Wednesday, June 25, 2025

Pemex director says refinery capacity at 1.4 million barrels per day

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Octavio Romero Oropeza
Pemex general director, Octavio Romero Oropeza, at the annual Mexican Petroleum Congress this week in Campeche. (Layda Sansores/Twitter)

Pemex’s fuel processing capacity has reached 1.4 million barrels per day (bpd) according to the general director of the state oil company, Octavio Romero Oropeza.

In a speech at the annual Mexican Petroleum Congress, held this week in the city of Campeche, Romero said this makes Mexico competitive with other oil-producing countries.

Pemex gas station in Mexico
Pemex has significantly increased output, according to director Octavio Romero Oropeza – and now refines almost 1 million more barrels per day than at the start of the López Obrador presidency. (Moisés Pablo/Cuartoscuro)

He said this represented a turnaround after several years during which Pemex’s production was declining. Production reached a low point of 519,000 bpd in 2018, just before President López Obrador assumed the presidency.

According to Romero, this demonstrates that AMLO’s austerity plan for the struggling state oil company — which cut Pemex’s tax burden and capital investment — has succeeded. It will allow Pemex to take charge of 100% of Mexico’s fuel, LP gas, and subsidized fertilizer consumption over the coming years, he added.

However, data reviewed by El Economista newspaper shows that Pemex’s production of combustóleo or residual heavy fuel oil, grew 19% from January to April this year, hitting 305,447 bpd. This is more than double the 146,407 bpd produced during the first four months of 2019, at the beginning of President López Obrador’s administration.

This is concerning because heavy fuel oil is both more polluting and less efficient than other fuels. It is also worth considerably less than the cheapest regular gasoline.

Deer Park Refinery
Despite an expansion in production, Pemex still lacks the infrastructure to cleanly and effectively refine the crude oil it extracts. (Pemex)

Although Pemex’s leap in heavy fuel oil production is partly a reflection of its overall increased refining capacity, it also shows that Pemex refineries lack the infrastructure needed to transform oil into lighter fuels, causing heavier fractions such as asphalt and heavy fuel oil to be left over from the refining process.

This could reflect a lack of investment in renovating and updating Pemex’s machinery. El Economista found that the only two Pemex plants where heavy fuel oil production decreased between April 2022 and April 2023 — Cadereyta, in Nuevo León, and Salamanca, Guanajuato — are both plants that have seen significant renovations during AMLO’s presidency.

In Mexico’s two largest refineries — in Salina Cruz, Oaxaca and Tula, Hidalgo — heavy fuel oil production rose by 12% and 17.6%, respectively. Pemex says that both plants are installing coking plants that will increase their liquid transformation capacity. The Tula plant has seen 70% progress and is projected to be completed in 2024, but the Salina Cruz plant has only advanced 10%.

Romero predicted that Pemex will close the year with refinery capacity at 1.6 million bpd, and production of 1.9 million bpd. The administration has invested heavily in a new refinery in Dos Bocas, Tabasco with projected capacity to process 340,000 bpd, however the project is behind schedule and according to a recent internal audit, will miss its July deadline to begin operations.

Despite Pemex’s continued reliance on fossil fuels, in his speech Romero did say the company is looking to move into production of clean energies, in line with global goals to start reducing fossil fuel consumption by 2030.

With reports from La Jornada Maya and El Economista

Brazil’s Nubank enrolls 1M savings accounts in Mexico in 1 month

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Nubank bank card
Brazil's Nubank has been offering savings accounts in Mexico for a month but has already managed to accrue 1 billion pesos of customer savings in that time. (Nubank)

Nubank, the largest financial technology (fintech) firm in Latin America, has opened 1 million savings accounts in Mexico one month after the accounts were made available in the country, the company said Wednesday. 

Total deposits in the accounts total 1 billion pesos (US $58 million).

Nu México now offers debit cards and savings accounts.
Nu México introduced a credit card in 2020 but is now eyeing expansion in Mexico, believing that the market will be of major importance to the fintech firm. (Nu México)

Some 90% of these deposits are kept in what Nubank calls “little boxes,” a separate space within the accounts where customers can hold funds and receive a 9% annual return. 

The digital bank’s Mexican arm, known as Nu México, opened a waiting list for the opening of the savings accounts in November.  

Nu México previously launched an international credit card with no yearly fee in 2020. By September 2021, the company was the second largest issuer of credit cards in Mexico.

