Mexico is generally considered to be a 'high-context' culture, meaning that communication is less formal, less explicit, and decisions are made based on long-term relationships and face-to-face interactions.

Clients should expect multiple meetings to negotiate a deal, with actual negotiations only taking place in the latter stages.

VAT

The VAT rate is 16% for all of Mexico. Basic products, such as food and drugs and some services, are exempt from VAT.

If you’re registered for VAT in the UK, it may be possible to zero-rate the goods you export to Mexico, provided certain conditions are met.

Import duties

The rules of the UK-MX trade relationship can be found under the UK-Mexico Trade Continuity Agreement. Each product may be subject to different duties upon arrival into Mexico.

Check the trade agreement for more information.

Regulations

Certain products, goods, processes and services must comply with Mexican regulations called normas (website in Spanish), or NOMs, before they can go on sale in Mexico. The main types of NOMs cover security, labelling and emergency.

Healthcare products must be registered with Mexico’s public health regulator COFEPRIS (website in Spanish) with documentation provided in Spanish.

Labelling

NOM-50 is the regulation referring to product labels. Imported product labels must be in Spanish and include:

• a description of the goods
• mark of origin
• number of items
• importer’s name and Mexican tax identification number
• exporter’s name and Mexican tax identification number
• whether an instruction manual is needed
• any expiry date
• metric measurements

Trade barriers

Check for any reported barriers to trading with Mexico.

Report any trade barriers that are affecting your business so we can help fix them.

Trade agreements

FTAs signed with more than 50 countries have opened up the Mexican economy to foreign competition. The UK and Mexico signed a trade continuity agreement on 15 December 2020. This will deliver vital coverage for the automotive, pharmaceutical, textiles, agriculture, food and drink and other manufacturing industries.

Intellectual property

Intellectual property (IP) rights are territorial. Rights granted in the UK do not provide protection elsewhere. You should consider getting IP protection abroad if you want to trade overseas or sell to overseas customers via the internet.

The Intellectual Property Office’s International IP Service provides practical information to help you protect, manage and enforce your IP abroad. Further support can be accessed through the service’s network of IP attachés. Based in key UK export markets, they provide guidance to British businesses on local IP matters.

Business behaviour

Many people in Mexico don't speak English and you may need a translator. A basic knowledge of Spanish will help you make a good impression.

Business attire is more formal in Mexico than in the US or Europe.

You need to use professional titles when greeting someone. If they don’t have titles you should call them Señor (Mr), Señora (Mrs) or Señorita (Miss) followed by their surname.

Avoid bribery and corruption

Mexico ranks 126 out of 180 countries in Transparency International’s Corruption Perception Index 2022.

In 2015 Mexico’s government introduced a national anti-corruption system to co-ordinate enforcement on federal, state and municipal levels. However, implementation remains a challenge and there are risks to look out for. We recommend that you:

• check the background of potential business partners to avoid issues like nepotism, inappropriate links to politicians, and links to organised crime
• follow local regulations and be prepared to say no - beware of middlemen (‘gestores’) who offer to speed up government services, often by paying small bribes. Read guidance on dealing with bribery

Read guidance on what the UK bribery act means for your business and how you can reduce risk.