Switches and connectors: two-way electrical trade between Mexico and the US

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Mexico Trade Corridor · Product brief · HS 8536

Switches, circuit breakers, fuses and connectors move in large volumes in both directions across the Mexico-US border. This brief sets out the numbers from both sides, the rules in force, and where makers need working capital.

Published October 23, 2026 · Facts as of October 23, 2026 · 10 min read · Trade data: UN Comtrade, 2020 to 2025 · Rules as of October 23, 2026

Facts as of October 23, 2026. This page states the facts as they stood on that date. Tariffs, rules and figures may have changed since publication. Tariffs and trade policy change often, so we review these pages every month and update them.

#18

Mexico's No. 18 export to the US in 2025, ranked by value as reported by Mexico (UN Comtrade, 4-digit HS codes). It is also No. 11 among imports from the US. The US figure is shown beside it because the two countries count the same trade differently.

US$5.3bnMexico's exports to the US, 2025, as reported by Mexico

US$4.8bnThe same flow, 2025, as reported by the US

+67.6%Change 2020 to 2025, Mexico data

US$3.3bnMexico's imports from the US in the same code, 2025, Mexico data

What is it?

HS 8536 covers electrical apparatus for switching, protecting or connecting circuits at up to 1,000 volts: switches, fuses, circuit breakers, relays, plugs, sockets and connectors, including optical fiber connectors. Mexico reported US$5.3 billion of these exports to the US in 2025 ¹.

Why does it matter?

This code is Mexico's 18th-largest export to the US and its 11th-largest import from the US, by 4-digit HS code. The products go into data centers, renewable energy, HVAC, telecom, construction and factory automation ^1,4.

How does it work?

Plants in Coahuila, Nuevo León, Querétaro and Chihuahua make the parts and ship them by truck to panel builders, manufacturers and distributors. Goods that qualify under USMCA enter the US free of the general duty; metal tariffs are still to be checked line by line ^3,4,5,6.

In this brief

1. How big is the switch and connector trade between Mexico and the US?
2. Which products cross the border?
3. Who makes the products, and where?
4. How do the products get from the plant to the buyer?
5. Which rules and tariffs apply?
6. Where do makers need cash, and how is it financed?
7. What should switch and connector traders watch next?

01How big is the switch and connector trade between Mexico and the US?

Mexico reported US$5.3 billion of switch and connector exports to the US in 2025. That is up 67.6% from US$3.2 billion in 2020, and about the same as in 2024 ¹. This code was 1.0% of Mexico's US$545.4 billion of reported exports to the US ¹.

Growth has slowed. Exports rose 20.6% in 2021 and 17.7% in 2022, then 7.9% in 2023 and 9.5% in 2024, before holding flat in 2025, on Mexico's data ¹.

Trade also runs south in size. Mexico reported US$3.3 billion of imports from the US in 2025, up 42.4% since 2020 but down 2.6% from 2024 ¹. On Mexico's figures, the country sold US$2.0 billion more of these goods to the US than it bought ¹.

The two sides differ in both directions. US data shows US$4.8 billion of imports from Mexico in 2025, 9.5% below Mexico's figure, and US$4.5 billion of exports to Mexico, 37.0% above it ¹. Our data gap explainer sets out why the two sides differ.

Chart

Switch and connector trade, both directions, both sides of the data

• Mexico to US, Mexico data
• Mexico to US, US data
• US to Mexico, Mexico data
• US to Mexico, US data

US$ billion. Solid lines: as reported by Mexico. Dashed lines: as reported by the US. Source: UN Comtrade, 2020 to 2025.

02Which products cross the border?

No single product dominates the northbound trade. The 6-digit line for other switching and protecting apparatus was US$1.5 billion in 2025, or 28.6% of the total, as reported by Mexico ¹. Switches followed at US$1.2 billion (22.6%), automatic circuit breakers at US$0.9 billion (17.3%), plugs and sockets at US$0.7 billion (13.0%) and fuses at US$0.3 billion (6.0%) ¹.

The US records the largest line very differently. US data shows US$0.8 billion of imports from Mexico in the other apparatus line, about half of Mexico's figure ¹. We found no source that explains this gap.

