Almost US $5.5 billion in FDI was allocated to the auto manufacturing industry between January and September this year, a 67.7% increase over 2022. (Audi México)
Foreign direct investment (FDI) in Mexico’s automotive industry surged in the first three quarters of 2023 to reach a record annual high three months before the end of the year.
Economy Ministry (SE) data shows that US $5.44 billion in FDI was allocated to the manufacture of cars, trucks and other vehicles between January and September, a 67.7% increase compared to the same period of 2022.
The new BMW factory in San Luis Potosí, which will build many of the German giant’s new EVs. (BMW México)
The previous annual record for auto sector FDI was $4.29 billion in 2019. By the end of September, that amount had already been exceeded by 26.7%
The increase in FDI in the automotive industry comes as more and more foreign companies that operate in the sector take the decision to establish a presence in Mexico or expand their existing operations here.
Tesla’s announcement in March that it would build a $5-10 billion electric vehicle “gigafactory” in Nuevo León was undoubtedly the most prominent development in Mexico’s auto sector this year, but a number of other companies have also recently decided to invest significant amounts of capital here.
Proximity to the United States, competitive labor costs and benefits associated with the USMCA free trade pact all make Mexico an attractive location for auto companies.
A total of just over $39 billion in FDI has flowed into Mexico’s automotive industry since 2013, according to SE data compiled by the El Economista newspaper.
That investment has helped spur production, which, in turn, has allowed vehicle exports to increase.
Manufacturers from across the world have invested more than US $39 billion since 2013. (Ford)
According to the International Trade Administration, a U.S. government agency, Mexico’s automotive industry employs over 1 million people and contributes to 3.6% of the country’s GDP and 18% of manufacturing GDP.
At least 30 sailors and crew members remain missing nearly one month after Hurricane Otis made landfall in Acapulco. (Carlos Alberto Carbajal/Cuartoscuro)
Families of more than 20 sailors still missing after Hurricane Otis are protesting that authorities appear to have stopped the search for their loved ones.
Around 50 relatives and friends of the missing blocked the Costera Miguel Alemán Avenue outside Acapulco’s Icacos Naval Base on Saturday morning. They demanded that Guerrero Governor Evelyn Salgado and President López Obrador give more support to the Navy to continue the search and extend it to the Oaxaca coast.
Family members of the missing accuse the government of prematurely abandoning the search at sea and demand that the Navy extend the search area to Oaxaca. (Carlos Carbajal/Cuartoscuro)
“The Navy no longer wants to look for our relatives, my father and people from other ships are still missing,” Laura Castro, daughter of yacht captain Felipe Castro, said in an interview with Aristegui Noticias. “There are more deaths than the 49 that the government says, but they want to hide them so as not to give real figures.”
Other protesters said that the exact number of people missing at sea is unknown, but is believed to be between 22 and 30, and could be more than 60. They added that they do not know which authority to approach for accurate information, more than three weeks after the Category 5 hurricane devastated Acapulco on Oct. 25. Most of the missing were crew members who cared for luxury yachts moored in Acapulco Bay.
“We ask the owners of the boats to support us in locating our relatives,” said Jesús Lopez Sarabi, husband of one of the workers who was quoted by Aristegui Noticias. “The authorities have told us that they are carrying out tours with boats, submarines and divers on the coast, but we don’t know if the divers are going to the bottom.”
He added that local sailors were “moving faster than the authorities,” having already located several bodies themselves.
Families are frustrated by a lack of transparency regarding the Navy’s efforts to recover bodies from the over 300 sunken vessels in Acapulco Bay. (Carlos Carbajal/Cuartoscuro)
The latest official death toll from Hurricane Otis is 49 (plus 26 missing), but the local news agency Quadratín has claimed that the true deaths could be ashigh as 350, based on information from local funeral parlors, and the number of people still reported missing. An Acapulco business leader claimed in late October thatup to 120 sailors were dead or missing, but only 11 of their bodies have been recovered so far.
