U.S.-China Trade Disarray Sounds Like an Opportunity for Mexico—But It Isn’t Working Out That Way

MEXICO CITY—With global supply chains in disarray amid the U.S.-China trade war and the coronavirus pandemic, Mexico might seem a logical winner if U.S. companies decide they want to diversify away from China and make some products closer to home.

Mexico clinched a new trade deal with the U.S. and Canada last year and has now replaced China as the U.S.’s largest single trading partner.

“These…

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