Summary
Donald Trump’s renewed threats of steep tariffs on Chinese imports are driving manufacturing operations to Mexico instead of back to the U.S., undermining his goal to revive domestic production.
Companies are capitalizing on Mexico's tariff-free trade under the USMCA, low labor costs, and proximity to the U.S.
Chinese firms like Lingong Machinery and Hisense, alongside global corporations, are investing billions in Mexican manufacturing.
Critics argue this shift highlights the impracticality of reshoring to the U.S. due to high costs and workforce shortages, creating uncertainty for businesses.