Importing from China to Mexico: The Complete Guide

Importing from China to Mexico is a good business that an aspiring entrepreneur should give it a priority.

But to gain from it, you must adopt a cost-effective and efficient strategy.

This guide highlights in details the best imports from China to Mexico, import requirements and import duties among other vital information that you need to be in a position to know as an importer.

Guess what – by the end of this guide, you will find importing from China to Mexico a simple process.

Let’s dive right in.

What you can do in Order to Import Low MOQ from China to Mexico?

Being that China is known worldwide for its ability to manufacture large amounts of goods.

They do set minimum quantity that could be quoted for supply in the overseas, Mexico is one of the countries.

Well, in order to import from China in low volume and sell at in Mexico at higher prices, you need to do the following;

i) The initial part of it is to start by sourcing the suppliers and manufactures on Alibaba or Made in China among other sourcing agencies.

ii) You can consider contacting some sources and you can quote with them as well.

iii) You can then receive the quotations but with a high MOQ which may your expectations.

Having done this, you will be in a position to pick the lowest MOQ from these sourcing agencies.

What is Mexico import requirements?

In this section, you will be able to know as an importer what entails Mexico import license as well as the documents you need to have in order to import to Mexico.
· Mexico import license

· Markings on the goods being imported

· List of Mexico import documents: Commercial invoice,Packing List,Bill of lading,Certificate of origin,Weight or volume certificate.

How to get suppliers for goods from China to Mexico?

As an importer, you need to consider reliable online marketplaces as well as taking some interventions in order to get reliable goods from China to Mexico.
Here, you will be able to get reliable sources.
· AliExpress
· Alibaba
· Visit China Trade fairs in Mexico
· China Trade Fair
· Visit China
· Made in China

What are the necessary criteria for considering efficient sourcing agency?

i) Over 5 years’ experience in sourcing operations

ii) The staff of more than 20 people to mitigate the risk of service failure as a result of staff attrition.

iii) Experience with your company’s categories and industry

iv) Staff well-trained in QC, audits, and negotiations

v) Documented Sourcing Process and training regime

vi) Language and management skills.

Chapter 1: Top Mexico Imports from China

China is currently at the climax due to the varieties of goods that are being produced from China to other parts of the world.

From a statistical point of view, Trading Economics indicated that China’s trading surplus was up to USD 44.74 billion in November 2018 from USD 38.43 billion in the same month and a year earlier.

The following are the top imports to from China to Mexico;

· Importing Vehicle Parts from China to Mexico

China has been rated as the leading manufacturer of vehicle parts and thus Mexico has been importing a variety of these products from China.

The car parts are in variety and are designed to suit a variety of car types that are available in the market.

Some vehicle parts from China may include carbon fiber meter hood, truck windshield wipers, universal wiper blades, sprinter steering rack, disc brake pads, auto parts for Toyota Honda, engine mount, spark plugs, front brake pads among other various products.

These products normally made available to Mexico through air freight or sea freight and they normally reach Mexico in bulk quantities and are often in the containers.

· Importing Refined Petroleum from China to Mexico

Mexico has been in the demand of various refined petroleum products such as gasoline, diesel oil, light oil among other products.

China has been exporting these products in large quantities and the costs of these products depend on the commodity in question as prices do vary from one petroleum product to the other.

The Mexican government does charge import duties depending on the quantity of the product imported.

Oil tankers are normally used in order to ensure that petroleum products are transported from China to Mexico thus sea freight is the most preferred route to ensure that these products reach Mexico.

It is also important as an importer to build barrels for the storage of its refined petroleum imports.

· Importing Integrated Circuits from China to Mexico

China has been the leading manufacturer of many electronic devices one of them being integrated circuit.

China being the leading manufacturing hub for these products has resorted to the exportation of some of these products to overseas countries in order to meet the demands of the consumers.

The market analysis in Mexico is also booming since these products are in higher demand and this is possibly due to the advancement in technology.

These products are normally transported to Mexico from China via sea freight and also via air freight services and this will depend on the importer’s preference.

The government of Mexico do charge import duties base on the quantity and the value of these products and thus as an importer you need to be aware of these.

· Importing Computers from China to Mexico

Computers are another major export from China and due to the fact that China has been leading in the manufacturing of various computer models.

It has resorted to the overseas markets, Mexico is one of the markets.

Due to the fact that there is growth in information technology in Mexico, the demands of Mexican consumers tend to outweigh its supply and thus Mexico has been importing large amounts of computers mostly from China.

The freight services being used in order to transport these products from China to Mexico is the sea freight.

These goods are transported in the containers and this may vary due to the importer’s ability.

The government also charge import duties based on the quantity and the value of that given model of the computer.