President López Obrador emphatically denies that authorities have suppressed the Acapulco death count, and insists that the Navy is continuing to support the local population and search for the missing. Astatement by the Navy on Nov. 14 said that 310 sunken vessels have been located and 72 of them recovered, but gave no figures about the missing sailors.
After blocking traffic for around an hour on Saturday, representatives of the protesting families were received by Navy authorities, but it is unclear if any agreement was reached.
Nov. 20 is a federal holiday in Mexico commemorating the Mexican Revolution. (MIREYA NOVO/CUARTOSCURO.COM
Today marks the 113th anniversary of the Mexican Revolution, a critical event in Mexico’s history that helped shape the country’s modern political and social structures.
Most people associate the Mexican Revolution with figures like Pancho Villa, but there were many actors and outcomes from this moment in Mexican history. (@SPRInforma/Twitter)
When was the Mexican Revolution?
The Mexican Revolution was an armed conflict that began in 1910 as a rebellion against General Porfirio Díaz’s prolonged rule. However, it quickly escalated into a civil war with various factions vying for control of the revolution. An estimated 2 million people died in the conflict, which continued until 1920.
Why is Revolution Day on Nov. 20?
When President Porfirio Díaz was elected for another term in 1910, former candidate and liberal leader Francisco I. Madero launched a plan to overthrow him.
Mexico City held a celebratory parade this morning in the Zócalo. (Andrea Murcia/Cuartoscuro)
The plan had a main motto: “Effective suffrage, no re-election.” It demanded labor rights and land distribution, which were sought after by social groups against Díaz.
According to the Chronology of the Revolution by the National Institute of Historical Studies on the Revolutions of Mexico (Inehrm), the plan called for an armed struggle on Nov. 20, from 6 p.m. onwards, in which all citizens of the Republic were called to take up arms to overthrow Díaz.
Nationwide, however, 13 armed struggles had already begun before 6 p.m. on that day, marking Nov. 20 as the start of the Mexican Revolution.
Who were the major figures of the Mexican Revolution?
Women were active participants in the Mexican Revolution. (Andrea Murcia/Cuartoscuro)
Some of the most important – and familiar – historical figures of the conflict include Pancho Villa, Venustiano Carranza, Emiliano Zapata, Álvaro Obregón, Victoriano Huerta and Francisco I. Madero.
Women also played an important role in the revolution, supporting and even participating in armed combat on all sides. They were known as Las Adelitas.
What were the key long-term outcomes of the Revolution?
Porfirio Díaz’s resignation
The ratification of the Mexican Constitution in Februrary 1917, which is still in effect today
The nationalization of Mexico’s natural resources
Agrarian reform that gave farmers land ownership and supported subsistence agriculture
A public education program
Recognition of labor rights
How is the holiday celebrated today?
Nov. 20 is a national holiday in Mexico. To commemorate it, many cities around the country organize a military parade.
This year, over 2,200 soldiers participated in the Mexico City parade, and it included a special recognition of the women who participated in the Revolution.
The projected industry figures for 2023 are just under the 2019 record of US $9.6 billion. (Safran/Facebook)
Mexico’s aerospace exports are predicted to jump 16% year-on-year to hit US $9.4 billion in 2023, bringing them back up to nearly pre-pandemic levels.
Figures from the Mexican Aerospace Industry Federation (FEMIA) show that Mexico’s aerospace exports dropped from over$9.6 billion in 2019 to $6.6 billion in 2020, as the COVID-19 pandemic devastated the industry. Air travel dropped by nearly 50%, and Mexican aerospace production declined between 25 and 40%.
Between 2010 and 2020, the Mexican aerospace industry saw average annual export growth of 15%, created more than 60,000 jobs, and generated up to $5.5 billion of foreign direct investment. (Safran/Facebook)
Exports remained deflated at $6.7 billion in 2021, but have since recovered faster than most other countries’ aerospace exports, according to the United States International Trade Administration. They hit $8.1 billion in 2022, and by the end of 2023, will get close to 2019’s record levels.
