China warns Mexico to 'think twice' before raising tariffs

China urged Mexico to "think twice" before levying tariffs, a warning that could signal Beijing's willingness to retaliate over a move it sees as giving in to demands from the US.

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BEIJING -

"Any unilateral tariff increase by Mexico, even within the framework of WTO (World Trade Organisation) rules, would be seen as appeasement and compromise towards unilateral bullying," a spokesperson for the Ministry of Commerce said in a statement on Sept 11. "We urge the Mexican side to exercise extreme caution and consider carefully before taking any actions."

Mexico has come under growing pressure from US President Donald Trump's protectionist stance on trade, particularly his push for steep tariffs on Chinese goods. The Latin American country announced plans on Sept 11 to impose duties of as much as 50 per cent on cars and other products made by China and several Asian exporters.