• Mexican Foreign Minister Juan Ramón de la Fuente met with U.S. Secretary of State Marco Rubio in Washington to address bilateral security cooperation, particularly border control and fentanyl trafficking. De la Fuente emphasized both nations’ shared commitment to tackling cross-border security challenges while upholding Mexico’s sovereignty.
• However, the U.S. continues to exert pressure, signaling that security cooperation may increasingly influence trade relations. An example of this sis that the U.S. revoked visas for at least 50 Mexican politicians and public officials, reportedly as a form of political leverage. Most are linked to the ruling Morena party, though local leaders across multiple states have also been affected.
SOURCES: EL FINANCIERO
US - MEXICO PRESIDENTIAL NEWS
USMCA Negotiation Processes
• Between October 6 and 10, Mexico’s Ministry of Economy began a national consultation process with economic sectors and regional governments to shape its position for the 2026 USMCA review. The goal is to evaluate the agreement’s performance and define negotiation priorities through an inclusive, consensus-driven approach.
• Also, the labor sector across all 32 Mexican states has been included in the consultation process for the first time. The engagement includes worktables, in-person meetings, and over 1,600 questionnaires covering topics such as agriculture, automotive, and textile concerns. This is viewed as a proactive stance from the federal government to include different the perspective and priorities from different sectors in Mexico’s positioning ahead of the USMCA review.
SOURCES: GOBIERNO DE MÉXICO
Foreign Trade and Tariffs
• President Donald Trump signed a proclamation on October 20 imposing new tariffs on imports of medium and heavy-duty trucks, parts, and buses. The U.S. Department of Commerce argues that these imports undermine national security by weakening domestic manufacturing and critical supply chains used in defense, emergency response, and logistics.
• The new measures include a 25% tariff on trucks and essential parts like engines and tires, and a 10% tariff on buses. While USMCA-compliant products from Mexico and Canada are partially protected, tariffs will apply to any non-U.S. content, adding complexity for regional manufacturers. U.S. producers will be allowed to offset some tariffs on imported parts until 2030.
• Nonetheless, according to Undersecretary of Foreign Trade Luis Rosendo Gutiérrez, Mexico remains optimistic on the potential reduction or elimination of tariffs on key exports such as autos, trucks, and steel by November, as both sides look to protect strategic sectors.
SOURCE: WHITE HOUSE
LEGISLATIVE CHANGES AND INITIATIVES
LABOR
• ORGANIC LAW OF THE FEDERAL PUBLIC ADMINISTRATION, THE FEDERAL LABOR LAW, AND THE ORGANIC LAW OF THE FEDERAL CENTER FOR CONCILIATION AND LABOR REGISTRATION
Presented by: Sen. Geovanna del Carmen Bañuelos De la Torre (MORENA)
Objective: To strengthen oversight of union freedom and collective bargaining rights by empowering the Ministry of Labor and Social Welfare to investigate and sanction violations, and by granting the Federal Center for Conciliation and Labor Registration authority over transparency and access to public information concerning labor unions.
Status: 2025-10-15 – Published in the Parliamentary Gazette
• ARTICLE 132 OF THE FEDERAL LABOR LAW
Presented by: Sen. Laura Esquivel Torres (PAN)
Objective: To add a new provision requiring employers to grant leave to employees who are parents or legal guardians so they can participate in significant school activities related to their children or dependents.
Status: 2025-10-15 – Published in the Parliamentary Gazette
LEGISLATIVE CHANGES AND INITIATIVES
PUBLIC ADMINISTRATION
• REFORM TO THE AMPARO LAW, THE FEDERAL TAX CODE, AND THE ORGANIC LAW OF THE FEDERAL COURT OF ADMINISTRATIVE JUSTICE
Presented by: Federal Executive
Objective: Modernizes the Amparo trial by formalizing electronic procedures, clarifying digital notification rules, defining standards for legitimate interest, and regulating guarantees in tax-related amparos. Ensures due process through updated rules on recusals, public hearings, and transitional provisions.