Though relatively young, Mexico’s aerospace industry has beenhugely successful. FEMIA’s figures show that between 2010 and 2020, the industry saw average annual export growth of 15%, created more than 60,000 jobs, and generated up to $5.5 billion of foreign direct investment (FDI), primarily from Canada and the United States.
By 2022, the sector comprised 368 firms – up from 100 in 2004 – including aircraft manufacturers, maintenance-repair-overhaul facilities (MROs), technical schools, research centers, universities and other service providers.
The largest aerospace hub is in Baja California, where more than 100 aerospace companies generate 30,000 direct jobs, mostly around Tijuana and Mexicali. Mexico’s other main aerospace hubs are in Sonora, Chihuahua, Querétaro and Nuevo León.
Mexico manufactures airframes, aerospace parts and assemblies integrated into final systems. (Safran/Facebook)
The seeds for these hubs were laid in the late 1960s, when companies such as Collins Aerospace moved into Mexico to take advantage of its maquiladora export programs. Another wave of companies set up in Mexico in the 1990s, including Safran Group, which now has 17 facilities across the country and is the sector’s largest employer.
The industry got a further boost in 2004, when the Canadian company Bombardier entered several government programs to provide business incentives, job training programs and universities in the sector. Such initiatives have helped Mexico gradually improve its aerospace manufacturing capabilities from small components to airframes, drones and avionic assemblies.
Today, the industry focuses on aerospace parts and assemblies integrated into final systems, with other key players including GE and Rolls Royce producing turbine systems, and Fokker Aerostructures manufacturing jet wings. Mexico’s skilled workforce means that the industry is well-placed to take advantage of the country’s recent nearshoring boom.
As global air travel continues its post-pandemic regrowth and global demand for aircraft and maintenance systems increases, the International Trade Administration predicts that Mexico’s aerospace sector will continue its ascent.
The airport has been built quickly, and is supposed to open in December. (Mara Lezama/X)
It’s easy to be negative about the rapid changes happening in the Tulum area. I recently wrote about the mixed feelings I myself have about so much change in that area.
But even with these mixed feelings, I can’t help but marvel at the progress and potential of the new Tulum airport.
This airport was first conceived more than a decade ago. I remember when the local municipality actually put up official signs with arrows pointing to the yet-to-be constructed airport, only for the project to subsequently be shelved for many years.
This time around, it’s real. The airport has been built at lightning speed, and next month it will be up and running after less than three years of construction.
It will be easy to criticize the start up. Most certainly there will be things that won’t work, and in today’s “everything is recorded on people’s cell phones” world, the initial glitches will be shared quickly. Others, including many people who live in big wealthy cities far away from Tulum, will relentlessly criticize the environmental impact of the airport and lament the changes it will bring. Still others will point to examples of corruption that likely took place during the construction.
I don’t mean to minimize any of these issues, but I do think that it’s important to also focus on the positives that will come from the airport. It’s important to remember that this part of Mexico is extremely poor. Generations of families have lived in poverty or had to move to other parts of Mexico or the United States in search of employment and a better standard of living.
The construction of the airport has resulted in the creation of thousands of jobs. The completed airport will have thousands of direct jobs and create tens of thousands of indirect jobs. These are jobs that allow families to stay in their community, or their state, or their country without having to leave. These are jobs that are consistent and predictable which allow families to plan for their future and invest in themselves and their community. That’s a very, very big deal.
In the past few months, airlines have begun announcing new flights to the airport. First came the domestic airlines, with Viva Aerobus and Volaris announcing flights to Tulum starting in December from several major cities throughout Mexico – including Tijuana, Mexico City, Monterrey, and Guadalajara.
In just the past few weeks, four major airlines from the United States have announced an unprecedented amount of new direct flights to Tulum starting in March.
First came Delta Airlines, announcing daily flights from Atlanta. Then came Spirit Airlines with flights from Orlando and Miami. Then just this week American Airlines announced flights from Dallas, Miami, and Charlotte and United Airlines announced flights from Los Angeles, Newark, Chicago, and Houston. More announcements are certainly on the way soon.
