Chapter 1: What Is The Import Tax From China To Mexico?
You can import other items that your baggage and a duty-free allowance by paying the standard tax rate of 16 percent of the merchandise value.
You need to fill out an application for Foreign Trade Tax Payment or the online form simplified Federal Tax Payment.
1. Is China Investing In Mexico?
China has invested billions of dollars in Mexico and various other Latin American countries in the last few times.
In 2015, Chinese President Xi Jinping declared that China would make investments of $250 billion in Latin America between 2015-and 2018 to achieve a trading volume of $500 billion in the next five years with Latin American countries.
2. Does China Trade With Mexico?
In 2019, trade between the two countries reached 100 USD billion. However, the balance of work is not equal between the two countries.
From the total trade between the two countries, Mexico recorded exports worth USD 7.1 billion to China.
Chinese market of USD 7.1 billion in 2019; however, Chinese exports into the Mexican market totaled USD 93 billion that same year.
3. What Is The Import Tax From China To Mexico?
The duty rate on imports to Mexico differs betweenzero to 140.4 percent and averages 13.97 percent.
Certain goods are exempt from duty. The average price is 16%. It is calculated based on the total of CIF duties, duties, and other taxes.
4. Is Mexico An Ally Of China?
Relations between China and Mexico have been friends for several years. Some call it an alliance being made.
However, their relationship has grown in the last few months and even years.
5. Does China Have A Free Trade Agreement With Mexico?
SHANGHAI (Reuters) (Reuters) – China is willing to the possibility of negotiating a free trade agreement with Mexico, according to the state-run Xinhua media agency said on Thursday in a report citing China’s ambassador to Mexico.
Chinese ambassador to Mexico, which is a boost to Mexico in the face of uncertain trade negotiations with the United States.
Chapter 2: Importing from China to Mexico: A Step-by-Step Guide
1. Check Trade Laws In China and Mexico
Be aware of the current rules and regulations when exporting from China and importing to Mexico.
Both countries have policies that can change frequently, and it’s essential to keep up-to-date.
It’s also the right time to learn what documents you’ll need to be prepared for your items to go through customs without hassle.
2. Decide What to Import
You may already know what products your business can supply. From a commercial perspective, it’s essential to ensure that there will be demand for your product in Mexico.
Look into what products are currently selling well in the market.
Find out the demand levels for your products to determine what you need to import and the cost it will take you to make, sell, and then deliver the product to your clients.
3. Choose a Shipping Method
Before you can ship your merchandise, you must choose the shipping method you want to use.
The method of shipping you choose is dependent on the kind of product. If you aren’t sure about the best shipping method, we’ll provide you with some suggestions.
Shipping methods differ based on the amount and size of the goods.
4. Find a Supplier
Once you’ve determined what you’d like to provide the customers you serve, an online search will connect you with Chinese suppliers interested in selling the exact product you want to sell.
By establishing a mutually beneficial relationship with your suppliers, you will be able to provide high-quality products to your customers and create profitable business opportunities for you and your partner.
5. Calculate Your Importing Goods Tax Liability
Mexican customs will impose an additional 16% VAT on imports. Other taxes and fees could apply based on the merchandise you’re shipping.
It is essential to be well-informed of Chinese and Mexican trade laws to know the charges and taxes you can anticipate paying.
This can prevent unpleasant and costly surprises in the future.
6. Define the Incoterms for your shipment
If you’ve never shipped anything internationally before, you might not be familiar with “Incoterm.”
Incoterms are internationally-recognized rules and terms that distribute responsibilities and liabilities between buyers and sellers when importing and exporting goods.
They define who is responsible for paying and monitoring shipping, getting insurance, preparing customs and shipping documents, and various other shipping-related duties.
They’re industry standard. Therefore, they’re essential to know. It is necessary to be familiar with them and determine your shipping’s Incoterms before proceeding.
An essential procedure in customs performed by the product owner or its legal representative is clearing the goods.
The term “customs” is used to import and export goods.
7. Customs Clearance from China to Mexico
It is essential to be informed regarding current Mexican import charges and divulge the entire contents of your shipment to your freight forwarder so that they can give you an exact estimate.
If you aren’t keen to handle taxes on your own, We also offer shipping options that include tax, delivery to door, and all costs.
You only have to wait for the package to arrive once you have paid us for shipping, and we’ll handle the rest for you.
This is a specific shipping route that runs from China to Mexico with shipping charges that include taxes and customs clearance for export and customs clearance for imports.
8. Hire A Freight Forwarder
As you will see, transporting items across the globe is a complex procedure that can be messy if you’re not aware of how to proceed.
This is why it’s crucial to find an experienced and reliable freight forwarder.
A reputable freight forwarder will manage the transport of your stock starting from the moment it leaves the factory until it reaches the destination of its choice.
