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US tariffs on other countries strengthen the position of Mexico and Canada as key partners for companies looking to expand, hire talent, and operate without trade barriers.
US tariffs on countries outside its regional agreement have a direct impact on the competitiveness of its closest allies: Mexico and Canada. Both countries are part of the United States-Mexico-Canada Agreement (USMCA), a trade deal that removes most tariffs between the three nations and encourages trade, investment, and compliant hiring.
Thanks to the USMCA, many companies are shifting their expansion and talent strategies toward this region, where doing business is simpler, faster, and more cost-efficient.
1. USMCA: Duty-free access among partners
The USMCA allows most products that meet origin requirements to move freely between Mexico, Canada, and the United States without tariffs. This creates a significant advantage compared to countries like China, India, or Vietnam, which still face import duties when entering the U.S. market.
For Mexico, this preferential access lowers costs, speeds up operations, and strengthens its position in global markets, especially in industries like manufacturing, automotive, and agriculture. It also opens the door to hiring models such as Employer of Record (EOR), allowing companies to add local talent without setting up a legal entity.
2. Mexico: A global export platform
Mexico benefits not only from the USMCA. It has signed more than 50 free trade agreements, giving it preferential access to key markets like the European Union, Japan, Latin America, and Southeast Asia.
This makes the country a smart choice for businesses looking to centralize operations, export to multiple regions, or hire skilled professionals from a reliable base.
Using global HR services—such as payroll outsourcing, specialized recruitment, or hiring through an EOR—can make the process even more efficient.
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3. A growing economy with a strategic location
With over 130 million people, Mexico offers more than a skilled and cost-effective workforce. It also represents a large, dynamic, and growing domestic market. Its geographic location makes it an ideal bridge between North America, Central America, and other important regions.
For global companies, Mexico offers a balanced mix of operational efficiency, market potential, and compliant and flexible hiring.
US Tariffs on Mexico and Canada: A key opportunity in global trade
While the United States continues to impose tariffs on many countries, Mexico and Canada stand out as trusted, tariff-free partners.
Mexico, in particular, has become one of the most attractive platforms for international companies thanks to its trade network, logistics access, skilled workforce, and ease of doing business—especially through solutions like Employer of Record, payroll outsourcing, and global recruitment.
