GENERAL SITUATION IN MEXICO
Weekly Review I April 24, 2025
US - MEXICO PRESIDENTIAL NEWS
Trump’s Pressure on Fed & Economic Outlook
Background:
President Donald Trump urged the Federal Reserve to cut interest rates immediately, warning that the U.S. economy risks slowing despite declining inflation. His comments intensified pressure on Fed Chair Jerome Powell, whom Trump has criticized repeatedly. Though unclear whether Trump has authority to remove Powell, markets reacted negatively to the political interference threat.
Economic and Financial Impact:
• Trump’s comments led to a 2% drop in the S&P 500 and higher Treasury yields.
• Rising yields may raise consumer borrowing costs (mortgages, auto loans) and tighten credit for businesses.
• The Conference Board’s Leading Economic Index dropped 0.7% in March, signaling a slowdown.
US - MEXICO PRESIDENTIAL NEWS
Macroeconomic implications:
• Fed officials remain cautious, concerned that tariff-driven inflation could surpass the 2% target again.
• Inflation may temporarily fall but could rebound to 4% or more due to upcoming tariffs.
• The Fed is expected to hold rates steady at 4.25–4.50% in its May 6–7 meeting.
Policy Uncertainty and Market Sentiment:
• Continued trade tensions and Trump’s unpredictable monetary policy stance have weakened economic confidence.
• Recession odds have increased, with weakening manufacturing and consumer sentiment indicators.
• The Fed emphasizes a steady approach, awaiting clearer data on tariffs’ impact before adjusting rates.
SOURCE: REUTERS
Mexico’s economic outlook and Tariff Talks
• President Claudia Sheinbaum confirmed that no agreement was reached during her recent phone call with Donald Trump regarding tariffs on steel, aluminum, and the automotive sector, although Mexico presented arguments in favor of free trade under the USMCA.
• She also rejected the IMF’s forecast of a 0.3% contraction in Mexico’s GDP for 2025 due to the ongoing trade dispute with the U.S., stating that the government’s own economic models still predict growth.
• Sheinbaum defended her “Plan Mexico,” aimed at attracting nearly $300 billion in private investment and strengthening the national economy despite the challenging external environment.
LEGISLATIVE CHANGES AND INITIATIVES
FISCAL
• INITIATIVE TO AMEND AND ADD VARIOUS PROVISIONS TO THE VALUE ADDED TAX LAW
Presented by: Deputy Eva María Vásquez Hernández (Plurinominal – PAN)
Objective: Grants a preferential 8% VAT rate and a 50% tax credit to individuals and companies operating in the northern border region, subject to specific conditions and exclusions defined by the Tax Administration Service.
Status: Published in the Parliamentary Gazette on 2025-04-22.
TECHNOLOGY
• INITIATIVE TO AMEND ARTICLE 73 OF THE POLITICAL CONSTITUTION OF THE UNITED MEXICAN STATES REGARDING ARTIFICIAL INTELLIGENCE
Presented by: Deputy Martha Amalia Moya Bastón (State of Mexico – PAN)
Objective: Grants Congress the authority to enact laws on artificial intelligence.
The transitory articles establish that, following a comprehensive analysis of current legislation, Congress will have 180 calendar days to amend secondary legislation and, if necessary, issue new laws to comply with the provisions of this Decree.
Status: Published in the Parliamentary Gazette on 2025-04-22.
LABOR
• INITIATIVE TO AMEND SECTION A, CLAUSE IV OF ARTICLE 123 OF THE POLITICAL CONSTITUTION OF THE UNITED MEXICAN STATES
Presented by: Deputy Evangelina Moreno Guerra (Baja California – MORENA)
Objective: Establish that for every five days of work, workers must enjoy at least two days of rest.
Status: Published in the Parliamentary Gazette on 2025-04-22.
ENVIRONMENTAL
• INITIATIVE TO AMEND THE GENERAL LAW FOR THE PREVENTION AND INTEGRAL MANAGEMENT OF WASTE
Presented by: Senator Alberto Anaya Gutiérrez (National List – PT)
Objective: Establish that rechargeable lithium-ion batteries used in consumer goods, industrial equipment, electric transportation, or energy storage systems shall be classified as special handling or hazardous waste, depending on their physical and chemical characteristics, condition, and volume, in accordance with official Mexican standards.
Status: Published in the Parliamentary Gazette on 2025-04-22.
NEWS BY STATE
BAJA CALIFORNIA
During FAMEX 2025, held in Santa Lucía, Estado de México, the creation of the new Mexicali Aerospace Cluster was announced, reinforcing Baja California’s leadership in Mexico’s aerospace industry. This cluster, already officially registered and comprising large firms and SMEs, aims to strengthen local suppliers and boost national industry, aligning with longstanding goals of the Mexican Federation of the Aerospace Industry (FEMIA) and the federal government’s “Plan México.” Mexicali, with nearly 50 years in the sector and home to 28 aerospace companies employing 8,000 people, is a strategic hub. The state boasts over 125 aerospace companies and 40,000 jobs, making it the national leader in the industry. With a projected annual growth above 15%, the Mexican aerospace sector is valued at $11.2 billion and is expected to double by 2029, supported by foreign investment and export leadership.
