Strategies for Mexican companies in a volatile trading environment
Strategies for Mexican companies in a volatile trading environment

Strategies for Mexican companies in a volatile trading environment

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Strategies for Mexican companies in a volatile trading environment

New tariffs imposed by the U.S. are disrupting supply chains, raising costs, and compelling businesses to overhaul their global trading strategies. Mexico is America’s largest trading partner, with a robust exchange of goods and services that supports millions of jobs and fosters economic growth on both sides of the border. Mexican companies are proactively identifying risks and opportunities for cost optimization in trade routes, as well as establishing robust protocols to navigate volatility. The report is based on a survey of 50 Mexican trade professionals, and the results underscore their strong emphasis on technology adoption and risk management. In the realm of compliance automation, a significant 90% of respondents expressed confidence in the role of technology to streamline their compliance processes. A notable 86% said their organizations have already harnessed predictive technology to screen customers, suppliers, and partners, effectively mitigating risks associated with import and export operations. However, there remains a substantial opportunity for growth in the automation of classification workflows for imports and exports, with only 28% saying their organization is currently utilizing technology in this area.

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In the face of new US tariffs, Mexican organizations are compelled to adapt swiftly to mitigate the impact arising from these changes by leveraging technology, strategic planning, and flexibility to navigate the obstacles in today’s volatile trading landscape

Key Insights:

Confidence in automation — A majority organizations in Mexico that are involved in trade activities with the U.S. are confident in using technology to enhance compliance automation, though there is room for growth in automating classification workflows for imports and exports. Qualified employees are crucial — Mexican trade professionals recognize qualified employees as the most crucial factor for sustained industry growth, alongside the implementation of technology and automation of processes. Assessing risks to trade routes — Mexican companies are actively using technology to assess risks and opportunities in trade routes, while also relying on manual processes and specific information purchases. Many companies have also implemented production, risk, and financial protocols to navigate current trade volatility.

So far this year, tariffs have become a major hurdle for companies engaged in international trade, regardless of size, sector, or home base. Indeed, today’s trading environment is highly volatile, driven by new tariffs imposed by the United States and subsequent countermeasures coming from other nations. This shifting landscape is disrupting supply chains, raising costs, and compelling businesses to overhaul their global trading strategies.

For Mexico, the new actions imposed by the Trump Administration are particularly impactful. Mexico is America’s largest trading partner, with a robust exchange of goods and services that supports millions of jobs and fosters economic growth on both sides of the border. In that sense, Trump’s tariffs have the potential to affect multiple industries and businesses in the country that export or import goods to or from the U.S.

Recent reports by the Thomson Reuters Institute on the impact of tariffs — one offering a global perspective and one specific to Mexico — have shed light on how companies are responding, providing relevant insights on the rising importance of technology and strategic adaptation in the present unstable context.

The Mexican perspective

The Thomson Reuters Institute’s 2025 Tariffs Supplementary Report for Mexico provides a focused view of how Mexican companies are managing the rising costs, supply chain disruptions, and price volatility brought by the changes. The report is based on a survey of 50 Mexican trade professionals, and the results underscore their strong emphasis on technology adoption and risk management.

Technology integration — In the realm of compliance automation, a significant 90% of respondents expressed confidence in the role of technology to streamline their compliance processes. A notable 86% said their organizations have already harnessed predictive technology to screen customers, suppliers, and partners, effectively mitigating risks associated with import and export operations. Moreover, 68% of respondents said their organizations were leveraging predictive technology to identify opportunities for qualifying goods under Free Trade Agreements. However, there remains a substantial opportunity for growth in the automation of classification workflows for imports and exports, with only 28% saying their organization is currently utilizing technology in this area. Drivers of sustained growth — Mexican trade professionals have identified several key drivers that are crucial for sustaining industry growth. Foremost among these is the presence of qualified employees, with 74% of respondents considering them the most essential element for success. In addition, 58% highlighted the importance of technology implementation, and 38% cited the automation of processes both as necessary components for achieving long-term growth. Adapting to volatility — Mexican companies are proactively identifying risks and opportunities for cost optimization in trade routes, as well as establishing robust protocols to navigate volatility. While 72% of respondents said their organizations use technology for risk-opportunity assessment, 66% said they still undergo manual and operative processes, and 28% said they buy specific information. To adapt to the constant changes, organizations in Mexico have implemented production (72%), risk (58%) and financial (44%) protocols, according to these trade professionals.

How Mexican companies can thrive amid tariffs

Worldwide respondents from the global 2025 Tariffs Survey suggested diverse strategies to mitigate the impact of these tariffs, such as expanding to multiple production venues, examining the best trade lanes, and seeking more regionally based suppliers.

In addition to these valid methods, companies in Mexico must focus on flexibility, especially in their supply chain, which can be achieved through partnerships with technology and service experts. Trade professionals also need to stay current on any tariff trends or developments, so monitoring trusted media and government sources for updates and regulatory changes is vital in order to remain informed. Professionals in Mexico also need to evaluate their trade routes, production areas, and supply partners to identify potential impacts from any ongoing developments.

Further, investing in business intelligence tools could allow companies to analyze real-time data, ensuring that their decisions are based on current and accurate information. Regular cross-departmental meetings with other corporate teams — such as those in tax and legal — are crucial for aligning a company’s strategies cohesively.

By implementing these actions, businesses involved in U.S.-Mexico trade activities can better manage the commercial challenges.

A disrupted future

Companies around the globe are grappling with increasing costs, disrupted supply chains, and regulatory uncertainty. However, those embracing the actions outlined above will be better positioned to weather the tariff storm. Automation, predictive analytics, and robust risk management are becoming essential tools, alongside strategic initiatives like supply chain diversification and leveraging trade agreements.

Mexico, with its close ties in trade with the U.S., could suffer greatly from these changes. Therefore, trade professionals in Mexico should keep in mind that timely planning, technology, and flexibility will be crucial aspects for successfully guiding their companies through the current complex environment.

Source: Thomsonreuters.com | View original article

Source: https://www.thomsonreuters.com/en-us/posts/international-trade-and-supply-chain/mexican-tariff-survey-2025/

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