Mexico’s President Claudia Sheinbaum announced a plan to reduce the country’s imports from China in a bid to support local industry and align herself with the US and Canada as a trade partners.
Reuters
Amid a shrinking share of North American exports to the world, Sheinbaum stated that Mexico would offer incentives for nearshoring, including tax deductions, and develop plans for individual sectors for how to increase the local content of goods made in Mexico.
The new decree on incentives for both Mexican and foreign firms will be published Jan. 17.
“What isn’t made here can be made here. The Plan Mexico was very clear,” Francisco Cervantes, president of the country’s business coordinating council CCE, said. “We have a trade agreement with the US and Canada that the president said is very important, so as long as we stick to the terms of the agreement, things will go well for us.”
North America’s share of global trade has declined, while China’s has increased, Finance Minister Rogelio Ramirez de la O said during the event, underscoring the importance for the region of replacing its imports from the Asian giant.
“If North America replaces 10% of the imports we are getting from China, and we make them in North America, Mexico’s GDP would grow 1.2% more than it normally does, the US 0.8% more and Canada 0.2% more,” Ramirez de la O said.
Sheinbaum said the US-Mexico-Canada trade agreement, known as USMCA, is the best way to compete commercially with China. She expressed confidence that the deal, which is scheduled to be reviewed in 2026, will continue despite the tariff threats by incoming US President Donald Trump.
Trump has pledged to impose tariffs of up to 25% on Mexico and Canada if those countries don’t help to reduce the crossing of undocumented migrants and curb drug trafficking into the US. The Republican has also expressed concern that China is using Mexico as a back door to send cheap goods into the US, affecting local producers.
Sheinbaum, who spoke with Trump about Mexico’s progress against migration and drug trafficking during a November phone call, since taking office has initiated a campaign to combat unfair trade from Asian countries, including China, with tariffs on products that affect the domestic textile industry and seizures at shopping malls selling cheap goods that the government says were illegally imported into Mexico.
As a way to promote nearshoring, as the boom of factories moving to Mexico to be closer to the US market is known, Sheinbaum’s government will announce tax deductions for local and foreign companies. These deductions, which will be higher for technology, research and development, will remain in place until October 2030.
Sheinbaum also announced she would seek to grow Mexico’s total energy generation capacity by about 16%, with a focus on increasing the share of renewable energy sources in Mexico’s power matrix. Additionally, she’ll focus on growing Mexico’s natural gas storage capacity, streamlining permits for independent power generators, and publish rules for how the private sector can partner with state energy companies on projects.
Among the “Plan Mexico” priorities are to speed up the permit process for exporting manufacturers that import materials duty-free and boost the purchase of locally made goods.
As part of that plan, Mexico wants to by 2030 increase the percentage of Mexico-made components in each vehicle to 15%.
Mexico also seeks to increase public and private investment in the country to more than 25% of gross domestic product, Sheinbaum said without specifying in which areas the government would seek to increase spending.
Reducing imports from China “is a challenge but it is feasible,” said Antonio Ruiz, of the Compliance & Government Liaison Office for Ciudad Juarez-based manufacturer TECMA. “We can manage it. Canada, the US and Mexico are each passing through political processes, and coming to terms with their differences, but together we can manage.”
Zalando has announced Iamisigo, a Nigerian-founded brand, as winner of its Visionary Award 2025 “for its boundary-pushing exploration of artisanal craftsmanship and pioneering textile innovation”.
As well as the €50,000 prize, the label will present its collection on the runway at Copenhagen Fashion Week SS26 in August “with Zalando’s continued support through financial assistance for the show production, facilitating mentorship opportunities and tailored industry connections”.
The company said the award reflects its “commitment to supporting emerging designers who challenge conventions and inspire progress in the fashion industry”.
The brand blends heritage textiles with traditional craft techniques drawn from across Africa. It was founded by Bubu Ogisi and offers “contemporary designs with a bold, fresh perspective”.
At an exhibition at Copenhagen Fashion Week AW25 this week, the award finalists introduced their brands, presented their visions and ethos through a showcase of their hero pieces and a panel talk, hosted by Zalando.
We’re told the jury chose Iamisigo “for its dedication to blending ethical sourcing with a commitment to empowering local communities. The brand’s distinct voice, visionary and magical aesthetic challenge conventions, offering a new perspective on what it means to drive positive change in fashion; transcending gender norms, designing for spirits and energies”.
The jury also said that Bubu Ogisi “embodies the essence of a visionary in many ways, and that she is a rare creative talent working in this space today, with a brand whose output is both beautiful and miraculous”.
Deckers Outdoor on Thursday beat third-quarter sales estimates on robust holiday demand for its Hoka running shoes, but an in-line annual forecast caused the footwear maker’s shares to tumble 17% in extended trading.
Ugg
Hoka shoes with their oversized soles have been gaining market share from brands such as Nike in the sportswear category. The brand, which retails for up to $300 in the United States, have also enjoyed full-price sales.
This drove up the company’s third-quarter revenue by 17% to $1.83 billion, beating analysts’ average estimate of $1.73 billion, according to data compiled by LSEG. Deckers also raised its annual net sales forecast for a second time this year.
“The guidance looks pretty conservative and considering the beat, it’s bit of a negative read into the out quarter,” said Drake MacFarlane, analyst at MScience.
The popularity of the Hoka shoes and the success of the company’s Ugg boots and sandals has helped it post double-digit revenue growth for nearly seven quarters.
The company now expects annual net sales to increase about 15% to $4.9 billion, compared with its prior expectation of about 12% growth to $4.8 billion. Analysts estimated an increase of 14.9% to $4.93 billion.
Deckers expects annual earnings per share of $5.75 to $5.80, compared with its prior forecast of $5.15 to $5.25.
Amazon.com is increasing its advertising on billionaire Elon Musk’s social media platform X, the Wall Street Journal reported on Thursday, citing people familiar with the matter.
Reuters
The major shift comes after the e-commerce giant withdrew much of its advertising from the platform more than a year ago due to concerns over hate speech.
In 2023, Apple also pulled all of its advertising from X and has recently been in discussions about testing ads on the platform, the report said.
Several ad agencies, tech and media companies had also suspended advertising on X following Musk’s endorsement of an antisemitic post that falsely accused members of the Jewish community of inciting hatred against white people.
Monthly U.S. ad revenue at social media platform X has declined by at least 55% year-over-year each month since Musk bought the company, formerly known as Twitter, in October 2022. He had acknowledged that an extended boycott by advertisers could bankrupt X.
Musk has become one of the most influential figures following President Donald Trump‘s re-election. He now leads the Department of Government Efficiency, which aims to cut $2 trillion in government spending.
Entertainment8 years ago