The firm now has a presence in nine out of 10 municipalities in the country and has issued 3.2 million credit cards in Mexico, a country with more than 126 million people.  

Nubank is not the only Latin American fintech group to operate in Mexico: Argentina’s Ualá has been given clearance to acquire Mexico’s ABC Capital Bank as part of its expansion efforts. (Ualá)

Citing low penetration in the credit card market, an analysis by Citi said that the contribution of Nu México operations to the company’s total results might be limited in the short term. According to Citi data, credit card transaction volume in the country amounts only to about 20% of Brazil’s volume.

Despite this pessimism, Nubank is expanding across Latin America, with a planned checking account service scheduled to begin in Colombia. The company is also backed by Warren Buffett’s Berkshire Hathaway investment fund. 

Nubank cofounder Cristina Junqueira said last month that the bank sees growth opportunities in Mexico as “much bigger” than in Brazil. According to World Bank figures from 2021, only about 37% of Mexicans have bank accounts.

Nubank is not the only Latin American fintech firm aiming to win market share in Mexico however.

The Argentinian firm Ualá, which arrived in Mexico in 2020, announced on Wednesday the launch of a high-yield savings account available in the country, ​​after gaining approval from the National Banking and Stock Commission (CNBV) to acquire Mexico’s ABC Capital Bank and expand operations in the country.

With reports from Reuters.

‘Clear signs of progress’ reported in protecting vaquita porpoise

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Two vaquitas.
Between 10 and 13 vaquitas have been spotted this year, up from less than 10 in 2021. (Paula Olson/NOAA)

Efforts to protect the vaquita porpoise, the world’s most endangered mammal, seem to be paying off. 

According to the results of the Vaquita Survey 2023, between 10 and 13 specimens of the vaquita were seen in May, including one newly born calf. Calves have now been sighted in two consecutive surveys.

Dr. Barbara Taylor and crew member of the vaquita survey.
The Vaquita Survey is the result of a two-week-long expedition by the Mexican government in collaboration with the Sea Shepherd Conservation Society (Photo: Sea Shepherd)

The expedition, which took place May 10–26 in the Upper Gulf of California, was a joint operation of the Mexican government and the Sea Shepherd Conservation Society nongovernmental organization. The results were released in a press conference on Wednesday with senior Mexican government officials, survey leaders, and Sea Shepherd.

“The apparent 90% decrease in gillnetting within the last stronghold of the vaquitas is probably the most significant step taken to date to save this species,” the report said. 

The gillnets used to catch the totoaba, a coveted fish in China for its supposed healing properties, poses a threat to the vaquita who often dies after becoming entangled in them. 

Scientist and head of the expedition Barbara Taylor recalled that between 1997 and 2008, the vaquita population decreased from 567 specimens to 245. Later, from 2008 to 2015, the rate of decline of the porpoise grew from 8% to 45% per year, she said. By 2021, seven or eight adult specimens and one or two calves were believed to remain.

Surveyor looks through telescope.
A Sea Shepherd expedition member searches for vaquita specimens. (Sea Shepherd)

But this year’s results are hopeful. 

“This is the most encouraging news ever of human intervention to save vaquitas,” Taylor said.

The porpoises were identified in the same area where the October 2021 survey took place, so the number of specimens alive in the Gulf of California is a minimum estimate, Sea Shepherd said.   

The group, which traveled on Sea Shepherd’s Sea Horse vessel and Mexico’s Sirena de Mar boat, recorded 16 sightings. Three of the sightings were captured with a camera, and five were captured with a drone. The amount of time that allowed the experts to observe the vaquita was greater than in previous years.

Pritam Singh, Chairman and CEO of Sea Shepherd, which has been protecting the vaquita since 2015 jointly with the Mexican government via a program named Operation Milagro, said that the mission that Dr. Taylor, Sea Shepherd and the Mexican government have is simple: “save the vaquita.”

“Our commitment to that goal is complete,” Singh said. “For us at Sea Shepherd, the survey results we are announcing today do exactly one thing: increase our determination to save the vaquita.”

Dr. Taylor added that the results of the survey are clear and that “this type of protection needs to be expanded to cover more of the high-use areas of the remaining vaquitas.”

During the survey, eight Mexican observers from the port village of San Felipe, Baja California, received training for the sighting of marine mammals, helping to spot specimens from both boats. They will continue their training at the University of Baja California Sur.

