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Mexico’s 5-Year Tariff Exemption for Vehicle Assembly Import Parts

  • 15th October 2026

On October 13, 2026, the Mexican government published a decree in the Federal Official Gazette introducing a temporary import tariff exemption for qualifying vehicle assembly parts and components.

Taking effect on the day after official publication, the new tariff policy will remain valid for five years. It serves as a key incentive for Mexico to upgrade its domestic automotive industry and attract foreign investment.

The tariff exemption is designed to draw new vehicle production and assembly lines to Mexico, with a particular focus on boosting Semi Knocked Down (SKD) and Completely Knocked Down (CKD) projects.

Who is eligible for the tariff exemption?

Qualified terminal automotive manufacturers with bonded warehouse qualifications and core businesses in complete vehicle manufacturing and assembly are eligible for the tariff exemption.

What are the specific preferential tariff terms?

The policy eliminates the 10% ad valorem import tariff on vehicle assembly components under tariff code 9803.00.01. The exemption applies exclusively to parts for official vehicle assembly by qualified enterprises, which must comply with relevant regulations issued by Mexico’s Ministry of Economy.

This policy effectively reduces the construction and operation costs of new automotive projects in Mexico, improves the local automotive supply chain, and aligns with the global trend of supply chain restructuring and industrial relocation. It also helps Mexico attract more automotive investment, facilitate technology transfer and expand professional employment, and strengthen its position as a global automotive manufacturing hub.

For more details check the official complete

Decree in this link: Click here read the original content

MEXCHAM continues building bridges between Mexico and China.

中国墨西哥商会将继续作为墨西哥与中国之间的桥梁,不断努力。

Cámara de Comercio de México en China

(MEXCHAM)中国墨西哥商会

www.mexcham.org

bj.info@mexcham.org