This is a service DFH Global Logistics has years of experience in handling.
Chapter 3: Shipping Methods from China to Mexico
1. Airfreight from China to Mexico
The main benefit of airfreight is the speed. The items that leave China will arrive in Mexico in 5-7 days.
This is ideal for high-value items as they take less time in transportation. But there are some trade-offs to the speed. Airfreight generally costs more than the sea.
It’s also more suitable for smaller items since airlines have limits on weight and volume.
Airfreight is also more fuel-intensive than other options, and if you are concerned about the carbon footprint for your business and its ethics, you’ll need to choose sea freight.
Remember that airfreight typically is limited to delivering items at an air terminal in Mexico and not the final destination.
Additionally, transportation arrangements must be considered to bring your package to the final destination.
2. Top International Freight Airlines from China to Mexico
General Roberto Fierro Villalobos International Airport
Chichen Itza International Airport
Captain Rogelio Castillo National Airport
Chetumal International Airport
Isla de Cedros Airport
5. China to Mexico Sea Freight Shipping Service
Shipping by sea is the largest and most commonly used method of transporting goods to and from China to Mexico primarily due to its flexibility and reliability.
Airfreight restricts the types of items they can transport; almost all items can be transported by sea, including extraordinarily massive and heavy objects (like automobiles). The biggest drawback to sea freight is the timeframe.
Chapter 4: How Do I Find the Most Economical Shipping Method?
1. Identify the Product to Import
You must identify the item you wish to bring into China into Mexico.
Traveling through China having a crystal clear understanding of the products you want to import can save you shipping expenses.
It will be easier to decide which items to import at random. It will also help to figure out the budget you intend to apply.
2. Negotiation with Different Suppliers
To gain an advantage in the importation, you must get involved with all the suppliers you can find.
This will enable you to get an affordable price to import. Some of the areas you can negotiate to include the price, the quantity of supply, and even the time to produce.
3. Negotiate With Several Carriers
In the end, you’ll need to transport all your goods via China to Mexico. Therefore, you must choose a shipping company that can ship your cargo at an affordable cost.
You can negotiate the shipping cost and the number of tips for your destination.
4. Use Your Forwarder Packaging Material
One of the ways that you might get a more expensive cost for shipping is through the use of packaging materials.
Certain packaging materials can make your cargo heavier, which will raise your shipping costs.
Remember that weight is an essential element when calculating your shipping price.
Reduce this cost by using the packaging materials provided by your forwarder, which are generally the standard ones.
5. The Season of Shipping
The price will be higher if you ship during the packing season. There are many events in these times, and many importers are importing, which can increase the cost.
You will not only have to pay more, but you’ll have a limited amount of space, which means that your cargo is at risk of being damaged.
Reduce this risk by shipping in the off-season with less activity.
Chapter 5: Top Mexico Imports from China
1. Importing Vehicle Parts
China is regarded as the most reputable manufacturer of automobile parts; Mexico imports various parts from China.
Car parts are in many varieties and are designed to work with a range of vehicle types sold in the market.
Certain vehicle parts imported from China could include carbon fiber meter hoods and truck windshield wipers, universal wiper blades and sprinter steering rack disc brake pads, auto components designed for Toyota Honda, engine mount spark plugs, front brake pads, and many other products.
2. Importing Refined Petroleum
Mexico has been in the market for numerous refined petroleum goods, including diesel oil, gasoline, and light oil, among other items.
China has exported these products in large quantities, and the prices of these products depend on the product in question because prices differ between one petroleum product and the other.
The Mexican Government can tax import duties based on the amount of merchandise being imported.
3. Importing Integrated Circuits
China has been the top manufacturer of electronic devices integrated circuits.
As the leading manufacturer of these goods, China has been forced to export certain of these goods to other countries to meet the needs of consumers.
The market analysis for Mexico is also growing because these goods are more popular, which could be because of the advances in technology.
The majority of these products are shipped from China to Mexico from China through sea freight or air freight, and it will be contingent on the preference of the importer.
4. Importing Computers
Computers are another vital export from China due to China’s position in the computer industry; China is a leader in producing many models of computers.
It has also resorted to marketing overseas; Mexico can be one of those markets.
Because there is an increase in the use of technology and information in Mexico, the needs of Mexican customers tend to exceed their resources, so Mexico is importing vast quantities of computers, predominantly from China.
The service used to move these products across China into Mexico is called sea freight.
These items are transported through containers, and the method of transport could differ based on the capability of the importer.
The Government also charges import taxes based on the size and the worth of the particular computer model.
5. Importation of Cars, Delivery Trucks, and Tractors
China has been in the news for the high production level of machines such as trucks, cars, and tractors.
Mexico isn’t equipped with the capacity to manufacture vehicles, trucks, or tractor parts; thus, they import these items predominantly from China.