Status: 2025-10-16 Published in the DOF (Official Gazette)
TRADE
• REFORM TO THE CUSTOMS LAW
Presented by: Joint Committees on Finance and Legislative Studies, First (Senate)
Objective: Modernizes customs law to enhance revenue collection, fight tax evasion, and align with new public entities. Introduces stricter controls on goods from non-trade partner countries (e.g., China), including surveillance, anti-undervaluation measures, and restrictions on tariff benefits. Supports digital transformation and streamlining of customs processes.
Status: 2025-10-14 Approved, sent to the Chamber of Deputies with modifications
LEGISLATIVE CHANGES AND INITIATIVES
FISCAL (ECONOMIC PACKAGE 2026)
• REFORM TO THE FEDERAL TAX CODE
Presented by: Ministry of Finance and Public Credit
Objective: Grants SAT authority to deny RFC registration to entities linked to tax fraud through fake invoices. Defines false invoices as those lacking real transactions, enabling criminal actions. Requires digital service providers to grant real-time access to tax data. Adds penalties for altering seals and strengthens volumetric controls.
Status: 2025-10-15 Approved, sent to the Senate
• REFORM TO THE FEDERAL RIGHTS LAW
Presented by: Ministry of Finance and Public Credit
Objective: Updates fees for public goods and services, including migration, maritime, health, telecom, and environmental services. Increases oversight fees for financial entities by 16% and aligns telecom fees with new sectoral regulations. Aims to improve service cost recovery and resource sustainability.
Status: 2025-10-15 Approved, sent to Senate
• REFORM TO THE LAW ON THE SPECIAL TAX ON PRODUCTION AND SERVICES (IEPS)
Presented by: Ministry of Finance and Public Credit
Objective: Raises taxes on tobacco, online gambling, violent video games, and sugary drinks to discourage harmful habits, especially among youth. Adjustments include a new 8% tax on violent video games and doubling the tax on sugary beverages.
Status: 2025-10-16 Approved, sent to the Senate
40 HOUR WORKWEEK REDUCTION INITIATIVE:
The Executive Branch is expected to formally present its proposal to reduce the standard workweek from 48 to 40 hours in November 2025. However, it remains unlikely that the reform will advance before the legislative period concludes in December. Analysts anticipate that other political parties may introduce similar proposals to align themselves with the initiative and gain political visibility.
SOURCE: EL ECONOMISTA
NEWS BY STATE
BAJA CALIFORNIA
During the 50th Anniversary National Convention of the Export Manufacturing Industry (INDEX) held in Mexico City, Salvador Roberto Maese Barraza, President of Index Mexicali, received the 2025 Merit Award of the Export Industry, the highest recognition granted by INDEX Nacional. Presented by Humberto Martínez, National President of INDEX, the award honors Maese’s 35-year career dedicated to the maquiladora and export manufacturing sector. Originally from Ciudad Juárez and a graduate in Business Administration from the Instituto Tecnológico de Ciudad Juárez, Maese has held leadership roles in major international manufacturing firms such as Leviton, AO Smith, ADC Telecom, Ivemsa, and Newell Brands. As a long-standing National Counselor of INDEX for over 20 years and twice-elected President of Index Mexicali (2016–2018, 2024–2026), he has been recognized for his strong leadership, commitment to industrial growth, and community development.
SOURCE: INDUSTRIAL NEWS BC
NEWS BY STATE
CHIHUAHUA
The National Chamber of the Transformation Industry (Canacintra) Chihuahua signed an agreement with Fonacot to strengthen workers’ well-being and enhance business competitiveness. This strategic alliance will expand access to financing programs that improve talent attraction and retention by fostering more supportive and human-centered workplaces. The initiative aims to improve employees’ economic welfare through favorable credit options—especially for housing—offered via payroll deductions and simplified application processes. During the signing ceremony, representatives from both organizations highlighted their commitment to creating better financial conditions for formal workers and promoting a stronger, more competitive industrial sector in Chihuahua.