· Importation of Cars, Delivery Trucks, and Tractors from China to Mexico

China has been making headlines on its high production of machineries such as cars, trucks, and tractors.

Mexico does not have the capacity of manufacturing of cars, trucks, and tractors; therefore, it does import them mostly from China.

The demand of these products are growing since many people need cars for personal use, some use the trucks for business purposes while tractors may serve the multipurpose tasks as some are used in the agricultural sector as well as business.

These products are normally transported to Mexico via sea freight due to the fact that they are heavy and bulky.

They are transported in containers and this is safer means of ensuring that the goods reach Mexico.

The government also charge import duties on these products and the amount normally depends on the quantity of the goods.

· Importing Telephones and other Electronic Devices from China to Mexico

Mexico has been in the demand for telephones and electronic devices such as:

  • Semiconductor devices
  • Video displays
  • Electrical control boards
  • Radio receivers
  • Electrical ignition
  • Electrical transformers
  • Low-voltage protection equipment
  • Electrical motors
  • Insulated wires
  • Valves
  • Electrical power accessories among other many products

These products are in high demand due to technological advancement in Mexico and since Mexico is unable to meet the demands of its consumers, it has opted to import them from China.

Most of the importers prefer shipping of their goods but some importers opt to use air freight.

They are parked in containers and handled with a lot of care since these electronic devices are always fragile thus once they reach Mexico there are delivered to the market.

· Importing Beauty Products from China to Mexico

The beauty industry is very large and thus as an importer, you need to know what you import and how it can be delivered in the market.

China has been producing various beauty products that are exported to various parts of the world.

Mexico has opted to import various Chinese beauty products and these include electrical beauty equipment, skin care, human hair, stitching bags, facial care, wigs, lip treatment, glitter sequins for nails, cosmetics vanity carry box, cosmetic eyelashes among other products.

As an importer of these beauty and cosmetics products, you need to comply with the regulations and ensure that they do not contain the products which are prohibited in Mexico.

Importers of these products are charged import duties and as an importer, you need to be aware of this.

Freight services such as ship and airplanes are used to transport these products from China to Mexico.

· Importing Office Machine Parts from China to Mexico

Mexico does not produce many office machine parts and therefore in order to ensure that its market has enough of these products, they have opted to import most of these products from China.

China has been leading in the production of various office machine parts such as double A4 copy print papermaking machine, EP-42S economy office paper folder machine, tape slitting machine, automatic book cutting machine, cross fold office paper cutting machine, SM-460 manual ceasing and perforating machine among many others.

These products are normally transporter from China to Mexico via sea or air and the importer may decide to use one of his or her choices.

· Importing Air Pumps from China to Mexico

China is producing varieties of air pumps to the global market and one the target market in Mexico.

Various air pumps produced from China include 4kw water ring vacuum pump, economic brush 12V air pump, air operated diaphragm pump, pneumatic double diaphragm air operated reciprocating oil transfer pump, rechargeable portable air compressor, RD 15 air operated diaphragm pump among many others.

These products are made available to from China and the importers may decide to use sea or air freight services.

Sea freight may be used since these products are durable and hence even reliable even if it takes a longer time before goods are delivered to Mexico from China.

Chapter 2: List of Prohibited and Restricted imports to Mexico

Mexico being a sovereign nation has limitation to some of the imports and it is against the law as an importer to go against them.

Prohibited goods are those that the country does not allow to enter while those which are restricted may be allowed to enter only after clearing.

As an importer, you can review some of the restricted and prohibited imports here: Prohibited and restricted imports.

Some of the prohibited imports are;

i) Narcotics and some of the habit-forming drugs

ii) Live fish

iii) Images representing children in a degrading or ridiculous way.

iv) Used clothes

v) Firearms and ammunition

vi) Explosives

vii) Toxic and hazardous products

The link above also indicates the reasons for the prohibition and restriction and it is, therefore, important to read it so that you are not caught unaware.

Chapter 3: Mexico import requirements

In order to import to Mexico, there are some requirements that you need to meet as an importer.

In this section, you will be able to know as an importer what entails Mexico import license as well as the documents you need to have in order to import to Mexico.

· Mexico import license

First, as an importer, you need to file your business with Mexico’s Registry of Importers which is found under Mexican tax authority.

Well, after doing so you also need to update your tax obligations and as well with customs laws.

Also as an importer, you need to have documents proving the country of origin.

You will also ensure that you are meeting quotas among other measures which may be applicable to the same effect.

These laws are provided and enforced based on the Laws of Foreign Trade.