Think about that for a moment. Tulum went from being a two-hour drive from the Cancún airport to having direct flights from more than a dozen major cities in the U.S. and Mexico. Well over 100 million people now have direct flight access to Tulum.
Imagine the economic impact that will have on tens if not hundreds of thousands of families. Of course, with this growth will come other problems, but as the saying goes, “first or second world problems are much preferred over third world problems.”
I am more bullish than ever on Mexico’s future. The country has a historic opportunity to raise its standard of living through projects like the Tulum airport, the Maya Train, the Isthmus de Tehuantepec trade corridor, and other infrastructure and nearshoring projects throughout the country.
We cannot forget that nearly 40% of Mexicans still live in poverty, and that there is a long way to go to improve the health care, education, and housing of millions of its citizens. Projects like the Tulum airport are exactly those that can help improve these problems and should be celebrated.
Travis Bembenek is the CEO of Mexico News Daily and has been living, working or playing in Mexico for over 27 years.
If you’re on a quest to understand Mexican humor – or at least to find the best Mexican memes to share with your friends – we’ve got you covered! Here’s this week’s curated collection with a translation, background, any relevance to current events, and hopefully, a good chuckle.
Meme translation: “You, all worried about WhatsApp stealing your data. Meanwhile, the office supplies place on the corner:”
What does it meme?: Mexico is a place where you still, for the most part, need to go to the “office supplies store” for office supplies (the papelería). The papelería is also the place where you can get copies of your documents or have them printed! Not wanting to waste paper, these places recycle, and posters are often sold “bundled up” with scrap paper and a piece of tape for easy carrying.
Unfortunately (but comically), I’ve seen plenty of cases where people’s sensitive copies have been left out in the open for all to see. If you want my advice, make sure you don’t leave any behind!
Meme translation: Phrases that grandpas say: “All this used to be an open field.” “Then a black dog with red eyes appeared, and so I just started praying and trying to scare it away.” “Don’t change the channel, and I’m watching that.” “Here, don’t tell your parents.” “Put Caifanes on.”
What does it meme?: Everyone loves a grandpa. You might recognize a few of these phrases from your language. The one about the black dog with red eyes is simply one version of a heroic tall tale, and “Caifanes” was a popular Mexican rock group in the 1980s.
Meme translation: “Baking is my passion.”
What does it meme?: This doesn’t need much explanation, but I just couldn’t resist: ever since the dawn of the phrase, and later the show Nailed It, I’ve found ridiculously bad versions of fancy cakes to be top-quality entertainment.
Tip for learning Spanish: they’ve got the show in Spanish now, too! Try watching it, first with English subtitles to get an idea of what they’re saying, then Spanish. It will help you get familiar with some of the more common phrases, and you’ll get to watch people adorably and hilariously baking awful masterpieces.
Meme translation: “Your favorite author is coming tomorrow, so you can bring your book for them to sign.”
What does it meme?: It’s not that Mexicans don’t want to pay the full and fair price for books…it’s just that books are expensive and paying the total price isn’t always possible. After all, US $30 is a much bigger chunk of one’s income when you make $400 a month than when you make $4000.
Enter the famous world of “chafa” (it means “knock-off,” but can also simply mean “uncool”) products: the quality won’t be as good as the original, but it’s close enough and gets the job done. Especially for books, finding or being given a PDF version can be a much more accessible way to read something…especially since most libraries here don’t let you check books out.
Meme translation: “You said you had a bass!” “A low socio-economic level.”
What does it meme?: Here, we’ve got a common homonym, “bajo.” In the first panel, it means a bass guitar. In the second, it means “low,” as in “low socio-economic level.”
I love this meme format too much not to use it, and I chose this particular one as a “language lesson.” That cat, though, amiright?
Meme translation: “Slightly used 26-speed bike for sale.” “I don’t care about the price, I want you to explain where that staircase goes!”
What does it meme? Well, it’s a great question: where do those stairs go? One of the more entertaining aspects of Mexico is the odd construction that can be found: stairs that lead to nowhere, balconies on the top floor with no protection around them, and windows that look out onto a wall two feet away.