The demand for these products increases as more individuals requires cars for personal reasons.
At the same time, some use vehicles to work in the business, and tractors can be used for multi-purpose jobs as they are utilized in the agricultural industry and business.
These items are usually shipped to Mexico through sea freight because they are bulky and heavy.
6. Importing Telephones and Other Electronic Devices
Mexico is in the market for electronic and telephone devices, such as:
Electrical control boards
Equipment to protect against low voltages
Motors for electrical power
Electrical power accessories, among numerous products. They are highly sought-after because of the technological advances in Mexico.
Because Mexico cannot keep up with the demands of its customers, it is forced to import these products from China.
Most importers prefer shipping their products. However, certain importers choose to use air freight.
They are kept within containers. They are handled with lots of care because the electronic devices are fragile, and once they are in Mexico, they are taken into the marketplace.
7. Importing Beauty Products
The beauty industry is significant, and therefore when you import, you have to know what you’re buying and how it will be supplied to the market.
China has been producing various beauty products exported to different parts of the world.
Mexico has decided to import a variety of Chinese cosmetics and beauty products.
8. Importing Office Machine Parts
Mexico produces a small number of parts for offices, so to ensure the market in Mexico is filled with these items, they have chosen to import the bulk of them from China.
China is a leader in manufacturing many office equipment parts like double A4 copy print machine EP-42S economy office paper folder machine tape slitting machine, automated book cutting machine cross fold cutting machine for office papers, and SM-460’s manual ceasing and perforating machines, among others.
9. Importing Air Pumps
China produces a variety of air pumps for the world market, and it needs to be targeted Mexico.
A variety of air pumps manufactured in China include a 4kw water-ring vacuum pump, an economical brush 12V air compressor.
A diaphragm pump operated by an air pneumatic double diaphragm air-operated reciprocating oil transfer pump rechargeable air compressor for portable use, RD 15 air-operated diaphragm pump, and many more.
These items are accessible to customers from China, and importers can choose to utilize air or sea freight.
Sea freight is a possibility because these goods are long-lasting and thus reliable if they take more time to get goods shipped to Mexico via China.
10. List of Prohibited and Restricted Imports to Mexico
As a sovereign country, Mexico is subject to restrictions on some of its imports. It is illegal for an importer to take action against these restrictions.
Prohibited items are those that the country will not permit entry into and those that are not allowed to enter after clearing.
If you are an importer, you can look over some restricted and prohibited imports on this page: Prohibited and restricted substances.
Some of the banned imports are;
Images depicting children in a demeaning or absurd manner.
Ammunition and firearms
Toxic and dangerous products
The above link also outlines the reason behind the prohibition and restrictions. It is crucial to review it to ensure that you do not get by surprise.
Chapter 6: Mexico Import Requirements
To import into Mexico, there are certain conditions you must be able to meet when you are an importer.
Within this article, you’ll be able to know as an importer the requirements for obtaining a Mexico import license and the documents you require to import into Mexico.
1. Mexico Import License
As an importer, you have to register your business in Mexican’s Registry of Importers, which is located under the Mexican tax authorities.
You should also update your tax obligations and customs laws if you do this. As an importer, you will require documents to prove your country of the country of.
It is also essential to ensure that you meet specific quotas and other measures that could be of the same end.
2. Markings on the Goods Being Imported
Importers should make sure that the product that is imported into Mexico contains the following characteristics: Name or business name, and an address for the Importer
Trademark or trademark of the company used to market the product.
The net amount or the total value
Use, handle, and care instructions for the product.
Precautions or warnings regarding dangerous substances
3. List of Mexico Import Documents
If you are an importer, you must possess these documents to import your products into Mexico.
This document usually includes the officially registered business name and the person who imports, the description of the product and prices, and conditions of sale.
This document contains all details about the shipment, the number of items, weight total, and the weight per unit.
This document is generally suggested for freight consolidation.
Bill Of Lading
This document is typically given through the shipping agent at the point of origin. The seller provides it.
It is crucial for an importer that you take care of this bill of land since it is usually required to deliver products.
Certificate of Origin
If you are an importer, you have to be able to prove the country of the country.
A more extended version of this document might be required based on the kind of product you’re trying to import.
Weight or Volume Certificate
If you are an importer, it’s recommended that this document be issued through the Ministry of Finance and Public Credit to get it recognized as valid.
Chapter 7: How to Get Suppliers for Goods from China to Mexico
It is also one of the online platforms you can access at the convenience of your home by going to their website.
It is possible to find various suppliers and manufacturers with trustworthy products that you’re searching for as a vendor. Alibaba has also provided a range of ways you can make use of ensuring that you get paid for your purchases on time.
3. Visit China Trade Fairs in Mexico
If you are an importer, you have to go to China to attend trade fairs and trade shows in Mexico because you’ll be able to learn everything you require to be aware of before importing directly from China in Mexico.