With reports from Infobae

Mexico’s inflation rate saw year-on-year decline to 5.84% in May

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mexican money in a cash register
Annual headline inflation came in at 4.69% last month. (Lupita Rojas Solis/Shutterstock)

Mexico’s annual inflation rate declined to 5.84% in May, the lowest level since August 2021.

The national statistics agency INEGI reported that the national consumer price index fell 0.22% last month compared to April.

It was the fourth consecutive month that the annual headline inflation rate slowed, indicating that record high interest rates are having the desired effect.

The rate in May was 0.41 percentage points lower than the 6.25% reading for April, and slightly lower than a 5.88% median forecast of analysts polled by Bloomberg.

Mexico’s core inflation rate, which excludes volatile food and energy prices, was 7.39% in May, down from 7.67% in April. That rate also declined for a fourth consecutive month.

INEGI’s data showed that processed food, beverages and tobacco were 11.4% more expensive in May than a year earlier, while meat prices rose 5.9% and the cost of fruit and vegetables was up 3.7%.

AMLO with graphic of inflation in Mexico
Mexico’s core inflation rate also declined last month. (Presidencia)

The cost of non-food goods rose 6.3% annually, while services were 5.4% more expensive.

Energy costs, including those for gasoline and electricity, fell 1.8% compared to May of 2022. Energy prices declined 3.2% between April and May “mainly due to adjustments in electricity rates” in 11 cities for the summer period, INEGI said.

The publication of the latest data comes three weeks after Bank of Mexico (Banxico) board members voted unanimously to hold the benchmark interest rate at a record high of 11.25%. That decision came after a monetary policy tightening cycle in which the central bank raised its key rate by a total of 725 basis points.

Mexico’s headline inflation rate, even with the latest decline, remains well above the bank’s 3% target.

Cashier in Mexico City
Contributing to a somewhat rosier picture is the fact that the consumer price index also showed downward movement in April. (Wikimedia Commons)

Banxico, which is expected to maintain its benchmark rate at 11.25% after its June 22 monetary policy meeting, predicts headline inflation will fall to 4.7% by the end of 2023 and continue declining next year to reach 3.1% in Q4 of 2024.

At his morning news conference on Thursday, President López Obrador described the decline in inflation and the current strength of the peso as “two pieces of good news.”

“After the pandemic [and] with the war between Russia and Ukraine there was this phenomenon of inflation in the whole world and it also affected us,” he said.

“Measures were applied. The Bank of Mexico, which is an autonomous institution, took decisions to increase inflation rates to control inflation. We entered into an an agreement with producers, with industry and with retailers to have a basic basket [of essential goods] at low, fair prices. That plan helped us a lot,” López Obrador said, adding that stable fuel and electricity prices also helped to keep inflation down.

He described the peso – which was trading at a seven-year high of 17.35 to the US dollar at the close of markets on Wednesday – as a “phenomenon.”

“When we arrived [to government] it was at over 20 [to the dollar] and the forecast of our adversaries was that it was going up to 30,” said López Obrador, who frequently points to the strength of the peso as an achievement of his government.

With reports from El Economista, El Financiero, Reforma and El Universal 

Mexico’s car exports up 14% over last May

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Cars ready for export in Veracruz
Mexico's automotive industry contributes nearly 4% to the national GDP, and 20.5% of manufacturing GDP. (Shutterstock)

Production of light vehicles in Mexican plants increased 25% in May compared to the same month of last year while export volumes rose 14.2%, official data shows.

The national statistics agency INEGI reported Tuesday that 344,201 light vehicles (cars and light trucks) were made in Mexico last month, an annual increase of 68,765 units.

An Audi employee at work at a manufacturing plant in San José Chiapa, Puebla.
Mexico has a thriving automotive manufacturing sector. (Carlos Aranda / Upslash)

INEGI said that 279,274 vehicles were exported last month, 34,631 more than in May of 2022.

Light vehicle production in the first five months of the year increased 13.4% to 1.56 million units, while exports rose 9.2% in the same period to 1.27 million.

INEGI also reported that light vehicle sales in Mexico increased 17.1% in May to 106,798 and 21.4% in the January-May period to 519,534. Those figures are slightly higher than those reported by trade associations last week.

The top three manufacturers of light vehicles in Mexico in the first five months of the year were General Motors, Nissan and Stellantis. Those three automakers were also the leading exporters.

