January 18-24, 2025
HOT TOPICS:
Fiscalincentiveprogramtoattract investmentsispresented
The Mexican government has introduced a fiscal incentive package of up to 30 billion pesos to encourage new investments and promote spending on training and innovation by companies. This initiative, announced through a decree signed by President Claudia Sheinbaum and published in the Diario Oficial de la Federación (DOF), is part of the industrial policy, Plan Mexico, and it aims to strengthen the national economy. The package allocates 28 5 billion pesos for tax incentives related to investments in new fixed assets and 1.5 billion pesos for additional deductions on training and innovation expenditures
The government will establish an Evaluation Committee, consisting of representatives from the Ministry of Finance, the Ministry of Economy, and the Regional Economic Development and Relocation Advisory Council This committee will evaluate projects for tax incentives, including investments in fixed assets, dual education programs, and projects that foster patent development or certification for local and regional supply chains. The decree also sets aside at least 1 billion pesos for micro, small, and mediumsized enterprises (MSMEs), encouraging their participation by directing incentives to businesses with annual revenues of up to 100 million pesos The tax deductions available for machinery, equipment, and fixed assets range from 35% to 91%.
Source: EL ECONOMISTA
MEXICO-US TALKS ON SECURITY AND MIGRATION
During her morning conference, President Claudia Sheinbaum announced that Mexican Foreign Minister Juan Ramón de la Fuente and U S Secretary of State Marco Rubio held their first phone conversation, focusing on migration and security. While the details of the call were not disclosed, Sheinbaum emphasized that it marks the beginning of dialogue between both governments Additionally, Sheinbaum highlighted efforts to assist Mexicans deported from the U S , mentioning the establishment of reception centers at the border for those impacted by mass deportations
Source: IMAGEN RADIO
ELECTORAL TRIBUNAL ORDERS THE CONTINUATION OF JUDICIAL ELECTION
The Electoral Tribunal (TEPJF) has ordered the Judicial Evaluation Committee to immediately resume the selection process for judicial candidates, emphasizing that no authority can suspend or delay this constitutional duty
The decision, based on the majority vote of the Tribunal, clarifies that judicial elections are constitutionally mandated and cannot be halted, even if an amparo (appeal) has been filed
The Tribunal rejected claims that it was overstepping its authority, asserting that it was only acting within the electoral realm Additionally, the TEPJF issued a recommendation to the Supreme Court (SCJN) to resolve the appeals of those seeking electoral magistrate positions, as these cases fall outside the TEPJF's jurisdiction This ruling ensures the continuity of the judicial selection process and protects the rights of candidates affected by the suspensions
Source: MILENIO
HOT TOPICS:
Donald Trump'sexecutiveorders
CCE OFFERS JOBS TO DEPORTED IMMIGRANTS
President Claudia Sheinbaum announced that the Consejo Coordinador Empresarial (CCE) has pledged 35,000 jobs for Mexicans potentially deported after Donald Trump’s return to the U S presidency. As part of the "México te abraza" strategy, these jobs span areas such as services and manufacturing Sheinbaum highlighted the government’s collaboration with the CCE and emphasized that the "Plan México" is a long-term initiative designed to strengthen the Mexican economy beyond the current administration This plan also aims to bolster the USMCA trade agreement and expand its scope to include other parts of the Americas
Source: EL UNIVERSAL
US TO SEND TROOPS TO SOUTHERN BORDER
The U.S. military will deploy 1,500 additional troops to the Mexico border under President Donald Trump's immigration enforcement plan, following his executive order declaring illegal immigration a national emergency. Trump aims for "complete operational control" of the southern border while intensifying deportations and border security measures.