You’ll also be able to identify various suppliers and trustworthy suppliers. You’ll also learn about the various high-demand products from Mexico coming from China at these trade fairs.
The benefit of taking this route is that you’ll have to meet different importers, so you’ll benefit from each other’s experiences.
4. Visit China
Involving yourself as an importer will allow you to meet with your suppliers face-to-face.
This will help your business by making sure that you can trust the suppliers you are supplying to.
After your visit, you’ll be able to negotiate different issues, including the cost.
In addition, you’ll also be able to determine the minimum and maximum quantities you can purchase through them.
It can be a platform online you can use at any time. You can select your preferred suppliers and then sign on the terms of service and the method you’ll use to ensure that your payments are not affected.
Chapter 8: What Impact Do Incoterms Have On Importing From China To Mexico?
1. EXW(Ex Works)
If you are an importer, you have been aware that the seller is accountable for making the products available on the seller’s premises.
It is important to note that the buyer is responsible for the entire risk from the point of purchase until the end of delivery.
2. Fca (Free Carrier)
It is essential to understand that sellers are accountable for the delivery under the carrier’s control that the buyer determines.
It is also essential to know that risk is transferred after loading.
3. Cpt (Carriage Paid To)
In this case, the seller gives items to the carrier at the agreed delivery location. The seller is responsible for transport to the designated destination.
The risk is transferred at the point of delivery, and the seller is responsible for transportation to the location.
4. Cip (Carriage and Insurance Paid To)
The seller, in this case, delivers products to the carrier at the agreed delivery location and is responsible for the shipping and insurance for the address of delivery.
The risk passes to the point of delivery, while the seller takes care of transport and the insurance up to the destination.
5. Dat (Delivered At Terminal)
The seller is responsible for delivering the product unloaded to a designated location at the agreed time.
It is important to remember that risk transfer occurs once the items are removed from the truck.
6. Dap (Delivered At Place)
The seller will deliver items to the buyer upon arrival of the means of transportation at the location agreed upon.
The seller is responsible until the items are prepared for loading from the vehicle.
7. DDP (Delivered Duty Paid)
The seller is responsible for transporting the products to the location in good condition, paying any duty, and delivering the product for purchase.
The risk passes when the buyer can access the goods ready to be unloaded at the destination of their choice.
8. Fas(Free Alongside Ship)
The seller is responsible for delivering the goods on the quayside of the vessel. From then on, the risk rests at the feet of the buyer.
The seller is responsible for delivering the goods loaded onto the vessel.
9. Fob(Free On Board)
The risk of loss is transferred when the goods are placed in the vessel. Here, the seller pays the duty-free freight cost to the designated point of delivery.
The risk will be transferred when the items have been laid in the vessel.
10. Cfr, Cnf (Cost and Freight)
The seller is responsible for all costs for insurance and freight, duty-free at the point of delivery.
The risk will be transferred once the merchandise has been put on the ship.
11. Cif (Cost, Insurance, and Freight)
The seller is responsible for all costs for insurance and freight, duty-free at the point of delivery.
The risk will be transferred once the merchandise has been put on the ship.
Chapter 9: Frequently Ask Questions About Importing from China to Mexico
1. Who Is Mexico’s Biggest Trading Partner?
The United States is Mexico’s most important trading partner. U.S.-based businesses represent more than 50% of Mexico’s foreign investments.
In addition, the United States is also the source of between two-fifths and half of the Mexican imports and is the destination for around four-fifths of Mexico’s exports.
2. What Are The Top 5 Imports To Mexico?
The top imports from Mexico include Integrated Circuits ($28.3B), Vehicle Parts ($21.6B), Refined Petroleum ($18.1B), Office Machine Parts ($14.9B) along with Telephones ($7.85B) imports predominantly from United States ($196B), China ($59.8B), Germany ($13B), South Korea ($10.7B) along with Malaysia ($10.2B).
3. What Do We Trade With Mexico?
The top U.S. goods exports include electronic devices, automobiles, mineral fuels, plastics, machinery, etc.
Mexico was the third-largest destination of U.S. agricultural exports in 2020.
It imported USD 18.3 billion of U.S. agricultural products, such as soybeans, corn, pork, dairy, and chicken meat.
4. How Much Can I Import To Mexico?
Duty-free allowance refers to a tax break provided to the Mexican Government to a citizen or international passenger in exchange for specific items he is carrying into Mexico. Travelers who enter Mexico via air or maritime ports can bring in USD 500.00.
As you can see, importing goods from China to Mexico is straightforward.
All you have to do is adhere to the steps and suggestions outlined in this document.
If you find it difficult, don’t be concerned, EJET is here to assist you in importing into China in Mexico.
Contact us now to address all your imports needs from China to Mexico requirements.