The English also booked their place in the Round 0f 16.
The English, who beat Chile 4-0 in their opener, were ahead by three goals and in full control of the match, but the two-time U-17 world champions found another gear near the hour mark, and Diego Lainez’s seven-minute brace made for a dramatic ending to the contest.
Watch England 3-2 Mexico Highlights
Rhian Brewster scored the only goal of the first half with a lovely 25-yard free-kick over the Mexican wall, which came as a relief to the Liverpool forward after missing from in front of an open goal in the opening minutes of the match.
The Three Lions pulled away after the break, as Jadon Sancho set up Philip Foden, who fired in a pinpoint shot from just inside the box, and then converted a penalty himself after El Tri captain Carlos Robles handled the ball in his own box.
Lainez was fortunate in his first goal after his powerful shot deflected off Joel Latibeaudiere, but his second goal was down to placement, as he scooped a left-footed shot across England goalkeeper Curtis Anderson and inside the far post.
The CONCACAF champions piled on the pressure in the closing stages, with the Kolkata crowd egging them on, and Alexis Gutierrez went close from 20 metres before Roberto de la Rosa headed over the crossbar. In the end, it was not to be, and Mexico are on just one point from two matches played.
The Iraqis are now well-placed to advance with four points from two matches after an opening 1-1 draw with Mexico. England top the group with six points, while El Tri sit one above Chile, who have yet to get off the mark or score a goal so far in India.
Watch Irq 3-0 Chile Highlights
Dawood opened his account in the sixth minute, showing determination and quickness to control a rebound from his own shot before bursting past two defenders. His effort from a tight angle picked up a deflection on the way through, leaving goalkeeper Rodrigo Cancino with no chance.
The second goal was sheer class, seeing Dawood’s free-kick from a just outside the box curl around the wall and into the net. He could have completed his hat trick, following on from a Chilean own goal, but for a fine save by Cancino to repel his penalty in second-half injury time.