· Markings on the goods being imported

An importer should ensure that the merchandise imported into Mexico has the following;

i) Name or business name and the address of the importer

ii) Trademark or the commercial name of the product

iii) The total amount or net contents

iv) Use, handling, and care instructions for the given product.

v) Warnings or precautions on hazardous products

List of Mexico import documents

As an importer, you need to have the following documents in order to import your goods into Mexico.

1. Commercial invoice

This document normally contains the official registered business name, the name of the importer, description of goods, price as well as terms of sale.

2. Packing List

This document supplies all the content as per the shipment, number of pieces, total weight as well as unit weight.

This document is normally recommended for consolidated freight.

3. Bill of lading

This document is normally issued by the shipping agent at the country of origin and submitted by the supplier.

It is important as an importer to take care of this bill of landing as it is normally needed in order to deliver the goods.

But an importer having Express bill of landing will only need to provide this document during customs clearance.

4. Certificate of origin

As an importer, you need to have this document proving the country of origin.

More of this document may be required depending on the type of the product you are importing.

5. Weight or volume certificate

As an importer, it is recommended that this document is produced by the Ministry of Finance and Public Credit in order to for it to be certified.

Chapter 4: How to Get Goods to Import from China to Mexico

This is a crucial process that you need to know as an importer and you will as well be able to understand various sourcing agents and the criteria for sourcing.

What should you look for in order to know the capability of a good sourcing agent from China?

i) Fluency in Mandarin and Cantonese

ii) Thorough knowledge of the Chinese business culture

iii) Experience in managing Chinese suppliers

iv) Category and sourcing process experience

v) Quality control experience

vi) Audit experience

vii) Logistics experience

How to get suppliers for goods from China to Mexico

As an importer, you need to consider reliable online marketplaces as well as taking some interventions in order to get reliable goods from China to Mexico.

Here, you will be able to get reliable sources.

· AliExpress

AliExpress is one of the online platforms that an importer may rely on.

It is owned by Alibaba and it can assist importer who imports goods on small quantities from China.

The advantage of this AliExpress is that it works with small retail buyers and also the prices of goods here are also cheap.

· Alibaba

This is also one of the online platforms that you can use at your doorstep through visiting their website.

You can be able to get various suppliers as well as manufacturers with reliable goods that you are in need of as a supplier.

Alibaba has also included various methods that you can use to ensure that you pay for your goods promptly.

You can use either of the following; Alipay, Credit cards, Telegraphic transfer, Western Union among other methods of payments.

· Visit China Trade fairs in Mexico

As an importer, you need to visit China trade fairs and exhibitions in Mexico since you will be in a position to know all that you need to know about importing from China to Mexico.

You will also be able to know various sourcing agents as well as reliable suppliers.

From these trade fairs, you will also know various goods that are on higher demand in Mexico from China.

The advantage of taking this initiative is that you will be able to even meet various importers and thus you will be able to learn from one another.

· Visit China

Taking this initiative as an importer will enable you to meet your suppliers face to face.

This will assist you as a supplier by ensuring the credibility of the same suppliers.

From this visit, you will be able to negotiate on various issues such as the costs involved.

Besides, you will be able to know the maximum and minimum quantities you can order through them.

· Made in China

This is an online platform which you can be able to access at your doorstep.

You will be able to select suppliers and then agree on the terms of service as well as the initiative you will use to ensure that payments are affected.

Chapter 5: Cost of shipping from China to Mexico

The cost of shipping from China to Mexico varies depending on so many factors. For instance, the type of shipping, cargo type, distance, etc.

In this section, I am going to take you everything you need to know about the cost of shipping from China to Mexico.

Sea Freight from China to Mexico

Sea freight is normally the main shipping method which is used to ensure that goods are transported from China to Mexico and other global countries.

Sea is normally the first choice because of its low prices, large volume, FCL or LCL options.

When it comes from China, CFC has been good at providing ocean cargo services for both small and medium businesses as well as individuals all over the world.

Basically, how much of shipping you pay the supplier to handle is based on the Incoterm you select as an importer.

Container Type – 20’GP/40’GP/40’HQ

These three types of containers are the most commonly used to carry cargo from China to Mexico.

20’GP = 20’feet general purpose

40’GP =40’feet general purpose

40’HQ = 40’ feet high cube

General purpose often means Dry Container (DC).

And sometimes if fluid goods are parked by a flexible container bag, it can as well be delivered by standard DC.

Freight Cost- Ocean costs

As an importer in order to be fully satisfied, you can use freight calculator to calculate the costs of transporting various cargo based on weight and sizes of different containers from China to Mexico here – ocean freight cost.

In that website, you can be able to know the cost incurred in order to import cargo from various ports in China and as well deliver them to your most convenient location in Mexico.