Source: FRANCE 24
President Trump’s recent executive orders have had significant implications for Mexico in the areas of migration, security, and trade On migration, Trump reinstated the "Remain in Mexico" policy, forcing asylum seekers to stay in Mexico while their cases are processed. This creates logistical and humanitarian challenges for Mexico, as it must accommodate a growing population of migrants near the border Additionally, Trump is trying to end birthright citizenship for those born to undocumented immigrants and he also signed an order withdrawing the U.S., the world's second-largest greenhouse gas emitter, from the Paris Climate Agreement
In terms of trade, Trump launched an investigation into compliance with the USMCA but simultaneously threatened tariffs on Mexico and Canada, jeopardizing the stability of the trade pact This was highlighted by his comment on Davos, stating how companies should produce in the US or pay the tariffs Such measures create economic uncertainty for Mexico, as the U S remains its largest trading partner Security concerns also loom large, as Trump designated international criminal organizations like MS-13 as foreign terrorist organizations, potentially increasing cross-border law enforcement operations These developments highlight escalating tensions and interdependence between the two nations, placing Mexico at the center of U.S. policy shifts with far-reaching economic, social, and security consequences.
Source: AXIOS
USTR URGES FOR LABOR REFORM TO BE "TAKEN SERIOUSLY"
The U.S. Trade Representative Katherine Tai emphasized the importance of Mexico’s labor reform implementation under the USMCA, citing significant progress but unresolved labor complaints requiring arbitration Over 42,000 Mexican workers have benefited, with advancements in union elections and collective bargaining. Tai urged continued commitment to protect labor rights and ensure trade benefits both nations Currently, cases involving several companies remain under review Tai highlighted the need for strong institutions to uphold these reforms and enhance the bilateral trade relationship.
Source: EL ECONOMISTA
HOT TOPICS: Legislative and Regulatory Issues:
FINANCIAL
INITIATIVE WITH A BILL TO AMEND THE THIRD PARAGRAPH OF ARTICLE 186 AND ADD CHAPTER II BIS "ON EMPLOYERS WHO HIRE YOUNG PEOPLE," INCLUDING ARTICLE 186 BIS, OF THE INCOME TAX LAW
Presented by: Dip. Diego Ángel Rodríguez Barroso (Gto - PAN)
Objective: To grant a fiscal incentive to employers hiring young individuals, allowing them to deduct 20% of the wages paid to employees aged 18 to 29 from their taxable income for income tax purposes in the corresponding fiscal year The full wage used as the basis for income tax withholding, as outlined in Article 96 of this law, will be considered for this deduction
Status: Published in the Parliamentary Gazette
LABOR
INITIATIVE TO AMEND AND SUPPLEMENT ARTICLES 86 AND 132 OF THE FEDERAL LABOR LAW ON SALARY TRANSPARENCY
Presented by: Sen Olga Patricia Sosa Ruiz
Objective: Implementing, in agreement with workers, a protocol to reduce and eliminate the gender pay gap Promoting necessary activities to address the gender pay gap To this end, companies with 100 or more employees must publish biannual reports on salary transparency and remuneration criteria in workplaces, including anonymous salary data and information on the representation of various demographic groups in management and leadership positions
Status: Published in the Parliamentary Gazette
JUSTICE ADMINISTRATION
INITIATIVE WITH A BILL TO AMEND ARTICLE 376 TER OF THE FEDERAL PENAL CODE TO INCREASE PENALTIES FOR CARGO TRANSPORT THEFT IN ANY FORM
Presented by: Dip Emilio Manzanilla Téllez
Objective: To increase penalties for the crime of theft targeting individuals who provide or use federal cargo transportation, passenger, tourism, or private transport services, whether directly or through a third party, when the stolen goods are merchandise The amendment proposes a penalty range of 10 to 20 years in prison
Status: Published in the Parliamentary Gazette TRADE
INITIATIVE WITH A BILL TO AMEND SECTION IV OF ARTICLE 59 OF THE FEDERAL ECONOMIC COMPETITION LAW
Presented by:
Dip. Bruno Blancas Mercado
Objective: To establish that, in determining whether one or more Economic Agents hold substantial power in the relevant market, or in resolving matters related to competition conditions, effective competition, the existence of substantial market power, or other issues concerning competition or free market entry, consideration must be given to the Economic Agents' and their competitors' access to sources of inputs
Status: Published in the Parliamentary Gazette
