By Diplomacy Journal Lee Gil-ju

South Korean Foreign Minister Cho Hyun held talks with Mexican Foreign Minister Juan Ramón de la Fuente on November 11 on the sidelines of the G7 Foreign Ministers’ Meeting, addressing Mexico’s proposed tariff increases, the resumption of Korea–Mexico FTA negotiations, and challenges faced by Korean companies operating in Mexico.

Minister Cho welcomed the Mexican government’s recent decision to suspend its planned tariff hikes and expressed hope that Korea would be excluded should Mexico decide to move forward with the increases in the future.

He emphasized that more than 520 Korean companies have invested in Mexico’s automotive, auto parts, electronics, and steel sectors, contributing significantly to local employment and export growth. Korea’s investment in Mexico reached a record high in 2024, underscoring the strength of bilateral economic cooperation.

Cho also requested that Mexico consider introducing and expanding duty-free import quotas by industry to support Korean companies that help generate jobs in Mexico. He further expressed hopes that Mexico’s industrial promotion and export facilitation programs—widely used by Korean businesses—would continue without interruption.

Minister de la Fuente acknowledged the positive role Korean firms play in Mexico’s economic development and said the Mexican Congress would thoroughly review potential negative effects of the proposed tariff increases. He expressed hope for continued communication between the two governments on the issue.

During the meeting, Minister Cho stressed the need to resume negotiations for a Korea–Mexico Free Trade Agreement and asked for Mexico’s attention in resolving tax-related and other difficulties faced by Korean companies operating in the country.