LCL rates

This will depend by the loading port, the destination port, the volume, weight, the volume/weight ratio.

You should also note the other costs during an import process, they include;

i) Transportation to the port of loading

ii) Export customs declaration

iii) Loading port fees

iv) Ocean freight charge

v) Insurance

vi) Destination port fees

vii) Import customs clearance

viii) Customs duty/tax

ix) Transportation from the port of Destination

The following prices are based on FOB Guangzhou/Shenzhen

DESTINATION ROUTE (VIA) RATE: USD/CBM CFS CLS&ETD CARRIER T/T MIN/CBM
Manzanillo Direct 15 3-1 NYK 24 1
Aguascalientes Via Manzanillo 90 3-1 NYK 30 1
Cuernavaca Via Manzanillo 110 3-1 NYK 30 1
Guadalajara Via Manzanillo 75 3-1 NYK 30 1
Leon Via Manzanillo 90 3-1 NYK 30 1
Lerma Via Manzanillo 95 3-1 NYK 30 1
Mexico City Via Manzanillo 65 3-1 NYK 30 1
Monterrey Via Manzanillo 120 3-1 NYK 30 1
Pechuca Via Manzanillo 120 3-1 NYK 30 1
Puebla Via Manzanillo 110 3-1 NYK 30 1
Queretaro Via Manzanillo 80 3-1 NYK 30 1
San Luis Potosi Via Manzanillo 95 3-1 NYK 30 1
Toluca Via Manzanillo 95 3-1 NYK 30 1

Upon arrival of your cargo, there is clearance and pickup.

The goods may only be entered by the owner, purchaser, or a licensed customs broker designated by the buyer.

The following will also take place at the port you are intending your goods to arrive at in Mexico.

Customs official will process your shipment after;

i) Inspecting the paperwork

ii) Determine duties if apply

iii) Request duty payment

iv) Following confirmation of payment, release the shipment for pickup

Air freight from China to Mexico

Air freight is the fastest and safest means that an importer who needs hi or merchandise to arrive faster should prefer.

Air Freight Terminology when Importing from China to Mexico

  • AWB

Air Waybill, this normally referred to as non-negotiable transport document issued by the carrier or the agent indicating the carrier has accepted the goods listed therein.

AITA

International Air Transport Association which supports airline activities and helps formulate industry policy as well as standards of the world’s airlines.

  • ETD – Estimated Time of Departure
  • ATD – Actual Time of Departure
  • ETA – Estimated Time of Arrival
  • ETT – Estimated Transit Time

ULD

As an importer, you can simply take it as air container just like sea container.

If the cargo exceeds below the weight and volume, the carrier can determine the allowable minimum limit and volume cargo based on the flight model, departure and the destination airport handling the equipment condition.

How is air freight calculated?

1: Pickup fee + Customs

2: The cost per kilogram multiplied by the chargeable weight.

3: Destination charges, such as customs clearance, tax, delivery

The air freight costs vary depending on many factors such as origin airport, destination airport in Mexico, weight, quantity among other factors.

Calculation of Mexico Import Duty

Import duty will also affect the total importing costs from China to Mexico.

Of course, you need to follow the appropriate import procedure as I will explain below.

· Import Procedure

Importing agents are the ones mandated in the handling of all the administrative as well as requesting the necessary authorizations for customs clearance.

Therefore the importer is advised to work with more experienced importing agents.

Hence, to apply correct taxes/duties, the importing agent need to present an import declaration issued by Secretariat of the Economy, a commercial invoice, bill of lading, proof of exemption as well as a certificate establishing the origin of the goods.

Companies that are importing goods that appear on Annex 10 of the Foreign Trade General Rules (FTGR) have to be registered in the Mexican Register of Importers in Special Sectors.

A special tax on production and services (IEPS) is assessed to the importation of alcoholic beverages, cigarettes, and cigars among others from 25 to 160% depending on the product.

Importing samples

The Mexican government requires that samples must be classified according to the custom list 9801.00.01 of the Legislation of General Tax for Imports and Exports.

Customs Duties and Taxes on Imports

Customs threshold is required

Products valued up to USD 50 are exempt from duty and VAT.

Average Customs Duty excluding agricultural products

Mexico Customs Classification

Mexico uses the Harmonized Commodity Description and Coding System and often referred to as the Harmonized System.

This Harmonized system is composed of about 5,000 commodity groups.

From these groups, you can be able to select where the commodity you intend to import falls under.

Normally each of the groups can be identified by a six-digit code used by many countries.

Method of Calculation of Duties

Customs duties are normally calculated Ad Valorem on the CIF (Cost, Insurance and Freight) value of goods.

You also need to know that this CIF method is in exception of goods originat