Mexico–U.S. Relations This Week: Security, Trade, and Tariffs
Escalation of U.S. Security Policy
• The Trump administration has intensified its stance on Latin American cartels, designating CJNG (Mexico), Tren de Aragua (Venezuela), and MS-13 (Central America) as foreign terrorist organizations.
• President Trump reportedly authorized the Pentagon to plan direct military actions against cartels—an unprecedented step raising sovereignty and international law concerns.
• Washington justifies this by linking cartel activity to fentanyl trafficking and broader national security threats.
Bilateral Security Cooperation Continues
• Despite rejecting any U.S. military intervention, President Claudia Sheinbaum has emphasized continued collaboration.
• The U.S. Embassy in Mexico highlighted the arrest of 27 CJNG members in Aguascalientes, crediting joint FBI and INL training programs.
• U.S. strategy also targets cartel finances by working with banks and experts to disrupt money-laundering networks.
US - MEXICO PRESIDENTIAL NEWS
Mexico’s Trade Priorities Under Pressure
• Mexico seeks to secure U.S. automotive export tariffs below 15% to remain competitive with Japan, Germany, and South Korea.
• Secretary of Economy Marcelo Ebrard underlined the importance of protecting USMCA-covered goods from Trump’s proposed 25% general tariff, particularly ahead of the 2026 review.
• A flagship project is the “Puerta Logística del Bajío” in Celaya, Guanajuato—a dry port expected to draw 2,500 million pesos in investment, create thousands of jobs, and strengthen rail, road, and port connectivity.
• The hub will prioritize automotive manufacturing, electromobility, and logistics, supporting Olinia, Mexico’s new electric vehicle brand, as part of North America’s supply chain integration.
SOURCE: NY TIMES, LIDER EMPRESARIAL
Tariff Battles in Washington
• The Trump administration is fighting in federal court to uphold its global tariffs, imposed on over 90 countries under a 1977 national security law.
• The White House warns that overturning tariffs could trigger “financial ruin” and even a Great Depression by forcing refunds of billions in duties.
• Critics argue these forecasts are exaggerated since tariff revenues are minor compared to the federal budget and unrelated to Social Security or Medicare funding.
• A Supreme Court ruling against Trump could halt tariff collections, spur refund claims, and undermine U.S. leverage in trade negotiations—including with Mexico.
LEGISLATIVE CHANGES AND INITIATIVES
LABOR
• BILL TO AMEND ARTICLE 132, AND ADD ARTICLE 993 BIS OF THE FEDERAL LABOR LAW
Objective: Require companies with over 100 employees to hire at least 3% older adults and 3% persons with permanent disabilities, certified by a public health institution.
Status: 2025-08-13 – Published in the Parliamentary Gazette
• BILL TO AMEND ARTICLE 574 OF THE FEDERAL LABOR LAW
Objective: Establish tie-breaking voting rules for the National Minimum Wage Commission, granting the chair the casting vote when all members are present.
Status: 2025-08-13 – Published in the Parliamentary Gazette
• BILL TO AMEND ARTICLE 63 OF THE FEDERAL LABOR LAW
Presented by: Rep. Petra Romero Gómez (Plur –MORENA)
Objective: Grant workers a 15-minute morning food break at the start of the workday, in addition to the existing half-hour continuous work break.
Status: 2025-08-13 – Published in the Parliamentary Gazette
LEGISLATIVE CHANGES AND INITIATIVES
FINANCIAL
• BILL PROPOSAL TO AMEND VARIOUS PROVISIONS OF THE LAW FOR THE TRANSPARENCY AND REGULATION OF FINANCIAL SERVICES
Objective: Require the Bank of Mexico to issue general rules limiting excessive commissions, regulating CAT and GAT calculations, ensuring transparency, protecting client data, and setting operational limits, with financial institutions complying within 270 business days.
Status: 2025-08-13 – Published in the Parliamentary Gazette
TRADE
• RESOLUTION ON THE INCLUSION OF THE PUERTO NORTE–MATAMOROS AS A LOGISTICS NODE IN PHASE 1 OF THE USMCA CORRIDOR
Presented by: Sen. Olga Patricia Sosa Ruiz (Tamps – MORENA)
Objective: Urge the federal government to include Puerto Norte–Matamoros in Phase 1 of the USMCA Corridor and foster collaboration among government, private sector, and industry.