SOURCE: VANGUARDIA INDUSTRIAL
NEWS BY STATE
SONORA
Mario Avilés, CEO of Red Rivers, announced a new industrial park in San Luis Río Colorado, Sonora, located just 20 minutes from Mexicali, highlighting its strategic location next to a border crossing capable of handling up to 4,000 trucks daily. The project, aligned with the Mexico Plan and the Sonora Plan, will include an 80-hectare bonded area and is conveniently close to both Mexicali and Yuma airports. Avilés emphasized that the Red River Industrial Park already has essential infrastructure in place, such as a combined-cycle power plant, an electrical substation, and internal roadways, making it attractive to industries such as pharmaceuticals, automotive, and data centers—the latter particularly drawn by the guaranteed power supply of 110 megawatts. While he acknowledged the broader energy shortage in Mexico, Avilés stressed that this project is already equipped to meet the needs of its future clients.
SOURCE: DOSSIER POLITICO
Lebanese Ambassador to Mexico, Sami Nmier, announced strong interest from international consortiums in investing in Sonora, particularly in clean energy, citing the state’s strategic potential. During his visit, he also introduced the Lebanese Center of Sonora to foster cultural and economic ties. Governor Alfonso Durazo emphasized Sonora’s growing prominence in renewable energy, driven by the state’s Plan Sonora, which focuses on infrastructure, sustainability, and foreign investment. Key advantages include the port of Guaymas, road modernization projects, mining leadership, and tourism development in San Carlos. Ambassador Nmier reaffirmed Lebanese business interest in forming long-term partnerships in Sonora’s strategic sectors.
SOURCE: MEXICO NOW
NEWS BY STATE
NUEVO LEON
At the 2025 Mexico Aerospace Fair (FAMEX), the government of Nuevo León showcased its commitment to innovation in public security by debuting its UH-60 Black Hawk helicopter, operated by the state’s Fuerza Civil, as part of its new aerial division. This marks Nuevo León’s first participation in Latin America’s most significant aerospace event, which brings together over 60 aircraft from countries including the U.S., Brazil, Canada, and Spain. The participation highlights the state’s leadership in security modernization and positions its aerial unit as a cutting-edge model for tactical surveillance and response, reinforcing its role in Mexico’s broader aerospace and security development efforts.
SOURCE: GOVERNMENT OF NUEVO LEON
CHIHUAHUA
Governor Maru Campos held a working meeting in Ciudad Juárez with leaders from the maquiladora industry to develop joint projects aimed at strengthening the region’s economy. The meeting also focused on strategies for job creation, enhancing training in labor regulations, improving competitiveness, and ensuring economic development and stability. Joined by key state officials—including the Secretaries of Government, Finance, Labor, and Economic Development— Campos discussed the global economic outlook and its potential impact on Chihuahua. Representatives from at least 15 manufacturing companies based in Ciudad Juárez, along with business leaders from various organizations, participated in the session.
SOURCE: EL ECONOMISTA
NEWS BY STATE
United States Antimony Corp has resumed operations at its smelting plant in Madero, Coahuila, more than a year after halting all activities in Latin America due to financial losses and low antimony prices. The restart comes amid rising global demand and prices following China’s export ban on critical minerals, including antimony, which is essential for military, energy, and tech applications. The company has begun processing its first shipment of antimony from international sources, with two more shipments expected soon, aiming to reach a production rate of 200 tons per month by the end of 2025.
SOURCE: EL ECONOMISTA
COAHUILA
NEWS BY STATE
GUANAJUATO
At the 2025 Mexico Aerospace Fair (FAMEX), Guanajuato reaffirmed its leadership in the national aerospace industry by showcasing the strength of its Bajío Aerospace Cluster, which includes 18 companies. Representing Governor Libia Dennise García Muñoz Ledo, Alejandro Hernández Fonseca, Deputy Secretary of Investment Attraction, highlighted the state’s strategic efforts to develop a hightech ecosystem, notably through the presentation of the *Halcón 2*—Mexico’s first aircraft entirely designed, manufactured, and assembled in Guanajuato by Horizontec. The state’s presence at FAMEX underscores its commitment to innovation, specialized employment, and economic diversification, positioning Guanajuato as a key player and trusted partner for future aerospace investments.
SOURCE: BOLETINES GUANAJUATO
QUERETARO
Querétaro is making its debut as the invited state at the 2025 Mexico Aerospace Fair (FAMEX), which takes place from April 23 to 26 at the Santa Lucía Military Air Base in the State of Mexico. The state is positioning itself as a key destination for aerospace investment, showcasing its strengths in aerospace manufacturing, maintenance, repair, and overhaul (MRO) services. A delegation representing Querétaro includes local government officials, academics, and industry leaders, with participation from the state’s Secretariat of Sustainable Development (Sedesu), the Querétaro Aerocluster, and the Universidad Aeronáutica en Querétaro (UNAQ).