Nissan manufacturing in Mexico
Nissan was one of the top three carmakers and exporters this year so far. (Nissan México)

INEGI’s publication of the positive auto sector data was cited as a factor that helped the Mexican peso to strengthen to a seven-year high against the US dollar on Tuesday. The peso appreciated again on Wednesday, but has since weakened slightly, trading at about 17.4 to the US dollar early Thursday.

Mexico’s automotive industry contributes to almost 4% of Mexico’s GDP and 20.5% of manufacturing GDP, according to industry association AMIA.

Exports of Mexican-made vehicles were worth US $165.2 billion last year, an 18.2% increase compared to 2021.

With reports from EFE 

US sanctions CJNG leaders and money laundering network

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The Guerrero Covarrubias brothers
The Guerrero Covarrubias brothers, suspected of being heads of the CJNG, have been sanctioned by the United States government. (Twitter)

The United States government on Tuesday announced sanctions against two alleged senior members of the Jalisco New Generation Cartel (CJNG), as well as against a woman and a currency exchange house that both allegedly support the criminal organization. 

According to a statement issued by the U.S. Department of the Treasury, Alonso Guerrero Covarrubias, nicknamed “El Ocho,” and his brother Javier Guerrero Covarrubias are “violent senior CJNG members” engaged in various criminal activities on behalf of the cartel, including “the trafficking of weapons from the United States into Mexico, fuel theft and drug trafficking.”   

Brian E. Nelson, Treasury Undersecretary for Terrorism and Financial Intelligence, says that the cartel “relies upon a web of criminal activity that ultimately strengthens its ability to traffic fentanyl and other deadly drugs to the United States.” (Juan José Estrada Serafín/Cuartoscuro)

The Department of the Treasury’s Office of Foreign Assets Control (OFAC) also designated Mary Cruz Rodríguez Aguirre of Jalisco, who allegedly “directs a money laundering network moving illicit funds between the United States and Mexico, including on behalf of CJNG,” and her currency exchange house, Nacer Agencia Panamericana de Divisas y Centro Cambiario. 

The three individuals and the business were designated by the OFAC in accordance with an executive order issued by U.S. President Joe Biden “on imposing sanctions on foreign persons involved in the global illicit-drug trade.”  

“As a result of today’s action, all property and interests in property of the designated individuals and entities that are in the United States or in the possession or control of U.S. persons must be blocked and reported to OFAC,” the Treasury said in a statement.

Alonso Guerrero, originally from Michoacán, is reportedly the godson of Nemesio “El Mencho” Oseguera Cervantes, the elusive leader of the CJNG, considered one of Mexico’s most powerful and violent criminal organizations. 

The CJNG controls much of central Mexico and has consolidated much of the drug trade in the region. (Cuartoscuro)

Guerrero was arrested in 2019 on organized crime and kidnapping charges and remains in prison, according to the news website Expansión

The Treasury noted in its statement that OFAC last year designated another “another member of the Guerrero Covarrubias weapons trafficking network,” Obed Christian Sepulveda Portillo, “for being directed by or acting or purporting to act for or on behalf of, directly or indirectly, CJNG.”

It said that Rodríguez Aguirre works as a broker for CJNG regional commander Audias Flores Silva, “arranging the movement of drug proceeds from the United States to Mexico.” 

In April 2021, OFAC identified Flores Silva as “a significant foreign narcotics trafficker pursuant to the Foreign Narcotics Kingpin Designation Act, and the Department of State announced a reward offer through the Narcotics Rewards Program of up to $5 million for information leading to … [his] arrest and/or conviction,” the Treasury said.  

The department said that Rodríguez Aguirre, using her currency exchange house and “a network of U.S.-based businesses,” operates a “trade-based money laundering system to move illicit narcotics proceeds from the United States to Mexico.”

The United States alleges that she “facilitated the collection and laundering of” US $6 million between 2020 and 2022. 

Brian E. Nelson, Treasury Undersecretary for Terrorism and Financial Intelligence, said Tuesday that the CJNG “relies upon a web of criminal activity that ultimately strengthens its ability to traffic fentanyl and other deadly drugs to the United States.” 

“Today’s action disrupts key support networks engaged in arms trafficking, fuel theft, and drug-related money laundering,” Nelson said. 

