India is talking with Mexico over its decision to increase tariffs on many products starting January 1, 2026. These tariffs affect countries like India that do not have free trade agreements with Mexico. The tariffs range from 5% to 50% on about 1,463 products. India’s Embassy in Mexico raised concerns with the Mexican Ministry of Economy back in September 2025. An Indian official said, "India values its partnership with Mexico and stands ready to work collaboratively toward a stable and balanced trade environment that benefits businesses and consumers in both countries." India’s Commerce Department is actively engaging with Mexico's Ministry of Economy to find solutions that follow global trade rules. A meeting has already taken place between Commerce Secretary Rajesh Agrawal and Mexico's Vice Minister of Economy Luis Rosendo, with more technical talks planned. The official added, "India reserves the right to take appropriate measures to safeguard the interests of Indian exporters, while continuing to pursue a solution through constructive dialogue." Experts say a free trade agreement (FTA) being negotiated soon will protect Indian exporters from these higher tariffs. The tariff hike came after Mexico’s Senate approved the measure on December 11, 2025, aiming to boost manufacturing and reduce trade imbalances. Indian exporters, especially in sectors like automobiles, machinery, pharmaceuticals, textiles, and plastics, are worried. Ajay Sahai, Director General of Federation of Indian Export Organisations, said, "Such steep duties will erode our competitiveness and risk disrupting supply chains that have taken years to develop." The Automotive Component Manufacturers Association also warned of increased costs due to higher tariffs. India’s exports to Mexico were valued at $5.75 billion in 2024-25, with imports at $2.9 billion. The Indian government is reviewing the tariff changes and working closely with stakeholders to handle the situation.