The southbound mix is narrower. The other apparatus line was US$1.9 billion in 2025, or 58.1% of Mexico's imports from the US in this code ¹. The data does not show whether these imports are inputs for goods that Mexico then exports.

Chart

The largest switch and connector lines Mexico ships to the US

US$ billion and share of the 4-digit total, 2025, as reported by Mexico. Source: UN Comtrade.

03Who makes the products, and where?

Global electrical groups make most of these products in Mexico. Siemens makes electrical switches at its Mitras plant in Santa Catarina, Nuevo León, with output above 33 million units a year. Its Balvanera plant in Querétaro makes medium-voltage products. In September 2025 Siemens reported cumulative investment of about MXN 3.2 billion in the two states ³.

Littelfuse opened a 106,000 square foot plant in Piedras Negras, Coahuila, in September 2024, with 1,000 employees. The plant doubled its local capacity and serves data centers, renewable energy, HVAC, telecom, construction and factory automation ⁴. In June 2022, TE Connectivity opened a new building at its energy site in Ciudad Juárez, which makes power grid connectors, cable accessories and solar products ⁶.

Schneider Electric is expanding in Querétaro for data centers and critical energy infrastructure. Our control panels brief covers that project and the buyers behind it. Connectors also feed vehicle wiring: our wire and cable brief covers the harness trade.

04How do the products get from the plant to the buyer?

These goods usually travel north by truck. In 2025, Laredo, Texas handled 46.1% of the value of US-Mexico truck trade. Ysleta in El Paso handled 17.5% and Otay Mesa 9.1% ⁷. Our guide to border crossings covers each port.

Buyers include panel builders, vehicle and appliance makers, data-center builders and distributors. The maker ships with a commercial invoice, and the sale contract sets who pays for each leg and who clears customs, usually through an Incoterms rule. The Incoterms guide explains each one.

1. Plant in MexicoA plant in Coahuila, Nuevo León, Querétaro or Chihuahua molds, stamps and assembles the parts.
2. PaperworkThe maker issues a commercial invoice and, for a USMCA claim, a certification of origin. A customs broker files the export declaration.
3. Truck northGoods cross by truck. Laredo handles the largest share of truck trade value.
4. US customsThe US importer claims USMCA treatment or pays the duty that applies to the tariff line.
5. BuyerA panel builder, manufacturer or distributor receives the goods. The invoice is now due on the agreed terms.

Laredo, Texas handled 46.1% of the value of US-Mexico truck trade in 2025.

05Which rules and tariffs apply?

Goods that meet the USMCA rules of origin enter the US free of the general duty ⁵. We have not confirmed the rule of origin for each 8536 line. Our guide to USMCA rules of origin explains the certificate.

The 10% Section 301 tariff on Mexican goods, in force since July 24, 2026, does not apply to goods entered with a USMCA claim or to goods under Section 232 ⁸. IEEPA tariff collection ended on February 24, 2026, after a Supreme Court ruling ⁸.

Metal content is the open question. Under Proclamation 11032, in force since June 8, 2026, Section 232 duties on full value are 50% for Annex I-A steel, aluminum and copper articles, 25% for Annex I-B derivatives and 15% for Annex I-C and Annex III goods ⁹. We have not confirmed whether any 8536 line is listed. On August 4, 2026, Commerce proposed adding 14 derivative products, and 8536 was not among those reported ^10,11. Our wire and cable brief covers the separate copper duties.

All rates here are as of October 23, 2026.

Rules in force

As of October 23, 2026. Live list: corridor watch.

Measure	What it does	Since	Status
USMCA rules of origin	Qualifying goods enter the US free of the general duty. Rule for each 8536 line to be confirmed 5	Jul 1, 2020	In force
US Section 301, forced labor	10% on Mexican goods. Exempt with a USMCA claim; goods under Section 232 excluded 8	Jul 24, 2026	In force
US Section 232, steel, aluminum and copper	50% (Annex I-A), 25% (Annex I-B) or 15% (Annex I-C and III) on full value, under Proclamation 11032. Whether any 8536 line is listed must be checked 9	Jun 8, 2026	Check tariff line
US Section 232, proposed new derivatives	Commerce proposed adding 14 products. HS 8536 not among those reported 10,11	Aug 4, 2026	Proposed
IEEPA tariffs	Collection ended after the Supreme Court ruled on February 20, 2026 8	Feb 24, 2026	Ended

06Where do makers need cash, and how is it financed?