SOURCE: EL ECONOMISTA
NEWS BY STATE
CDMX
The Ministry of Economic Development (SEDECO) and Tecnológico de Monterrey (CDMX Region) have signed a three-year collaboration agreement to establish the Tlalpan District, in southern Mexico City, as a national and international hub for scientific and technological innovation. The partnership includes the creation of collaborative spaces, prototyping labs, and support for science- and technology-based entrepreneurship. It also aims to develop intersectoral governance mechanisms involving public, private, and academic sectors. SEDECO’s Manola Zabalza emphasized the potential impact on over one million residents and expressed hopes to exceed $1 billion in foreign direct investment in biotechnology companies, generating thousands of high-skilled jobs. Paulina Campos of Tec de Monterrey highlighted the campus’s strategic location and its potential for community transformation. The agreement also supports projects in innovation, mobility, urban planning, health, and bioengineering, along with events to strengthen the ecosystem. Benito Sotelo noted this marks a turning point for Tlalpan’s role in global innovation.
SOURCE: INTERFAZ DE NEGOCIOS
As Mexico City prepares to host the 2026 FIFA World Cup, Mayor Clara Brugada has announced key public transportation upgrades in the city’s southern region. These include the launch of a new Trolebús route and the purchase of 17 new Light Rail (Tren Ligero) trains for the Tasqueña-Xochimilco line. The investment exceeds 1.3 billion pesos and aims to increase the system’s capacity from 130,000 to 240,000 daily passengers. The new trains will bring the total fleet to 40 units, addressing long-standing user complaints about delays. Brugada highlighted that the bidding process will begin soon, although the delivery of trains will take about a year. Additionally, a new Trolebús line will connect Metro Universidad to the Cetram Huipulco, passing through the Santa Úrsula area—home to Estadio Azteca. The new 11-kilometer route and additional buses are part of a broader public investment strategy linked to the city’s World Cup preparations.
SOURCE: EL UNIVERSAL
NEWS BY STATE
STATE OF MEXICO
GWM México has partnered with DHL Supply Chain to enhance its post-sale logistics through a new 9,200 m2 distribution center in the State of Mexico. This facility houses over 450,000 parts and 10,000 SKUs, enabling over 90% coverage and delivery times of one to three days for its nationwide dealer network. The alliance, part of the GWM Care program, emphasizes a worry-free vehicle ownership experience. The center features value-added services like custom labeling and specialized repackaging, operating on a scalable model from Monday to Friday. The integration of BlueYonder WMS
with GWM’s platform ensures real-time inventory tracking, increased accuracy, and improved responsiveness. Business Intelligence reports also support data-driven decisions. GWM executives highlighted the significant improvements in delivery speed and inventory control. DHL Supply Chain’s president emphasized that this partnership not only strengthens GWM’s supply chain but also raises the overall standard of post-sale service in Mexico’s automotive sector.
SOURCE: CLUSTER INDUSTRIAL
INVESTMENT NEWS
NORTH HOLSAN
Holsan Industrial Development is planning an investment of $33 million USD for the construction of a new industrial park in Salinas Victoria, Nuevo León. The project, named Holsan Industrial Park, will be developed in two phases, each with a duration of five years, positioning it as a medium- to long-term initiative.
CENTER
SAN LUIS DASUNG
San Luis Dasung, a subsidiary of the Malaysian group MK TRON, has inaugurated a second industrial facility with an investment of $9 million USD. The new plant will generate 250 new direct jobs.
VOLEX
Volex held a groundbreaking ceremony for its new plant in San Luis Potosí. The facility is expected to create over 2,000 jobs. The investment amount has not been disclosed.
SOURCES: CLUSTER INDUSTRIAL, MEXICO INDUSTRY
PRODENSA INSIGHTS
DOING BUSINESS IN MEXICO A MANUFACTURER’S GUIDE TO VAT REIMBURSEMENT
Did you know that Mexico offers VAT (IVA) exemptions and refunds for exporters— but only if your operations meet strict compliance requirements?
This guide breaks down how manufacturers can benefit from Mexico’s VAT reimbursement programs under IMMEX, including:
• Who qualifies for VAT exemption or credit
• The role of VAT/IEPS certification
• Recent court rulings and SAT updates
• Key documentation and audit risks to avoid
• Whether you’re starting up or optimizing operations, understanding VAT reimbursements is crucial to improving your cash flow and reducing tax burdens.
WORKPLACE COMPLIANCE UPDATE
NEW PPE RULES IN MEXICO – NOM-017-STPS-2024
Mexico’s updated PPE regulation (NOM-017STPS-2024) is now in effect—and it’s more than just a guideline.
This new standard places greater responsibility on employers to assess risk, document PPE programs, and ensure proper use and training across job roles.
In this blog, we cover:
• What’s changed from the 2008 version
• Key employer obligations under the new NOM
• Best practices for industrial compliance
• How to align your HR and EHS teams ahead of inspections
• Staying ahead of NOM-017-STPS-2024 isn’t just about avoiding fines—it’s about protecting your workforce and operational integrity.
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