Baja’s industrial sector is being affected by the recent surge in tariffs on raw materials from China

By Felipe Ledezma 

June 24, 2024

The recent rise in tariffs on Chinese raw materials has greatly affected Baja California's industrial sector, with about 20 percent of the region's businesses feeling the impact.

The recent increase in tariffs on raw materials from China has had a significant impact on the industrial sector in Baja California. About 20 percent of the region's industries have been affected by this regulatory measure enforced by the Mexican government in response to pressure from the United States. The vice president of the Otay Mesa Industrial Association (AIMO), José López Castellanos, has highlighted the implications of these tariffs on the local economy. These punitive tariffs have disrupted supply chains, creating challenges for industries reliant on Chinese imports. As a result, businesses in various sectors, including manufacturing, electronics, and automotive, are facing increased production costs and logistical complexities.

The effects of these tariffs extend beyond Baja California, impacting Mexico's wider industrial landscape. The strained dynamics between the U.S. and China, combined with Mexico's regulatory measures, underscore the complexities of global trade and geopolitical tensions. As businesses grapple with the repercussions of these tariffs, stakeholders are forced to reevaluate their strategies, explore alternative sourcing options, and navigate an uncertain and disruptive trade environment.

To address these challenges, industry leaders and policymakers need to work together to develop practical solutions to mitigate the adverse effects of tariff-induced disruptions. Initiatives aimed at diversifying supply chains, boosting domestic production capabilities, and promoting innovation and resilience in the industrial sector are essential to safeguarding Baja California's long-term economic viability and competitiveness.

As industries in Baja California adapt to the changing global trade landscape, adaptability, innovation, and collaboration are crucial for navigating the challenges and ensuring sustained growth and prosperity for the region.

You might be interested in this too:
What are the business opportunities in the Mexican airport sector due to nearshoring?

The AI market in Mexico

Learn how nearshoring can benefit Mexico’s film industry

Can Mexico improve its capacity to attract nearshoring?


Contact us for a Consultation

Get in touch with us and together we will find an effective solution to your needs.

Our Experience is your Success




Pasero Abogados provide an effective solution to your needs.

Tijuana B.C., Mexico

Blvd. Agua Caliente 4558-403

(+52) 664 686 5557

Blvd. Agua Caliente No. 4558-403
Col. Aviacion C.P. 22420

Tijuana, B.C. Mexico.

PO Box 767 Bonita


Monterrey, N.L.

Mexico City

Queretaro, QRO.

San Jose del Cabo, BCS.


MEX Tel. +52 664 686 5557

MEX FAX +52 664 686 5558

Pasero Abogados, S.C., is a full service Mexican law firm that provides a wide range of international transactional and litigation legal services.