Status: 2025-08-13 – Published in the Parliamentary Gazette
• RESOLUTION FOR THE CREATION OF AN ECONOMIC RECOVERY PROGRAM TO IMPLEMENT TAX INCENTIVES AND PROMOTE INVESTMENT
Presented by: Rep. Theodoros Kalionchiz De la Fuente (Coah – PAN)
Objective: Urge the federal government to establish an economic recovery program with tax incentives to boost investments and sustainable competitiveness.
Status: 2025-08-13 – Published in the Parliamentary Gazette
NEWS BY STATE
BAJA CALIFORNIA
At the 9th Industrial Summit held at the Baja California Center, Marco Kuljacha, President of Grupo Prodensa, delivered a keynote on the challenges facing the regional manufacturing industry in today’s global environment. He addressed nearshoring trends, the slowdown in industrial expansion since 2023, and recent U.S. trade policies, emphasizing the need for specialized talent, modern infrastructure, and stronger collaboration between government, industry, and academia. Organized by DIMBC, the event brought together over 150 companies and generated more than 200 business meetings.
SOURCE: INDUSTRIAL NEWS BC
NEWS BY STATE
CHIHUAHUA
Chihuahua is now transforming from one of Mexico’s strongest manufacturing hubs into a center for technological entrepreneurship, leveraging its extensive network of 54 industrial parks and 12 industrial zones. With a strategy that combines investment incentives, cutting-edge infrastructure, academic collaboration, and a highly skilled talent pool of engineers and technicians, the state is building a robust ecosystem for startups. Landmark projects such as S-PARK, a new technology and innovation hub, and the Parque Tecnológico Orión led by Tec de Monterrey, are fostering collaboration between entrepreneurs, academia, and global companies, accelerating the growth of local startups in areas ranging from semiconductors and electronics to biotech and AI.
Backed by more than 64 universities, 61 technical institutes, and international partnerships like MIT REAP, Chihuahua is positioning itself as both a manufacturing powerhouse and an emerging innovation hub with global reach, proving how industry, government, and academia can drive a new era of high-value entrepreneurship.
SOURCE: EMPRENDEDOR.COM
NUEVO LEON
The Nuevo León Energy Cluster, in partnership with the Inter-American Development Bank (IDB), presented the study “Strategy for the Development of Skills in the Energy Industry of Nuevo León”, which outlines a roadmap to strengthen specialized talent as a key driver for energy transition and industrial competitiveness. Built through surveys, interviews, and sectoral analysis, the strategy identifies talent gaps and proposes concrete actions to train professionals aligned with new technological and environmental demands. With the participation of universities, industry associations, and international organizations, the initiative seeks to foster collaboration between academia and the private sector. Experts highlighted the importance of investing in human capital to ensure sustainable growth, while the Cluster reaffirmed Nuevo León’s leadership in the energy sector and its commitment to innovation and future opportunities.
SOURCE: MEXICO INDUSTRY
NEWS BY STATE
GUANAJUATO
The Automotive Supply Forum 2025 will take place on September 10–11 at Poliforum León, positioning Guanajuato as a key hub in Mexico’s automotive manufacturing sector. The event will bring together suppliers, buyers, and decision-makers from leading companies to strengthen commercial ties and open new business opportunities. With the participation of state and local economic authorities, cluster representatives, and industry leaders, the forum is presented as a strategic platform to connect national and international companies, foster alliances, and address current industry demands. Expected to host hundreds of companies, the gathering aims to boost competitiveness and reaffirm Guanajuato’s leadership in the automotive supply chain.
SOURCE: MEXICO INDUSTRY
QUERETARO
The Mexican Chamber of the Construction Industry (CMIC) in Querétaro hosted its third B2B business meeting, bringing together 18 buyer companies and over 60 local suppliers to strengthen the construction value chain and open new markets. The event provided a platform for direct negotiations, integration into strategic projects, and adoption of best practices, highlighting the dual benefits of identifying industry needs and positioning products in a competitive environment. During the forum, CMIC celebrated 42 years in Querétaro, emphasizing the role of local construction firms as socially responsible businesses committed to continuous training, innovation, and technical advancement. The meeting reaffirmed Querétaro’s position as a dynamic hub for construction and industrial suppliers, fostering strategic alliances that boost regional competitiveness.
