues and minimize the burden on companies."

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