“Treasury, in close coordination with the Government of Mexico and U.S. law enforcement, will continue to target those who support and supply drug trafficking and criminal organizations, especially those engaged in the production and distribution of synthetic opioids that claim the lives of tens of thousands of Americans each year,” he said.

Mexico News Daily 

Rancho Cacachilas: a sustainable adventure in Baja Sur

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Glamping tent at Rancho Cacachilas.
Rancho Cacachilas, a BCS adventure camp, bills itself as "holistic all-inclusive experience, surrounded by endemic nature, adventure activities, and a great regenerative purpose." (Photo: Rancho Cacachilas)

Just beyond the open flap of my tent, I saw soft pink horizon tucked under a baby blue sky. The cactus wren, morning dove and northern cardinals were creating quite the symphony around my private desert patio. 

Cozy in my king-sized bed, I was feeling more than a bit smug that my whole stay at Rancho Cacachilas in Baja California Sur was sustainable and basically carbon neutral, using solar power and eating meals that came mainly from the ranch’s garden, their nearby fish hatchery and the cattle grazing on their 15,700 hectares of land. 

Sunrise over Rancho Cacachilas.
The glamping resort covers 60 kilometers of private trails. (Lydia Carey)

While La Paz and its surrounding area is not as big or glamorous as the cities of Los Cabos, this ranch about 40 minutes south of La Paz has views that rival the southernmost part of the coastline. This glamping site is so much more than just a quiet night’s rest: it’s a whole working ecosystem of projects to benefit the local environment and communities. 

Though some things are still in process, this is a conscientious group that will not rest until they see the Sierra de las Cacachilas mountain range safeguarded for future generations.

My first day started with a tour through the ranch’s bee and butterfly filled garden, which grows lettuce, kale, eggplant, squash and sunflowers in a seemingly impossible soil substrate. 

What started out as almost pure sand has been slowly enhanced over the past five years with manure-based compost and lots of love. Now it produces the majority of guest meals and is an incredible habitat for birds, my guide Pablo’s specialty.

A cyclist bikes trails at Rancho Cacachilas.
The ranch has an extensive trail system for outdoor recreational activities. (Rancho Cacachilas

He created a citizen science list of the birds we saw and heard walking around the property: orioles, cardinals, blue jays, wrens and even roadrunners crossed our path. 

This part of Baja California has been raising cattle since the Jesuit missionaries came to evangelize the region’s Indigenous peoples, introducing cows, pigs and goats to the area. But according to Pablo, the combination of excessive grazing, soil erosion and local development led to an unsustainable situation: cattle ranchers need more and more grazing land to get the same amount of meat or milk as 100 years ago. 

Rancho Cacachilas is trying to convince local ranchers to graze their cattle differently — moving herds from one section of land to another each month to let grazed land temporarily rest. Their own cattle serve as a living experiment.

The hike explored another way Rancho Cacachilas’ team is working to restore the environment’s most vital natural resource: water. All along the hiking route, we encountered stone walls that work to slow the water rushing down the mountains during the hurricane season’s intense rainfall.  

These homemade dams create stopping points for the sand as well and allow the water to sink into the ground more slowly. 

Proof of their success is the natural foliage sprouting around the dammed-up areas, as well as the presence of water at all, which Pablo said has never existed at this time of the year during the five seasons he has worked at Cacachilas.

Bowl of vegetables.
Food at the ranch is largely produce grown on the property. (Rancho Cacachilas)

When I asked if adjusting the natural flow of the water was too much intervention, Pablo said that humans have already drastically intervened in this ecosystem; Rancho Cacachilas, at least, is trying to do something positive. 

After our hike, we visited the ranch’s goat farm, where 60-odd female goats were happily munching on cut green grass. These goats are the ranch’s source of its incredibly delicious cheese, aged anywhere from a few weeks to over a year. 

Their milk produces a full flavor spectrum, including a fresh goat cheese with a crust of ash and an aged Parmesan-like cheese that crumbles in your hand. We washed it all down with one of Baja’s crisp white wines.

The ranch’s adventure camp is another sustainability experiment. The guest environment is both pampering and sustainable. I spent the afternoon back at camp, with a short nap after the morning’s drinks, followed by red snapper and grilled veggies for lunch and a dip in the swimming pool. Yes, there’s a swimming pool, but the fact that it’s not treated with chemicals makes it a little oasis for this harsh desert landscape’s wildlife: birds, bees and even deer come take a sip. 