Sometimes, I guess ideas are abandoned before they’re finished. But why take away the evidence of the original intentions? If nothing else, it can make a great conversation piece.
Meme translation: “How do I tell my mom that I broke her blender?” “Was it a glass Oster?” “Yes.” “Just leave town and don’t look back.”
What does it meme?: Few things are as valued around here as a good licuadora (blender). The Oster glass ones are expensive and fantastic. Mexicans use their blenders for everything: making salsas, cremas (creamy soup), deliciously frothy chocolate milk… you do not want to come between a Mexican and their blender.
Sarah DeVries is a writer and translator based in Xalapa, Veracruz. She can be reached through her website, sarahedevries.substack.com.
The best method is to use a ricer, hand potato masher or food mill. Again, don’t overwork them. (Unsplash)
The holiday season is upon us, and cooks everywhere are fretting about the mashed potatoes. Whether you’re hosting a get-together, helping cook a family meal, or contributing to a potluck, it’s expected that mashed potatoes — creamy, lump-free and delicious — will be part of it.
There are many ways to make mashed potatoes, and all claim to be “the best.” Use Russets, Yukon Golds, or regular white potatoes; peel them or don’t; boil the potatoes or steam them. And then there’s packaged, dehydrated mashed potatoes, which are not part of my repertoire.
All of those factors may or may not matter but my biggest issue has always been how to reliably make perfect mashed potatoes, in advance, without burning them or drying them out. Years ago I’d resigned myself to being in the kitchen at the last minute, frantically trying to make the eagerly awaited mashed potatoes for everyone else sitting around the table.
That all ends now.
Potato type
The kind of potato you use matters, and without getting too technical, it’s all about the starch content and type. The easy bottom line to remember is that regular white potatoes, peeled or unpeeled, will work just fine.
Russet potatoes have starch cells that fall apart easily, which means they don’t need to be cooked long or whipped very much. (In fact, if you work them too much they’ll turn out gummy.) Red Bliss and Yukon Gold potatoes, with starch cells that hold together tightly, must be cooked longer and worked harder to break up the starch.
One more thing about the starch: you want to cut potatoes (peeled or not) into smallish cubes and rinse them in cold water until the water runs clear. Some people like to soak them; Either way, the water needs to be changed till it runs clear, meaning the excess starch is gone.
To peel or not to peel
This is a matter of personal taste; I like how creamy white mashed potatoes look—especially with a pat of golden butter melting on top—so I always peel them. Are there vitamins in the skin? Yep. Will my health suffer if I don’t eat the skins this time? I don’t think so. You decide which works best for you.
To peel or not to peel. (Unsplash)
An interesting aside: Regular white potatoes have been bred to have very thin skins, so it isn’t necessary to peel them.
How to mash potatoes
Surprisingly, this seemingly mindless part of the recipe is crucial, and it’s all about the starch, too.
How hard you whip, beat or work the cooked potatoes — no matter what type you’re using — is what makes or breaks the final texture.
First off, do not use a food processor. If you’ve wondered why your mashed potatoes turn out gummy, this could be why. One chef described it as releasing an “avalanche of starch, turning your potatoes the consistency of melted mozzarella cheese.” Ugh.
Want to use a stand or hand mixer? Do so carefully, and don’t overbeat.
The best method is to use a ricer, hand potato masher or food mill. Again, don’t overwork them.
The recipe below explains how to make perfect mashed potatoes in advance. I’ve found this method to work every time. You’re welcome.
Mashed Potato Master Recipe
Experienced cooks need not follow these measurements exactly; eyeball the amounts and adjust accordingly.
2 lbs. regular white potatoes
Salt
½ cup whole milk, plus more as needed
6 Tbsp. butter (salted or unsalted), room temperature, cut into ½ -inch pats
Freshly ground black pepper
Cut potatoes into roughly ½-inch cubes. Rinse under cold water until water runs clear. In a large pot, cover potatoes with fresh cold water, season generously with salt and bring to a boil over medium-high heat. Reduce heat to a strong simmer and cook about 15 minutes until potatoes are tender but not dissolving. Drain in a colander and rinse with cool water once more.
