Effective 1 January 2026, Mexico implemented a sweeping increase in its Most Favoured Nation (MFN) import tariffs under a reform of the General Import and Export Duties Law (LIGIE) and the customs-related provisions of the Foreign Trade General Rules. The reform raises duties on 1,463 tariff items (8-digit codes) up to 50%, affecting HS chapters covering household goods, kitchenware, plastic products, textiles, footwear, and steel-intensive items. The schedule was published in late December 2025 in the Diario Oficial de la Federación (DOF) and applies to all countries except those with free trade agreements (USMCA, EU, Japan, EFTA, etc.).
Quantitative cost impact on a representative shipment. Consider a 40HQ FCL of kitchenware from China to Mexico City, FOB value $80,000. Under pre-reform MFN, the applicable duty averaged 5–10% depending on the HS code. Under the 2026 LIGIE reform, the same shipment faces:
| Cost line | Pre-reform | Post-reform (2026) |
|---|---|---|
| MFN duty (HS 7323 / 3924) | $4,000–$8,000 (5–10%) | $20,000–$40,000 (25–50%) |
| DTA (textile / apparel) | $0 | $5,000–$15,000 (up to 25%) |
| IVA (VAT on CIF value) | 16% | 16% (unchanged) |
| Total landed cost adder | ~5–10% | ~25–50% (MFN only) |
IMMEX (Maquiladora) impact. The IMMEX programme allows duty-free import of inputs that are subsequently exported as finished goods, but the new MFN rates increase the cost of any inputs that do enter the Mexican market. Under USMCA's Lesser of the Two rule, when both US and non-US inputs are used, the MFN rate can apply to the non-US portion. Many maquiladoras are reviewing their supply chains to source more from USMCA partners (US, Canada) and less from China. The first half of 2026 has seen a measurable shift in maquiladora orders away from China to Vietnam, Indonesia, and Mexico-domestic suppliers.
Action items for buyers. (1) For direct Mexico-bound shipments, the MFN tariff is now the largest cost line — request a binding tariff classification from a Mexican customs broker. (2) For IMMEX clients shipping components into Mexican factories, ensure the Letter of Supply carries the correct HTS code and country of origin to support the IMMEX in-bond declaration. (3) Consider the USMCA "split production" route: route China-sourced housewares through the US or Mexico with USMCA-preference for any value-add, then re-export — often the most competitive workaround.
What we are doing at WanLong. For our household and kitchenware buyers, we provide a Letter of Supply with the correct HTS code and country of origin. For Mexico-bound orders, our partner facility in Vietnam can deliver many of the same SKUs at HTS codes that may qualify for preferential treatment under Vietnam-Mexico trade arrangements.
Source: Mexico DOF tariff schedule 2026 (LIGIE reform); Foley & Lardner; EY Mexico trade brief; USMCA Article 2.4 Lesser Rule guidance
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