KEYPOINTS OF PRESIDENT ANDRES MANUEL LOPEZ OBRADOR’S MORNING PRESS CONFERENCE

PEMEX’s 6 refineries in Mexico and that the goal is to achieve energy self-sufficiency by 2024. The Dos Bocas refinery is in the testing process and is expected to start operating in July 2023 with a processing capacity of 340 thousand barrels per day. The cost of the project is 12,600 billion dollars. Since the beginning of the administration, there has been an increase in the production of oil barrels, and it is expected to be above energy self-sufficiency in 2025. In addition, this administration has managed to reduce fuel prices.

Economy

• Foreign Investment: President Lopez Obrador recalled his conversation with Elon Musk about the Tesla plant in Monterrey and his intention to build battery plants, only that the U.S. government has a policy that implies that if a company invests, the government gives a 50% subsidy of its investment as a stimulus for clean and automotive industries for electric cars, semiconductors, chips, etc. He explained that Mexico could not give 50% as it is not in accordance with government policies, but he offered the quality of the labor force, including the Mixtec labor force for construction, and that it is not comparable with other young labor.

• National Banks: The president indicated that Mexico’s situation is special, however, there may be unforeseen and external factors such as the one currently being experienced abroad. He reminded that the national economy is solid and that in past years the banks in the country had historical profits. Thanks to elements such as the strengthening of the national currency, the increase in the minimum wage, among others, Mexico is not at risk of experiencing a crisis due to the country’s macroeconomic stability.

• Banking Convention: The President of Mexico, Andres Manuel Lopez Obrador, informed that during his participation in the Banking Convention, he highlighted that Mexico has reached a historic record of workers registered in the IMSS, with 21.7 million in the formal economy, and has also achieved a 90% increase in the minimum wage during his administration, reaching 16 thousand pesos per month. In addition, he pointed out that more than one trillion pesos have been allocated to public investment in infrastructure, 600 billion pesos for welfare programs for 25 million beneficiaries, and that remittances received in 2022 amounted to 58,560 million dollars, and in January and February of this year are expected to exceed 60 billion dollars. The Bank of Mexico has reserves of 200 billion dollars. He also mentioned that banks obtained profits of 240 billion pesos last year, the highest figure in history and that the peso is the currency that has strengthened the most worldwide.

KEYPOINTS OF PRESIDENT ANDRES MANUEL LOPEZ OBRADOR’S MORNING PRESS CONFERENCE

Bilateral Agenda

• Meeting with U.S. legislators: On March 19, a meeting was held with 12 U.S. legislators from both parties, in which topics such as migration, development cooperation, and security were discussed. It was agreed to work jointly, respecting the sovereignty of each country, and it was recommended that mechanisms be found to keep U.S. youths at home during adolescence in order to reduce drug use rates. The issue of fentanyl was not discussed because Mexico will not accept interventionist measures and it is not a substance produced in the country. The government is working to confiscate this substance and important progress has been made. In addition, the visit of a White House advisor and the upcoming visit to Washington of the security cabinet were mentioned.

• Fentanyl: He criticized that the United States intends to intervene in the country to control drug trafficking, which he considers hypocritical and disrespectful to Mexican sovereignty. He emphasized that work will continue to prevent fentanyl from reaching Mexico and the United States. In this sense, he welcomed the decree issued this week by President Biden to prohibit the sale of weapons and to have greater control over the issue, since 80% of the weapons used in Mexico by organized crime enter through the United States.

Security

• Security: In a press conference, the President of Mexico spoke about the agreements reached with U.S. President Biden’s advisor for Homeland Security, in which they agreed to work together to prevent the entry of fentanyl through the border. The President criticized the initiative of some politicians to blame Mexico and threaten to intervene in the country, classifying it as offensive and hypocritical. Regarding the Mexican government’s security priorities, he mentioned combating the causes of crime, preventing drug use, and reducing homicides. Finally, the President welcomed the resolution issued by President Biden to improve the control of arms sales in the United States, since 80% of the high-caliber weapons used by the cartels in Mexico come from the United States.

• Drug trafficking: The Mexican President explained that his administration decided that the Secretariat of the Navy (SEMAR) will be in charge of administering the ports and the Secretariat of National Defense (SEDENA) will be in charge of customs to prevent smuggling and combat drug trafficking, specifically fentanyl from Asia. He also mentioned that Mexican consuls in the United States will inform Mexican-Americans about the Mexican government’s actions in the fight against drug trafficking and that he will ask Mexican doctors and scientists to analyze the possibility of substituting fentanyl with other analgesics. He also criticized the lack of action by the United States to combat fentanyl trafficking and stated that if its use is banned in Mexico, it should also be banned in the United States.