The camp’s lounge, styled like an old hunting lodge, has a working area, comfy leather couches and books to read. Relax for a few hours here before the 6 p.m. happy hour, followed by dinner and fireside stargazing; when the night is clear, the quantity of stars is head-spinning. 

Every family or group that books here gets a private guide, much like their own personal concierge, but one who takes you mountain biking or riding the ranch’s mules into the hills. 

Close-up of two goats with several more in the background.
The ranch’s herd of goats produces the milk used in making regional and European-style cheeses. (Lydia Carey)

All adventure activities are adaptable to your group’s experience level. Parents and kids can also be split up with two guides so the adults can enjoy their activity of choice.

Accommodations are divided into luxury glamping tents or a section of rooms in a single long building. Bathrooms are shared, but their outdoor layout is charming.

The only thing that might hold folks back is the bucket shower (designed to conserve water), but Pablo says that even the people who protest at first end up liking the Wild West feel of it. 

Pro tip: take your shower during the day; the desert cools down considerably at night, when the faucet that says “hot” really means “tepid.”

All tents and rooms have flashlights, drinking water, hammocks, private patios looking out over the desert and even plastic containers for your food to keep critters away. And sustainable living doesn’t mean they scrimp on quality: the linens and blankets are as comfortable as any luxury hotel I’ve visited. 

While the Rancho Cacachilas experience was excellent, knowing that I was touring responsibly might have made it even better. While you’ll need to drive there (there’s no public transportation in the area), once on the property, you can rest easy, knowing your environmental footprint is as small as possible. 

For an unforgettable eco-adventure, Rancho Cacachilas is my new number-one spot in Baja Sur. 

Lydia Carey is a freelance writer and translator based out of Mexico City. She has been published widely both online and in print, writing about Mexico for over a decade. She lives a double life as a local tour guide and is the author of Mexico City Streets: La Roma. Follow her urban adventures on Instagram and see more of her work at www.mexicocitystreets.com.

Fibra Prologis to invest US $700M in industrial spaces in Mexico

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Fibra Prologis
Prologis is one of the world's largest developers in logistics real estate. (Prologis/Twitter)

Mexican real estate investment trust Fibra Prologis is planning to invest US $700 million this year in warehouses and parks, managing director Héctor Ibarzabal told Bloomberg in an interview.  

Parent company Prologis Inc., which owns 43% of Fibra Prologis and is a leader in global logistics real estate, will spend an additional US $500 million on undeveloped land. 

Prologis warehouse
Fibra Prologis is investing a further US $ 700 million into its portfolio, in response to increased nearshoring demand by manufacturers from across the globe. (Prologis/Twitter)

Prologis is Amazon, Inc.’s largest lessor worldwide. 

“About 3% of global GDP happens in our warehouses,” said Ibarzabal. MercadoLibre and Walmart are also among its largest clients.  

Fibra has seen 270% growth since its IPO in 2014, in comparison to a Mexican average of 53%. The company now has a valuation of US $4 billion.

After supply-chain disruption caused by the COVID-19 pandemic, many companies in the United States are shifting their business from China to Mexico.

A Prologis warehouse in Sweden
The Mexican company has warehouses across the world, but says demand at the Mexico-U.S. border is higher than ever. (Prologis/Twitter)

“The entire Mexican border is experiencing unusual activity,” Ibarzabal said. “I have been in this business for 30 years and we have historic records of [rentals of new spaces].” 

Prologis’ border markets in the northern cities of Reynosa, Ciudad Juárez and Tijuana are operating at almost full capacity, he added.

According to Mexico’s tax authority chief, Rogelio Ramírez de la O, investment from relocation companies has so far reached US $13 billion in 2023. Fifty-four percent of these companies are in the automotive sector, he said. 

A study by Morgan Stanley showed that industrial real estate in Mexico is showing “strong momentum” amid a record-breaking decline in vacancy rates, which are now below 2%. The study cited Fibra Prologis as a standout example in the industry. 

“We expect the momentum to continue,” the report stated. “We estimate that Mexico needs around 1.2 million square meters of new [industrial real estate] inventory over the next five years, an estimate that could easily be conservative, given the demand stemming from nearshoring.”

Ibarzabal said that companies are now aware of the value of being close to the United States.

“We are permanently [vulnerable] to a geopolitical conflict, to a meteorological issue, to another pandemic […] Mexico is where you can change global supply chains to regional chains.”