A maker pays for molds, stamping tools, test equipment, copper and silver contacts and wages before it ships. New capacity, such as a second plant, needs capital before the first order is paid. Large engineer-to-order projects in power distribution often bill in stages, so the maker funds materials first.

Payment terms are long. Atradius reports that half of Mexican firms give one month at most, that two- to three-month terms are common, and that medium and large industrial firms give the longest terms. About one fifth of B2B invoices in Mexico are overdue ¹².

Most of this trade runs on open account terms, so unpaid invoices are the maker's largest short-term asset. Our guides to factoring in Mexico and supplier finance programs run by large US buyers go further.

Where the cash goes

From order to payment

1. Before production
   Tooling and capacityThe maker pays for molds, stamping tools and test equipment for a new product or line.
2. Production
   Metals, parts and wagesCopper, silver contacts, plastics and electronics are bought and workers are paid. Imported inputs may enter under IMMEX.
3. Shipment
   Freight and customsTrucking, the customs broker and any US duty are paid at or near the border.
4. Invoice
   Waiting for paymentThe buyer pays on its terms. Two- to three-month terms are common in Mexico ¹².
5. Payment
   Cash returnsAbout one fifth of B2B invoices in Mexico are overdue, so payment can arrive late ¹².

The order of cash needs is typical for an electrical component maker. Actual days depend on each contract.

Before shipmentPre-shipment finance

Funds metals, parts and wages against a confirmed order, also called purchase order finance.

After invoice, large buyerPayables finance

A large buyer approves the invoice and a finance provider pays the maker early.

After invoice, any buyerFactoring or invoice discounting

The maker sells or borrows against its unpaid invoices.

Buyer may not payTrade credit insurance

Covers most of an unpaid invoice if a covered buyer fails to pay.

07What should switch and connector traders watch next?

Watch any Section 232 derivative listings that touch electrical apparatus, the USMCA review and new plant capacity ^2,10,13. USMCA stays in force. On July 1, 2026 the US did not agree to renew it in its current form, so annual joint reviews follow until 2036 unless the three countries confirm an extension ¹³. The live list of measures is on our corridor watch page.

• PendingFinal decision on Commerce's August 4, 2026 proposal to add 14 derivative products to Section 232. HS 8536 was not among those reported ^10,11.
• End 2027Schneider Electric's projected date for more than 4,000 direct jobs at its Querétaro plants ².
• Dec 31, 2027Section 232 metals rates under Proclamation 11032 run to this date ⁹.
• Jul 1, 2036USMCA ends on this date unless the three countries confirm an extension. Annual reviews run until then ¹³.

Questions traders ask

How much switch and connector trade is there between Mexico and the US?

Mexico reported US$5.3 billion of exports to the US in 2025 and US$3.3 billion of imports from the US, under HS 8536. US data shows US$4.8 billion of imports from Mexico and US$4.5 billion of exports to Mexico.

What does HS 8536 include?

Switches, fuses, automatic circuit breakers, relays, plugs, sockets and connectors for circuits at up to 1,000 volts, plus connectors for optical fibers. Assembled control panels are classed under HS 8537, which has its own brief.

Do Mexican switches and connectors pay US tariffs?

Goods that meet the USMCA rules of origin enter the US free of the general duty and are exempt from the 10% Section 301 tariff when entered with a USMCA claim. Whether any 8536 line carries a Section 232 metals duty should be checked line by line. These rules are as of October 23, 2026.

Who makes switches and connectors in Mexico?

Producers include Siemens in Santa Catarina and Querétaro, Schneider Electric in Querétaro, Littelfuse in Piedras Negras and TE Connectivity in Ciudad Juárez.

How do electrical component makers in Mexico get paid?

Most sell on open account, so the buyer pays after delivery. Two- to three-month terms are common in Mexico, and about one fifth of B2B invoices are overdue. Makers bridge the wait with factoring, invoice discounting, payables finance from large buyers or bank loans.

