12 Dec, 2025 | Daily Current Affairs

Mexico Tariffs on Indian Auto Exports: Impact Explained for UPSC

1. Context
Mexico has extended import tariffs (5–50%) on goods from countries without a Free Trade Agreement (FTA), including India. While India’s overall export basket remains safe, the auto sector faces concentrated risk because Mexico is a major destination market.

2. What Mexico Has Done
• Tariffs of 5–50% on non-FTA partners, including India.
• First imposed in April 2024 for 2 years; now extended from Jan 1, 2026.
• Aim: Protect domestic industry, reduce import dependence.

3. Why India Is Affected
Though total exports to Mexico are just 1.3% of India’s global exports, certain sectors rely heavily on this market.

Export Profile (Key Data)
• India’s exports to Mexico (2024–25): $5.7 bn.

Auto sector exposure:
• Motor cars + parts = $1.4 bn (25%) of exports to Mexico.
• Motorcycles = 7% of exports to Mexico.

4. Why Auto Sector Faces the Highest Risk
• Market dependence.
• Mexico accounts for 10% of India’s global auto & auto-parts exports.
• Mexico constitutes 12% of India’s motorcycle exports.
• Sector concentration → Small tariff changes cause disproportionate impact.
• Mexico is among the largest buyers of Indian automobiles globally.

Rising Educational Costs in India: Causes and UPSC Perspective

1. Context
India constitutionally guarantees free and compulsory education (6–14 years) under Article 21A, and NEP 2020 aims for universal schooling up to secondary. Yet, NSS 80th Round (2022–23) shows households facing high and rising educational expenditure, driven mainly by private schools and private coaching, weakening the equity goals of public education.

2. Enrolment Pattern: Shift Toward Private Education
• National enrolment: 56% govt, 31.9% private; private share rising steadily.
• Urban preference is stark: private enrolment 51.4% urban vs 24.3% rural.
• Gender gap persists: in rural private schools 34% boys vs 29.5% girls.
• Overall trend: families opt for private schools despite free govt schools, signalling eroding trust in public education.

3. Costs of Schooling: Sharp Govt–Private and Rural–Urban Divide
Government Schools (Annual Fees)
• Rural: ₹823–₹7,308
• Urban: ₹1,630–₹7,044

Private Schools (Annual Fees)
• Rural: ₹7,898–₹33,567
• Urban: ₹26,185–₹49,075

Key Insight: Urban private higher-secondary schooling costs are up to 10× rural government schooling—a massive affordability gap.

4. Household Monthly Spending (Private Schooling)
• Rural: ₹1,499 → ₹12,874
• Urban: ₹2,797 → ₹28,098

These values have increased over previous NSS rounds, confirming rising financial pressure on families.

5. The Coaching Explosion
• Private coaching taken by 25.5% rural and 30.7% urban students.
• Much higher in higher classes and urban areas.
• Annual spending (Rural): ₹4,805 (secondary), ₹7,825 (higher secondary).
• Annual spending (Urban): ₹13,300 (secondary), ₹24,000 (higher secondary).

Analytical Point
Coaching has become a parallel education system, reducing schooling to a credential rather than a learning source.

6. Inequality Deepens
• Higher-income households dominate private schools and coaching.
• Government schools increasingly serve low-income households only, leading to social stratification.
• Poor families cut essential consumption to afford education, worsening intergenerational poverty.
• Education no longer acts as a leveller; it is becoming a reproducer of inequality.

Karnataka Hate Crimes Bill: Key Provisions and UPSC Analysis

Context
Karnataka has introduced the Hate Speech and Hate Crimes (Prevention) Bill, 2025, aiming to curb rising hate speech and targeting of communities. The editorial argues that, despite good intentions, the Bill’s vague definitions and sweeping powers pose a serious threat to free speech and individual liberty.

Summary

  1. The Bill uses undefined and subjective terms, making enforcement arbitrary.
  2. It gives the state broad authority to determine what qualifies as hate speech.
  3. Such wide powers increase the risk of political misuse against dissent or criticism.
  4. Legitimate speech could be criminalised unnecessarily, beyond what is needed for public safety.
  5. Existing laws already cover incitement and violence, making a separate expansive law redundant.
  6. The Bill prioritises optics over substance, threatening free speech more than addressing hate crimes.

US F-16 Support to Pakistan: Strategic Impact for India & UPSC

Context
The F-16 is in news because the U.S. has approved a major sustainment package for Pakistan’s existing F-16 fleet, which India monitors due to regional security implications.

F-16
• Generation: 4th-generation fighter.
• Type: Single-engine, multirole combat aircraft.
• Maker: Lockheed Martin.
• Role: Air-to-air and air-to-ground missions.
• Why important: Backbone of Pakistan’s air combat capability.

Bangladesh Elections and July Charter Referendum: Key Facts for UPSC

Context
Bangladesh has announced its next national election and a constitutional referendum, marking a major step in its political transition after the fall of Sheikh Hasina’s government in 2025.

Bangladesh Election
• 13th national election on February 12, 2026.
• This will be Bangladesh’s second election in 26 months.
• The schedule completes the process that began after Hasina’s ouster on August 5, 2025.

Referendum on July Charter
• Referendum on the same day: February 12, 2026.
• July Charter = a set of principles aimed at amending the 1972 Constitution.
• Adopted in October 2025 by the National Consensus Commission with support from 25 political parties.
• Intended to reshape Bangladesh’s political framework and reinforce democratic reforms.

About the UPSC Civil Services Examination (UPSC CSE)

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