However, the country needs more infrastructure investment in order to meet the nearshoring demand. According to Ibarzabal, if it were not for the lack of energy supply in some Mexican states, the nearshoring boom could be three or four times larger than current figures.  

“Electrical infrastructure is the Achilles’ heel,” he said. “Right now, there is no more energy to grow, and water is starting to be a significant issue.”

With reports from Bloomberg Línea and Milenio

Foreign Minister Marcelo Ebrard announces he’ll resign Monday

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Center: Mexico's Foreign Affairs Minister Marcelo Ebrard
Marcelo Ebrard, center, announced his impending resignation as Mexico's Foreign Affairs Minister from a hotel in Mexico City on Tuesday, surrounded by supporters. (Marcelo Ebrard/Twitter)

Foreign Affairs Minister Marcelo Ebrard announced Tuesday that he will step down next Monday to focus on winning the ruling Morena party’s nomination for the 2024 presidential election.

During an address at a boisterous event broadcast live on social media, Ebrard said he would resign first thing Monday morning to dedicate himself fully, “with happiness and resolve,” to “defending the project that our President Andrés Manuel López Obrador leads in the entire Mexican republic.”

Marcelo Ebrard, center, announcing his impending resignation as Mexico's Foreign Affairs Minister
Ebrard is the first Morena presidential nominee hopeful to resign his post, sparking speculation that other main contenders, who are all also public servants, will soon resign as well. (Marcelo Ebrard/Twitter)

Amid a sizable group of supporters gathered at a Mexico City hotel, the 63-year-old former Mexico City mayor called for a “transparent and verifiable” survey to select Morena’s candidate for the presidential election.

The ruling party will choose its standard bearer via an internal survey, which Ebrard said should “ideally” have just one question.

The election will be held on June 2, 2024. Under Mexican law, candidates running for public office will be required to resign any currently held government positions by March 7, 2024. However, Morena will apparently be requiring its hopefuls for the candidacy to resign much earlier, before any one of them is named the Morena candidate for president, and before the citizen survey takes place.

Ebrard — who has stood in for López Obrador at numerous international meetings, forums and summits — is one of four main contenders for Morena’s nomination. The others are Mexico City Mayor Claudia Sheinbaum, Interior Minister Adán Augusto López Hernández and Senator Ricardo Monreal.

Contenders for Morena Party presidential nomination in Mexico
The other main contenders for the Morena presidential nomination are, from left to right, Mexico City Mayor Claudia Sheinbaum, Interior Minister Adán Augusto López and Senator Ricardo Monreal. (Government of Mexico, Senate)

Most polls show Sheinbaum as Morena voters’ favored candidate, but one conducted in January found that Ebrard is more popular than the mayor among Morena supporters.

The 300-member Morena National Council will convene this Sunday to determine the rules and dates of the selection process for the party’s presidential candidate.

Ebrard said he would participate in the meeting and expressed confidence that he and his rivals for the Morena candidacy would present a “single proposal” in favor of a selection process that “guarantees equity [and] transparency” and has “clear rules.”

He noted that the aspirants committed in December to stepping down from their current positions before the selection process officially starts, and to debating their proposals in public.

“I imagine that what we proposed in December will be reflected in the single proposal we’ll have on Sunday,” Ebrard said.

His announcement that he will resign to focus on becoming Morena’s candidate was met with chants of “Marcelo, Marcelo!” “we’re going to win!” and “presidente, presidente“.

Mexico's President Lopez Obrador
President López Obrador has promised to not intervene in the candidate selection process even though he is the Morena Party leader and founder. (Presidencia)

López Obrador, whose six-year term ends on Oct. 1, 2024, has pledged to not intervene in the selection process and respect the candidate chosen by “the people” — shorthand for members of the party he founded.

The president said Tuesday that he’d spoken with the presidential aspirants and with Morena party governors at a dinner on Monday about the need to maintain party unity leading up to next year’s elections. Citizens will also elect deputies, senators, governors of eight states and a new Mexico City mayor on the same day.

AMLO said Wednesday that other potential Morena candidates will possibly announce their resignations in the coming days.

Some have speculated that Ebrard could seek to represent another party, such as Citizens Movement, if he doesn’t win Morena’s 2024 nomination.

However, his clear focus now is on getting his name on the Morena ticket; polls suggest Morena will win the presidency no matter its candidate.

