MOFCOM spokesperson Shu Jueting at a regular press conference on December 14, 2023 Photo: Tao Mingyang/GT

Normal cooperation between China and Mexico should not be meddled by any third country, China's Ministry of Commerce (MOFCOM) spokesperson Shu Jueting said on Thursday, urging relevant countries to stop acts of economic coercion.

The Chinese spokesperson made the remarks when responding to reported US concerns over Mexico's potentially playing host to Chinese electric vehicle (EV) makers.

Many Chinese companies in the new energy sector and the electric car industry have entered the Mexican market to engage in trade and investment cooperation, and help boost local green economy. The Mexican government has on multiple occasions welcomed Chinese investment. 

Such cooperation is conducted between two sovereign countries, with companies from the two sides undergoing normal commercial activity based on international norms and market principles, Shu said. "Any third country has no rights to intervene and we urge relevant countries to stop act of economic coercion."

On December 17, The Financial Times reported that the US has raised concerns with Mexico over a wave of Chinese investment into the country, with three of China's biggest electric vehicle manufacturers looking to set up plants there.

Considering the recent news about US-Mexico cooperation on investment security screening, Chinese experts warned of a rising risk in which Chinese EV makers will face new geopolitical challenges when investing in Mexico.

Mexico has benefited from the current global relocation of production capacity by global companies and many Chinese companies that have moved to Mexico need to source upstream materials and equipment from China.

China's direct investment in Mexico totaled $2.16 billion between1999-2022, of which $900 million, or 43 percent of the total, was completed in the past four years, with another $2 billion still in the pipeline, according to the Mexican Embassy in Beijing.

Figures from Canalys show that global sales of EVs grew 49 percent to reach 6.2 million units in the first half of 2023, with Chinese market accounting for 55 percent of the sales.