not close enough to china to prevent the biden administration from successfully pressuring the mexican government to make chinese EV manufacturing as difficult as possible to protect american companies by withholding tax and legal benefits for any chinese company that wants to setup shop in mexico.
Fortunately, the impact of removing the tax credits is very small or even unrecognizable. Also, Chinese EV manufacturing is already being done in Mexico with no issues whatsoever because the main market is Mexico for those EVs:
Isidoro Massri, director of JAC in Mexico, assured that the prices of its models will not be affected after the end of the tariff exemption, thanks to the final assembly of its vehicles in the country, which allows them to avoid those additional costs. “We have a plant that allows us not to pay tariffs. When the product is assembled locally under the CKD (Completely Knocked Down) process, in which the modules are imported from China and assembled here, acquiring a Mexican VIN, no tariffs are applied,” he explained in an interview.
Even if you check the EV market in Mexico, the Chinese EV are taking a big share and it is expanding with every passing day regardless of the pressure from the USA.
not close enough to china to prevent the biden administration from successfully pressuring the mexican government to make chinese EV manufacturing as difficult as possible to protect american companies by withholding tax and legal benefits for any chinese company that wants to setup shop in mexico.
Fortunately, the impact of removing the tax credits is very small or even unrecognizable. Also, Chinese EV manufacturing is already being done in Mexico with no issues whatsoever because the main market is Mexico for those EVs:
Even if you check the EV market in Mexico, the Chinese EV are taking a big share and it is expanding with every passing day regardless of the pressure from the USA.
https://expansion.mx/empresas/2024/08/26/subiran-de-precio-autos-electricos-importados-de-china