In a mixing bowl or plastic container, mash potatoes by hand or with a ricer. Add only butter and salt. Don’t overwork the potatoes! Cover tightly with plastic wrap, pressing firmly around edges. If serving the same day, set aside. Store in the refrigerator if making a day ahead.
When ready to serve, heat milk carefully over medium heat in a saucepan big enough to fit the mashed potatoes. Bring milk to a slow boil and fold in the potatoes, whipping gently with a whisk, spatula, or wooden spoon. If you need more liquid, push potatoes aside, pour a little milk into the pot, and wait to stir until milk gets hot. Add salt and pepper to taste and serve. To reheat, heat a small amount of milk in a saucepan and then briskly stir in leftover mashed potatoes. – Adapted from Serious Eats
Nov. 17: The annual international hot air balloon festival in León, Guanajuato started on Friday. (GUSTAVO BECERRA/CUARTOSCURO.COM)
Take a visual tour of the week in Mexico – from Popocatépetl to the beaches of Playa del Carmen to Museo Jumex in Mexico City – with this selection of pictures from around the country.
Acapulco, Guerrero
Nov. 11: Members of the Mexican Navy search for boats sunk by Hurricane Otis in Acapulco Bay. (CARLOS ALBERTO CARBAJAL/CUARTOSCURO.COM)
Xalapa, Veracruz
Nov. 13: The LGBTQ+ community of Xalapa held a vigil after news broke of the killing of Aguascalientes magistrate Jesús Ociel Baena, the first nonbinary judge in Latin America. (YERANIA ROLÓN/CUARTOSCURO.COM)
Playa del Carmen, Quintana Roo
Nov. 14: Though a cold front swept through, tourists still enjoyed the beaches of Playa del Carmen. (CUARTOSCURO.COM)
Mexico City
Nov. 16: “For the love of God, laugh” by Damien Hirst is photographed by a visitor to the Museo Jumex, which has a special exhibition celebrating its 10th anniversary through February 2024. (GALO CAÑAS/CUARTOSCURO.COM)
Puebla, Puebla
Nov. 16: Popocatépetl, also known as “Don Goyo”, emitted a large fumarole on Thursday. (MIREYA NOVO/CUARTOSCURO.COM)
Mexico City
Nov. 16: The Mexican Textile Art Encounter 2023 opened in the Los Pinos cultural center this week. (ROGELIO MORALES /CUARTOSCURO.COM)
Metepec, México state
Nov. 17: Over 400 members of the National Guard, local police and state police were deployed for the “Buen Fin” operation, to provide security at malls and other shopping centers in México state this weekend. (CRISANTA ESPINOSA AGUILAR /CUARTOSCURO.COM)
The two leaders discussed the importance of their countries' relationship of "friendship", as well as mutual challenges. (POTUS/X)
Mexico is “sincerely committed” to the fight against illicit fentanyl, President López Obrador told United States President Joe Biden during a bilateral meeting on Friday.
The two presidents met in San Francisco, where they attended the Asia-Pacific Economic Cooperation (APEC) Leaders’ Summit this week.
The world leaders gathered for the APEC 2023 in San Francisco. (POTUS/X)
Fentanyl, a powerful synthetic opioid that is largely responsible for the overdose epidemic in the United States, has been a hot topic at the annual APEC meeting, mainly due to the presence of the president of China, which is a large producer and exporter of the precursor chemicals used to manufacture the drug.
In public remarks at the beginning of his meeting with Biden, López Obrador said that Mexico “is committed to continue supporting” the United States by “not allowing the entry of [precursor] chemicals and fentanyl,” which most commonly come into the country via Pacific coast seaports.
“We’re very conscious of the damage [fentanyl] causes to young people in the United States. This issue has to do with our brothers [in the U.S.] and is an act of solidarity. Mexico is sincerely committed to continue helping with everything [we can] to avoid the trafficking of drugs, in particular the entry of fentanyl and other chemicals,” he said.