SOURCE: EL HERALDO DE CHIHUAHUA
NUEVO LEON
FINSA announced a $620 million USD investment in Nuevo León to expand its network of industrial parks, reinforcing the state’s leadership as a strategic hub for nearshoring and advanced manufacturing in Mexico. Governor Samuel García highlighted that foreign investment in his administration has reached $105 billion, generating over 400,000 jobs and positioning Nuevo León as Latin America’s leader in industrial growth and wages. FINSA’s projects include Smart Park Escobedo ($48M, 1,500 jobs), FINSA Monterrey Apodaca II ($360M, 20,500 jobs), and FINSA Monterrey-García ($220M, 14,000 jobs). According to CEO Sergio Argüelles, the investment underscores Nuevo León’s strengths in infrastructure, competitiveness, and innovation, solidifying both FINSA’s role in Mexico’s industrial development and the state’s position as the epicenter of North American supply chain realignment.
SOURCE: INDUSTRY & ENERGY MAGAZINE
NEWS BY STATE
GUANAJUATO
The state of Guanajuato is advancing toward energy self-sufficiency with a portfolio of 11 strategic projects representing a generation potential of 1,611 MW and an investment of over $1.6 billion USD, according to the state government. These initiatives aim to strengthen the electric supply for industrial sectors, promote clean energy adoption, and support nearshoring opportunities in the region. The projects—spanning technologies such as solar, geothermal, cogeneration, and combined cycle—will be developed across ten municipalities, including Celaya, Salamanca, and Silao. This diversified approach seeks to decentralize power generation, enhance innovation, and ensure reliable energy for Guanajuato’s automotive, manufacturing, and agroindustrial industries. By prioritizing sustainable and efficient energy solutions, Guanajuato is positioning itself as a leader in the Bajío region’s energy transition, balancing economic growth with environmental and social well-being.
SOURCE: MEXICO INDUSTRY
QUERETARO
The Supplier Symposium 2025, organized by Bombardier in Querétaro, highlighted the essential role of suppliers in advancing Mexico’s aerospace industry through innovation, collaboration, and new financing opportunities. Inaugurated by Marco Antonio Del Prete, Secretary of Sustainable Development (SEDESU), the event emphasized the state’s leadership as an aerospace hub powered by the “triple helix” of government, industry, and academia. Canadian Ambassador Cameron McKay praised the two-decade partnership between Canada and Querétaro, while Shauna Gamble, Bombardier’s General Manager and Director of Procurement, underscored that the symposium’s first edition focuses on sustainable progress and supplier development. The event reaffirmed Querétaro’s position as a key driver of technological innovation and specialized talent in Mexico’s aerospace ecosystem.
SOURCE: CLUSTER INDUSTRIAL
NEWS BY STATE
MEXICO CITY
Mexico City’s industrial real estate market continues to perform strongly, with historically high occupancy levels pushing rental prices upward. The 2025 MarketBeat Industrial report highlights that demand remains robust, driven by sectors like e-commerce, urban logistics, and light manufacturing, while limited land availability continues to restrict new development. Despite a national economic environment marked by slower growth and moderate inflation, the report notes that the industrial sector in Mexico City remains resilient and attractive to investors. Expectations for the end of the year remain positive, though tempered by rising costs and the ongoing scarcity of space for future expansion.
SOURCE: REAL ESTATE
STATE OF MEXICO
During the 50th National Index Convention, José Ruiz, president of Index Metropolitana, mentioned that collaboration between local governments and the private sector is driving industrial growth in Mexico’s metropolitan region. In particular, efforts with the governments of State of Mexico are focused on attracting investment and strengthening the manufacturing sector in ways that benefit both businesses and local communities.
