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Xin Point's Mexico factory sees sales increase, while the Malaysia factory delays mass production
Veröffentlichungszeit:
2025-09-26
During the current Sino-US trade conflict, Xin Point, by leveraging the Mexico factory, expanded production options for customers, avoided high tariffs, and actively cooperated with localization production strategy, successfully turned the crisis into an opportunity and laid a solid foundation for obtaining new orders in the future.
Therefore, the average monthly sales volume of the Mexico factory is also increasing. In June 2025, it increased by approximately 40% compared to January 2025. Currently, the products exported from Mexico to the United States still enjoy a zero-tariff advantage, which is very beneficial for Xin Point to further expand its market in North America.
On the other hand, China and the United States have reached a phased agreement. Before November 11, 2025, the additional tariff level for China will be reduced to 30%. Therefore, currently, the products exported by Xin Point from China to the United States need to pay tariffs ranging from 42.8% to 44%. At the same time, starting from August 1, 2025, the corresponding tariffs for Malaysia will be reduced from 25% to 19%, so the tariffs to be paid by Xin Point to export from Malaysia to the United States dropped from 30.3% - 31.5% to 24.3% - 25.5%.
As the tariffs on exports from China to the US are only 18.5% higher than those from Malaysia to the US, and considering the costs of transferring current projects, US customers have decided to temporarily not move the already mass-produced projects to the Malaysia factory, but will assign some new projects to the Malaysia factory. Therefore, the construction of the Malaysia factory no longer needs to be expedited and will proceed according to the mass production time of the new projects. Mass production is expected to start around June 2026.
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