SOURCE: MEXICO INDUSTRY
NEWS BY STATE
AGUASCALIENTES
Aguascalientes has launched the training phase of its Automotive Supplier Development Program, a unique initiative in Mexico designed to boost local companies’ competitiveness and integrate them into high-level global value chains. In partnership with JICA and led by Japanese expert Tetsuya Ishida, the program provides classroom training and free personalized consulting, transferring decades of know-how in continuous improvement and Kaizen practices. Fifty companies, including Metalistik, Newcond, SV Tooling, and Miraplastek, are advancing toward greater efficiency, adoption of advanced technologies, and alignment with international standards. Unlike regions that focus solely on attracting investment, Aguascalientes is empowering its SMEs to actively join global supply chains, reinforcing its position as a national leader in the automotive industry while driving innovation, productivity, and long-term economic growth.
SOURCE: MEXICO INDUSTRY
NEWS BY STATE
CDMX
The Historic Center Authority (ACH) and the Italian Chamber of Commerce in Mexico (CCIM) signed a strategic agreement to strengthen Mexico City’s economy through investment, innovation, and international cooperation. According to ACH coordinator Carlos Cervantes Godoy, the partnership will promote trade, investment, academic-business exchange, territorial development, and global positioning. He emphasized the goal of fostering joint projects in the Historic Center, technical training in international trade, and improved access to European markets. The agreement also aims to create cultural, tourism, and economic events that highlight Mexico City as a strategic hub for European investment. Cervantes stressed that the collaboration will diversify markets for Mexican producers, encourage knowledge exchange, and revitalize downtown with international participation. CCIM director Lorenzo Vianello highlighted Italy’s long-standing role as a technology provider to Mexican industry, adding that the deal opens opportunities in tourism, infrastructure, gastronomy, and the circular economy, further consolidating Mexico as Italy’s second-largest trading partner in the Americas.
SOURCE: YAHOO NEWS
STATE OF MEXICO
DHL Supply Chain Mexico, alongside State of Mexico officials, inaugurated two new warehouses at T-MEX Park in Nextlalpan with an investment of 200 million pesos. The facilities, part of a logistics megacampus, are expected to generate 200 jobs and strengthen the State of Mexico’s position as the country’s logistics leader. The state currently hosts 389 distribution centers—13% of Mexico’s total—attracting over 36 billion pesos and $734 million in investments, and supporting more than 665,000 jobs. Located in the fast-growing AIFA region, the warehouses benefit from strategic connectivity through the Centro-AIFA Corridor, linking Mexico City, Hidalgo, and the State of Mexico, and serving over 30 million consumers. The German ambassador to Mexico, Clemens von Goetze, emphasized that German investment in the country reflects international confidence in its economic climate. DHL’s new facilities aim to meet customer demands with top standards in quality and sustainability, further boosting regional and national logistics capacity.
SOURCE: GOBIERNO DE MÉXICO
INVESTMENT NEWS
NORTHERN MEXICO
PASCUAL
In Nuevo Laredo, Tamaulipas, the groundbreaking ceremony was held for Pascual’s new plant, which will be located in the Oradel Industrial Park. The facility is expected to generate around 300 direct jobs.
HCMF
HCMF, a Taiwanese company, has inaugurated a new plant in Ramos Arizpe, Coahuila, following an investment of more than 17.2 million dollars. The facility, dedicated to the production of solar and sliding roofs for the automotive sector, is expected to generate over 300 direct jobs.
CENTRAL MEXICO
TENNECO
Tenneco inaugurated a new production line in Aguascalientes with an investment of 22.6 million dollars, increasing valve manufacturing from 50 to nearly 85 million units per year and strengthening both the automotive industry and employment in the state.
SOURCE: MEXICO INDUSTRY
PRODENSA INSIGHTS
EXPANDING TO MEXICO IN 2025: COMPLIANCE FIRST
Mexico is more attractive than ever for manufacturers and service providers seeking resilient nearshore operations under the USMCA. But while opportunity abounds, success starts with compliance.
This guide explores the legal and tax requirements of expanding into Mexico, from choosing the right operational model—entity setup, shelter, acquisition, contract manufacturing, or BPO—to securing essential permits, meeting labor and social security obligations, and ensuring tax compliance. It also highlights common pitfalls and how compliance can become a longterm strategic advantage.
ORIGIN VERIFICATION: MYTHS, RISKS, AND STRATEGIC COMPLIANCE
Origin verification is a cornerstone of international trade, yet misconceptions often leave companies exposed to fines, audits, and lost tariff benefits. Relying solely on supplier declarations or assuming certificates of origin guarantee compliance are common—and costly—mistakes.
This article breaks down the hidden risks of self-certification, how supply chain changes affect tariff eligibility, and why customs agencies increasingly use risk-based targeting to flag non-compliance. It also explores when origin can be claimed without local manufacturing and the role of technology, training, and expert advisory in building a resilient compliance framework.
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