According to Ruiz, the State of Mexico offers favorable conditions such as industrial infrastructure, utilities, and skilled labor key factors for new investments. He added that balancing industrial profiles across the region is essential and that the ongoing public-private collaboration will be crucial to maintaining the area’s competitiveness as a national industrial hub.
SOURCE: MEXICO INDUSTRY
INVESTMENT NEWS
CENTRAL MEXICO
DAIKIN
Japanese company Daikin inaugurated its third manufacturing plant in San Luis Potosí. During the event, the company announced a new investment of USD 60 million planned for 2026, aimed at driving its growth and strengthening the local supply chain.
NATIONAL
SALESFORCE
Salesforce announced a USD 1 billion investment in Mexico over the next 5 years to strengthen its operations, accelerate AI adoption among businesses, and develop specialized talent. The plan includes opening a five-story office in Mexico City, within the Miyana II building, with capacity for 2,000 employees, and establishing a Global Delivery Center (GDC) that will provide multilingual consulting services to clients across the Americas.
SOURCES: MEXICO INDUSTRY, CLUSTER INDUSTRIAL
PRODENSA INSIGHTS
VAT AND IEPS CERTIFICATION (CIVA):
STRATEGIC GUIDANCE FROM THE EXPERTS
For manufacturers operating under Mexico’s IMMEX program, the VAT and IEPS Certification (CIVA) is more than a fiscal benefit — it’s a mark of credibility and operational maturity.
CIVA allows international companies to defer VAT and IEPS payments on temporary imports, strengthening cash flow and demonstrating compliance excellence before the SAT and business partners. In this blog, Prodensa’s Fiscal & Trade Compliance team — led by Arturo Quintero and María Elena Sierra — explains how this certification works, its three levels (A, AA, AAA), and why proactive monitoring is key to maintaining it.
The article details:
• Core benefits beyond tax savings — including faster customs clearance and enhanced credibility.
• Frequent causes of cancellation, such as inconsistencies in IMMEX records or noncompliance with export ratios.
• Prodensa’s proactive monitoring system, designed to prevent suspensions through continuous reviews, supplier validation, and early risk detection.
• Expert tips for keeping certification in good standing — from tracking sensitive goods to renewing on time.
In today’s trade environment, compliance equals competitiveness. With decades of experience and former government expertise, Prodensa helps companies turn tax and trade compliance into strategic strength.
PRODENSA INSIGHTS
TIPS FOR U.S. COMPANIES IN MEXICO: 40 YEARS OF EXPERIENCE
For four decades, Prodensa has guided U.S. companies expanding into Mexico — from global manufacturers to service providers — helping them navigate cultural nuances, operational complexities, and regulatory frameworks.
In this anniversary feature, our experts share five key lessons learned from 40 years of experience supporting U.S. investment in Mexico:
• Adapt to the labor culture. Understand workforce expectations and invest in competitive benefits to become an employer of choice.
• Build strong local leadership. Encourage collaboration between U.S. and Mexican teams to strengthen trust and agility.
• Select the right location. Each region has unique strengths in talent, infrastructure, and industry specialization.
• Invest in your community. CSR and local engagement foster loyalty and sustainable growth.
• Prioritize compliance. Protect IMMEX, VAT/IEPS, and USMCA advantages through disciplined regulatory practices.
The blog also highlights Mexico’s strategic value as the U.S.’s top trading partner — offering proximity, cost efficiency, and integrated supply chains across industries such as automotive, aerospace, electronics, and medical devices.
The ultimate takeaway: success starts with preparation. A detailed feasibility study — analyzing costs, site options, workforce, compliance, and incentives — remains the most effective first step for any U.S. company entering Mexico. VISIT OUR WEBSITE TO EXPLORE OUR FEATURED BLOG POSTS, EBOOKS, AND CASE STUDIES PRODENSA.COM/INSIGHTS