Read next

• Product briefElectrical control panels: Mexico's fast-growing power gear trade with the US
• Product briefWire, cable and wiring harnesses: copper in the Mexico-US auto chain
• Corridor hubCorridor watch: tariffs and rules in force
• Corridor guideUSMCA rules of origin and certificates
• Corridor guideFactoring in Mexico: how exporters sell invoices for cash
• Corridor hubThe Mexico to US corridor: what moves and how it is paid for
• Ossiano Trade Finance GuideHow each trade finance instrument works
• GlossaryTrade finance terms in plain English

Making or trading switches and connectors between Mexico and the US? Ossiano Capital works on trade finance in this corridor.

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Sources and notes

1. UN Comtrade, annual trade data 2020 to 2025, HS 8536, Mexico and the US as reporters. Downloaded October 2026; 2025 figures may be revised. https://comtradeplus.un.org/
2. Cluster Industrial, Schneider Electric strengthens its industrial capacity in Querétaro with new expansion, August 20, 2026. https://clusterindustrial.com.mx/schneider-electric-fortalece-su-capacidad-industrial-en-queretaro-con-nueva-expansion/
3. Cluster Industrial, Siemens raises its investment in Nuevo León and Querétaro to MXN 3,225 million, September 1, 2025. https://clusterindustrial.com.mx/siemens-eleva-a-3-225-mdp-su-inversion-en-nuevo-leon-y-queretaro/
4. Passive Components EU, Littelfuse opens new manufacturing plant in Mexico, September 18, 2024. https://passive-components.eu/littelfuse-opens-new-manufacturing-plant-in-mexico/?amp=1
5. Atlantic Council, Mexico can turn USMCA pressure into an industrial opportunity, July 23, 2026. https://www.atlanticcouncil.org/blogs/econographics/mexico-can-turn-usmca-pressure-into-an-industrial-opportunity/
6. TE Connectivity, TE opens new building at energy industry production site in Juárez, Mexico, June 30, 2022. https://te.com/en/about-te/news-center/te-connectivity-opens-new-building-at-energy-industry-production-site-juarez-mexico.html
7. Air Freight News, US Bureau of Transportation Statistics transborder freight data, 2025 annual report, March 17, 2026. https://airfreight.news/articles/full/transborder-freight-data-annual-report-2025
8. Congressional Research Service, U.S.-Mexico Trade Relations (IF11175), August 13, 2026. https://www.everycrsreport.com/files/2026-08-13_IF11175_366b72c3fd2f3ebe10b28bf3feddca0088251bbb.html
9. The White House, Further adjusting the tariff regimes for imports of aluminum, steel and copper, proclamation of June 1, 2026. https://www.whitehouse.gov/presidential-actions/2026/06/further-adjusting-the-tariff-regimes-for-imports-of-aluminum-steel-and-copper/
10. V. Alexander & Co., Department of Commerce proposes new Section 232 duties on 14 derivative products, August 5, 2026. https://www.valexander.com/2026/08/05/dept-of-commerce-proposes-new-sec-232-duties-on-14-derivative-products/
11. KPMG TaxNewsFlash, US BIS Section 232 tariffs: derivative articles, August 2026. https://kpmg.com/us/en/taxnewsflash/news/2026/08/us-bis-section-232-tariffs-derivative-articles.html
12. Atradius, B2B payment practices trends in Mexico, 2026. https://atradius.us/knowledge-and-research/reports/b2b-payment-practices-trends-in-mexico-2026
13. White & Case, USMCA 2026 joint review: United States declines to extend agreement, July 2, 2026. https://www.whitecase.com/insight-alert/usmca-2026-joint-review-united-states-declines-extend-agreement-triggering-annual

Trade values are US dollars from UN Comtrade at the 4-digit HS level unless a 6-digit line is named. Mexico and the US record the same shipments under different rules for value, country of origin and timing, so their figures differ. Percent changes compare 2025 with 2020. All facts on this page are as of October 23, 2026, the date of publication, and may have changed since. Rules and tariffs are as of October 23, 2026 and change often: check the corridor watch before you act.

About this brief. Prepared for Ossiano Capital. People planned, researched, wrote and checked this brief, using AI tools to help with research and checking. You are welcome to quote or reuse it: please credit Ossiano Capital and link to this page.