López Obrador’s meeting with Biden came a day after he met with Chinese President Xi Jinping, during which the Mexican president emphasized “the importance of reaching an agreement to exchange information on shipments” of fentanyl and precursor chemicals leaving China.
Mexico’s Security Minister Rosa Icela Rodríguez with Liz Sherwood-Randall in July after a trilateral fentanyl meeting. (Galo Cañas Rodríguez / Cuartoscuro.com)
For his part, Biden declared that “nothing is beyond our reach in my view when Mexico and the United States stand together and work together as we’ve been doing.”
“We see it in our security cooperation, we’re working side-by-side to combat arms trafficking, to tackle organized crime and to address the opioid epidemic, including fentanyl” he said.
U.S. President Joe Biden said that he had a “great conversation” with Chinese President Xi Jinping about the fentanyl problem. (@POTUS/X)
In a statement on the bilateral meeting, the White House said that the two leaders “discussed ways the United States and Mexico can expand law enforcement cooperation as we combat the trafficking of people, illicit drugs, and arms, and dismantle the violent transnational criminal organizations that run these trafficking networks and terrorize our communities.”
Mexican and U.S. officials have held numerous meetings to discuss their shared fight against fentanyl, which cartels manufacture in Mexico with the precursor chemicals shipped here from Asia, especially China. The fentanyl problem was a key focus of the Mexico-U.S. High Level Security Dialogue, which was held in Mexico City last month.
On migration, López Obrador said that further progress needs to be made, but noted that the two countries are working together on the issue. After a regional migration summit in Chiapas last month, López Obrador said that he would raise the issues discussed with Biden.
President called for the Palenque summit to address the regional migration crisis. (SRE/X)
However, he didn’t mention the event in his opening remarks, focusing instead on thanking Biden for the legal migration pathways his administration has opened up for citizens of certain Western Hemisphere countries and acknowledging that he hasn’t built any additional wall on the Mexico-U.S border – at least not yet.
“It’s a humane way to address the migratory phenomenon,” López Obrador said of the legal pathways for citizens of countries including Venezuela, Nicaragua and Haiti.
“I would also like to … state that [Biden] is the first president in the United States in recent times who has not built walls. It is true,” he added.
Biden thanked López Obrador for his “cooperation” and “leadership” on the migration “challenge,” telling his counterpart that he knows such work is not easy.
“We’re taking a balanced approach that lies at the heart of the Los Angeles Declaration on Migration and Protection. … It includes enforcing our borders, increasing reparations, and opening a historic number of legal pathways for migrants,” he said.
The White House statement said that the two presidents “discussed their joint commitment to address the root causes of migration across the Western Hemisphere and to expand lawful pathways for migration.”
Bilateral trade between the U.S. and Mexico was worth nearly US $600 billion in the first nine months of the year. (Unplash)
Biden highlighted economic cooperation between the United States and Mexico, which are each other’s largest trade partner with two-way trade worth almost US $600 billion in the first nine months of 2023.
“In our economic cooperation, we’re growing our economies from the bottom up and the middle out so that not just the wealthy benefit, but all our citizens benefit from our economic growth,” the U.S. president said.
In addition to holding bilateral talks with Biden and Xi during the first APEC summit he has attended as president, López Obrador met on Thursday with Canadian Prime Minister Justin Trudeau.
“We addressed the migration issue and he expressed the confidence of the business people of his country to continue investing in Mexico and creating jobs,” López Obrador said on social media.
Though JPMorgan Chase has its world headquarters in New York, the CEO said Mexico is a "critical market." (Flickr/Can Pac Swire)
The CEO of JPMorgan Chase has lauded Mexico as a nearshoring and business destination, saying that it may be the best country in the world in which to invest.
In an interview with El Financiero Bloomberg TV during a visit to Mexico this week, Jamie Dimon was asked about the attractiveness of Mexico as an investment destination and the challenges the country needs to address to take full advantage of the nearshoring opportunity.
