Asian Brands Expand Footprint in Mexico Despite Tariffs

Summary: Asian brands are expanding across Mexico’s retail market despite tariff pressures and global trade uncertainty, with companies from the region now accounting for 15% to 20% of commercial spaces. The expansion spans automobiles, food, fashion, electronics and household goods, while continued imports from China and rising demand for retail locations reinforce Mexico’s position as an important consumer market and regional platform for Asian companies. 

Asian brands are strengthening their presence in Mexico’s retail market, occupying between 15% and 20% of commercial spaces nationwide as companies from the region expand their offerings across automotive, food, fashion, electronics and household goods. The trend is unfolding despite higher tariffs and trade tensions, with Mexico continuing to attract Asian companies seeking access to its growing consumer market and a platform for expansion across Latin America.

According to Colliers México, at least 30 new Asian brands have recently been identified as seeking commercial space in Mexico. Companies such as Mixue, Daiso, BYD and Chirey are among the brands gaining visibility as demand for Asian products expands across different consumer segments.

Primo García, Director of Retail at Colliers México, said international tariff measures and changes in global trade have not significantly altered the expansion plans of Asian companies. He noted that government involvement in the growth strategies of some Asian brands, particularly in the automotive sector, has helped companies remain competitive in Mexico.

The expansion is also supported by the ability of companies to offer products at different price points, allowing Asian brands to reach both premium consumers and shoppers seeking lower-cost alternatives. 

Asian Brands Broaden Consumer Offerings

The diversification of Asian companies entering Mexico is increasing competition across several retail categories. While automotive brands have attracted significant attention, the trend extends well beyond vehicles and reflects a broader shift in consumer products available through Mexican commercial channels.

Colliers has identified Asian companies operating or seeking space in categories including automobiles, clothing and accessories, electronics, food and household products. This diversification is helping companies establish physical retail operations while increasing their visibility among Mexican consumers.

In the automotive segment, some companies benefit from support from their governments of origin, according to García. Such backing can help manufacturers maintain expansion projections even as tariffs increase import costs. Companies can also incorporate tariff-related costs into final consumer prices, limiting the immediate impact of trade measures on their growth strategies.

At the same time, Mexico’s position within North American and Latin American supply chains continues to make the country strategically important for companies looking to diversify their operations and establish a regional presence.

The growth of Asian brands is therefore not limited to direct demand from Mexican consumers. Companies are also evaluating Mexico as a base from which they can reach other markets in the region, strengthening the country’s role in international retail strategies. 

Limited Retail Space Raises Competition

As more Asian brands seek locations, the availability of commercial space is becoming an increasingly important consideration for companies entering Mexico. High occupancy rates in established shopping centers are limiting options for new tenants and putting upward pressure on rental costs.

Colliers reported that approximately 94,314 m2 of new retail space were added during 1H2025. During the same period of 2026, approximately 89,930 m2 were incorporated, indicating a slower pace of new supply.

Most shopping centers currently report occupancy rates of around 95%, compared with approximately 80% during the pandemic. The recovery of retail activity has therefore absorbed much of the available inventory just as new domestic and international brands are looking for locations.

García said the lack of available space could constrain the expansion plans of some brands because suitable locations are increasingly expensive and several established commercial corridors are already saturated.

This environment is also creating opportunities for brands with stronger growth prospects. As underperforming retailers leave shopping centers, their locations can be taken by companies with higher expected consumer demand, allowing landlords to maintain occupancy while gradually changing the tenant mix. 

Retail Construction Accelerates

The shortage of available space is also encouraging developers to increase investment in new shopping centers, creating additional opportunities for international brands seeking to establish physical operations in Mexico.

At the end of 1H2026, 42 shopping centers were under construction across Mexico, representing approximately 1.05 million m2 of gross leasable area. The figure compares with about 700,000 m2 under construction a year earlier.

For 2H2026, 10 new developments are expected to open across the Metropolitan, Central, Northeast and Southeast regions. The additional supply could provide new entry points for Asian companies that have been unable to secure space in established retail corridors.

The increase in construction comes as the commercial real estate market enters a new phase following the disruption caused by the COVID-19 pandemic. The sector demonstrated resilience between 2022 and 2024, with occupancy recovering and consumer activity strengthening.

Colliers expects the remainder of 2026 to reflect what García described as a new phase for retail real estate, characterized by continued demand from domestic and multinational brands. Companies from Europe, Asia and other regions are competing for locations as Mexico’s consumer market becomes increasingly international. 

China Sourcing Remains Resilient

The expansion of Asian retail brands coincides with continued demand for Chinese-made products among Mexican importers. Mexico imported US$42.85 billion in goods from China between January and April 2026, up 5.23% from US$40.72 billion during the same period in 2025, according to Banco de México. Full-year imports from China reached US$133.27 billion in 2025.

The increase has occurred despite Mexico’s higher tariffs on several goods imported from countries without a free trade agreement with Mexico. The measures target sectors including textiles, footwear and other manufacturing industries, but the latest import figures indicate that tariff pressures have not eliminated demand for Chinese products, reported MBN. 

QIMA’s Supply Chain Barometer for the second quarter of 2026 also points to stronger sourcing activity between Mexico and China. Global inspection and audit demand in China increased 8% year over year during the first quarter, with emerging markets driving much of the growth. Demand from Latin American buyers rose 8%, while Mexico recorded a 10% increase.

The combination of rising imports, expanding retail footprints and new commercial developments suggests that Asian companies are continuing to deepen their presence in Mexico despite changes in trade policy. For retailers and manufacturers, access to consumers, commercial infrastructure and regional markets is maintaining Mexico’s attractiveness as tariffs reshape international sourcing and investment strategies.