Mexico presents a great opportunity for IT equipment providers due to its fast-growing network connectivity.
By 2010, the country had 93.3% wireless network penetration with over 117 million active lines. This makes it a favourable import destination for network equipment manufacturers.
However, importing IT equipment into Mexico demands an understanding of the restricted and prohibited items. This is because importing prohibited items or failing to meet the requirements for restricted imports can lead to unnecessary costs.
The difficulty of importation varies depending on the nature of the item. However, it can be challenging for importers with little or no experience to navigate the importation procedures when importing into Mexico.
IT equipment for Network falls under the category of restricted goods, requiring licencing and various quality certifications to authorise the importation.
This article explores the critical requirements, regulations, and the process for successfully importing IT equipment for network deployment into Mexico.
Mexico IT Equipment Regulations for Imports
Mexican regulations on electronics are meant to control the cross-border movement of IT equipment for consumer safety, national security, and fair trade.
Below are the significant IT equipment regulations for networking:
Quality and Safety Standards
The Mexican government agencies and secretariats issue quality standards, referred to as Norma Official Mexicana (NOM) to authorise importation of certain products as the standard quality measure. Such products include electronics and equipment.
Importers are required to submit these quality certifications at the Mexican port of entry to authorise shipment of goods that require the quality certification.
Additionally, importers may be required to provide a certificate of compliance with Mexican quality standards, except for goods originating from specific regions.
For instance, quality-certified goods originating from the US and Canada do not require NOM certification as they have Mexican recognised certification bodies.
Applicable Tariffs
The import tax rate applicable ranges from 0%-15% depending on the country of origin and the nature of the goods being imported.
Trade Restrictions and Embargoes
Under the Foreign Trade Law, Mexico can impose trade barriers for specific products and countries of origin for imported goods. These barriers limit the importation of certain quantities, nature, or type of goods for fair trade, national security, and protecting local businesses.
While there are no significant trade embargoes currently (May 2024), the restrictions are unpredictable and can be imposed on certain circumstances.
For instance, in 2018, Mexico imposed measures on specific US products following Donald Trump’s duties on Mexican steel for fair trade.
Requirements for Importing Network Equipment into Mexico
A successful importation into Mexico requires you to understand the procedures and the hassle involved in the process for ease of navigation. Here are the four requirements you should meet before initiating an IT equipment importation procedure:
1. A Certified Mexican Customs Broker
You need an extensive knowledge of the fees, tariffs, duties and taxes for imported products to facilitate the clearance of goods. These charges keep changing.
For example, in August 2023, the Mexican president issued a decree to increase import tariff duties on 392 items, including electrical equipment, by 5%-25% ad valorem. The increase applied on items originating from countries without tariff preferences or free trade agreements with Mexico, and is valid through 2025.
Determining such information can be challenging. This is especially when you have less experience in international shipping of IT equipment and how such rules affect the shipping procedure.
As such, a Mexican customs broker well versed in navigating trade tariffs and applicable duties would be reliable in eliminating unnecessary costs and facilitating timely customs clearance.
Alternatively, you can work with an experienced Mexican-licenced importer of record (IOR) to ace the import procedures. The IOR offers entity representation for a seamless transportation and clearance, ensuring timely delivery of your IT products.
2. Official Register of Importers
Importing IT equipment into Mexico requires you to register as a member of the Mexican Tax Authority (SAT). The registration is done at the Official Register of Importers (Padron De Importadores).
The platform contains a list of over 400 varieties of merchandise, including electronics, and is considered a special sectors register.
A trade lawyer in Mexico or an importer of record with legal trade relationships with the Mexican authority can help when applying for the importation of IT equipment and other items in the special sectors register.
3. Knowledge of HS Codes and Classification
Determining the duties and tariffs applicable relies on an accurate classification of your shipment. The classification is done via the Harmonised Tariff Code System (HS Code).
In 2020, the Mexican government introduced a Trade Identification Number (TIN), a 10-digit tariff band, for accurate identification of imported goods.
The implementation led to some companies experiencing delays in the importation process due to incorrect HS codes. A professional broker or recognised IOR can accurately assign correct HS codes, eliminating delays at the Mexican port of entry.
4. IT Equipment Importation Documents
You need to present various documents at the port of entry before your IT equipment for network is cleared into Mexico. Here’s a list of documents you should prepare before you initiate your shipment process:
- Customs declaration: A document that accurately lists the nature, value, quantity, and origin of the goods for correct assessment of duties, tariffs, and import regulations.
- Certificate of Origin (CO): A document providing the source country proof for customs and trade purpose. It helps determine the trade agreements applicable, preferential benefits, and tariff rates.
- Commercial invoice: A legal document issued by the exporter as a financial proof of value for tax assessment, customs duties, and customs valuation.
- Bill of Lading or Air Waybill: A contract between the shipper and carrier of goods detailing the terms and conditions of shipping the goods. It also contains information such as the source and destination country, and the routing method.
- Complemento Carta Porte (CCP): A digital receipt of the Bill of Lading detailing consignment characteristics, transportation details, SAT codes of the goods, tariffs and parties involved.
- Document of Operations for Customs Clearance (DODA): An electronically generated document issued by the legal representatives of the Mexican customs for applicable customs procedures.
- Licences and certifications: As discussed previously, certain products require quality compliance certifications and licences to authorise their shipment. Importers should submit applicable licences at the Mexican port of entry.
Seamlessly Import IT Equipment into Mexico
Evidently, importing IT equipment for network into Mexico can be a daunting process with little or no experience in cross-border shipments. It can be even more challenging for goods whose country of origin has no free trade agreements with Mexico.
Not to worry, a legally recognised importer of record, like Blackthorne can alleviate the burden of ensuring compliance and settling applicable duties and tariffs.
Even better, with over 20 years of experience in global logistics and cross-border trade, Blackthorne can handle the entire global supply chain for a timely and safe delivery of your IT equipment.
Hence, if you are looking to deploy IT equipment into Mexico, we are only a message away. Let’s dive into a hassle-free discussion and we’ll hold your hand throughout the importation process.