Jamie Dimon sat for an interview with business journalist Susana Sáenz on El Financiero Bloomberg TV. (Screenshot)
“I think it’s one of the great opportunities. … If you had to pick a country this might be the number one opportunity,” he said.
Dimon, CEO of JPMorgan Chase for the past 18 years, said that Mexico could become an even more attractive investment destination by making improvements in a range of areas, but stressed that the country already has a lot of positives.
“Remember you already have very capable companies here, universities, infrastructure, technology,” he told El Financiero Bloomberg.
“… The better you do with infrastructure, the better you do with affordable energy costs, the better you do with universities, the better you do with good policy, [Mexico] will be better for that, but you already have a lot of it [and] you already have more companies moving operations here,” Dimon said.
Dimon described security as a “mutual problem” for both the U.S. and Mexico. Here President López Obrador is seen hosting a high-level security dialogue with U.S. officials in October. (Cuartoscuro)
“And I’d add security, which I think is a mutual problem for America and Mexico. I hope we’re working on it together because the more we can solve that the better it is for both countries. Of course there are problems, [but there are] still huge opportunities,” the billionaire banker said.
Despite security concerns in Mexico, Dimon described North America and South America as “seas of peace and tranquility in the world you see today” and asserted that countries in the region have an opportunity to take advantage of their relative peace in an economic sense, including by attracting more investment.
For the bank he leads — one of the largest in the world — “Mexico is a critical market,” the CEO said.
“We’ve been here for 120 years, we’ve been all over Latin America for well over 100 years. … We invest for the long run. We’ve doubled or tripled our capital here in the last six years. We cover more clients and private banking, investment banking, asset management, so our commitment is total,” he said.
Dimon, who met with Mexican business leaders while he was in Mexico City, identified manufacturing, including advanced manufacturing, and agriculture as among the sectors that have the greatest opportunity to benefit from the growing nearshoring phenomenon, in which companies establish a presence in Mexico to be close to the lucrative U.S. market while taking advantage of a range of favorable factors here, such as competitive labor costs.
Indeed, numerous foreign manufacturing companies have recently announced plans to establish or expand operations in Mexico, including Tesla, Ternium and Kawasaki.
“I look at your capital market — just to give you some numbers your GDP is US $1.3 trillion in Mexico, your market cap is $400 billion,” he told El Financiero Bloomberg presenter Susana Sáenz.
“It could and should be a lot more than that so there’s a huge opportunity to have capital markets grow here, to bring both more foreign direct investment and [to have] more investment here,” Dimon said before praising Mexico’s tech sector.
“I have met with a bunch of high-tech companies that are very impressive, so I think you’ll see that grow,” he said.
Dimon met with business leaders and media during his trip to Mexico City. (Archive)
Later in the interview, Dimon said that “Mexico should aspire to do much more” to grow its economy.
“It’s about policy, you’ve already mentioned infrastructure but it’s [also] about work skills, effective regulation, transparency, corporate governance, rapid permitting. It’s all those things [and] consistency of law that have a country grow,” he said.
“And the important part of having a country grow, it helps all of the citizens. There are more taxes, you have more wherewithal. It’s not just for big companies that you want to grow an economy, you really want it for everybody, every job created is a job for someone,” Dimon said.
One person who has similar views to Dimon about Mexico’s economic potential is Nuevo León Governor Samuel García, a presidential aspirant who has courted investment from several foreign firms.
He said earlier this year that the nearshoring phenomenon could spur annual economic growth of up to 10% in Mexico.
While there are “circumstances of crisis and risk” around the world, “the planets are aligning for our country,” García said at a business forum in March.
Claudia Shienbaum, the ruling Morena party’s candidate for the 2024 presidential election, said in August that nearshoring will help drive significant economic growth during the six-year period of the next federal government, while Xóchitl Gálvez, candidate for the Broad Front for Mexico opposition bloc, has described the relocation of foreign firms to Mexico as “the country’s best opportunity” for growth.