Ebrard said Tuesday that he’s a proud member of the López Obrador’s government, while Morena national president Mario Delgado declared that there was no “dissent” on the part of the foreign minister.

Celebratory dinner by Morena Party figures for governor elect of Mexico state, Delfina Gomez
AMLO told reporters that he took the opportunity at a celebratory dinner for México state governor elect Delfina Gómez to speak to the four main presidential hopefuls.

“I want to thank … President López Obrador for his support, his trust, his generosity, his guidance and his closeness during all these years,” Ebrard — who served in AMLO’s 2000–2005 Mexico City mayoral government — told supporters and reporters in Mexico City.

As president, he said he would consolidate Mexico’s “Fourth Transformation” of Mexico — which López Obrador asserts his government is carrying out, especially through its fight against corruption. Ebrard also said he would work to eradicate extreme poverty.

He also stressed the importance of maintaining distance between vested interests and government.

The announcement of his imminent resignation came two days after Morena candidate Delfina Gómez won the gubernatorial election in México state, ending almost 100 years of Institutional Revolutionary Party (PRI) rule. Her victory in Mexico’s most populous state has been widely interpreted as a good omen for Morena in 2024.

The PRI prevailed Sunday in Coahuila’s gubernatorial election, where a PRI, National Action Party and Democratic Revolution Party alliance put former Saltillo mayor Manolo Jiménez Salinas into office.

As for who will replace Ebrard as foreign minister after his Monday departure, the news agency Reuters reported that Mexico’s United Nations Ambassador Juan Ramón de la Fuente, as well as Ambassador to the United States Esteban Moctezuma, a former education minister in the current government, “are seen by many analysts as the favorites.”

With reports from Reforma, EFE, El País and El Financiero

Mexico’s witch legends recall the Holy Inquisition’s reign of terror

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La-Mulata de Cordoba statue in Cordoba, Veracruz
An image of La Mulata de Córdoba, a woman from the Veracruz city who was accused of witchcraft by the Holy Inquisition in the 16th century. (Wikimedia Commons)

The 16th and 17th centuries were troubling times in Mexico. With the Spanish conquest came Catholic doctrine, which conflicted with Indigenous religious beliefs and rituals. 

Spanish attempts to convert Mexicans to Catholicism weren’t going well, so the Holy Inquisition stepped in to speed up the process.

Conquest of Mexico
The conquest of Mexico by the Spanish was a slow and brutal process. (Wikimedia Commons)

People feared the Inquisition with good reason: witchcraft, sorcery and adultery were accusations made under the umbrella of heresy, and those found guilty by the Catholic court could be burned alive at the stake.

Neighbors accused neighbors; family members accused other family members; everyone feared being turned in to the Inquisition if they didn’t turn in someone else. Women who were herbalists or curanderas (healers), or who were powerful in the community, were often prime targets.

So go the legends of La Maltos and La Mulata of Córdoba, two women who were said to have been accused and sentenced to death for witchcraft but escaped — using witchcraft, of course. 

The legend of La Maltos, the Witch of the Arches of Ipiña, takes place in San Luis Potosí in the 17th century. At the time, much of the population had a high socioeconomic status, and La Maltos was a very powerful figure within her class. It was said that her name was María Ignácia de Malto and that she was so influential, she had a position with the Holy Inquisition.

Witch trials
A suspected witch is interrogated by the Inquisition. (Wikimedia Commons)

As the story goes, La Maltos rented a large building from a powerful family in San Luis Potosí in the middle of the city and used the ground floor for torture and executions on behalf of the Inquisition, while she lived in the upper part of the building. There, she was said to have cast evil spells to end her enemies’ lives — 30 of them men with important government positions. Some were men she targeted for revenge, including former lovers who rejected her.

At night, she would ride wildly through the city streets (with impunity due to her position) in a grand carriage drawn by two large horses as black as night.

However, she made a mistake: she murdered two men from families more powerful than her. 

Once accused, it is said that La Maltos made no effort to defend herself and was sentenced to death for murder and witchcraft. Before her execution, she made one final request: that she be allowed to paint a mural on the wall of her home, called the Arches of Ipiña.

Her request granted, she was taken to the house and given paints and brushes. On the wall, she painted a lifelike picture of herself mounted on her carriage. To the astonishment of the police chief, mayor, and other onlookers, the painting supposedly came to life. La Maltos mounted the carriage and disappeared through the wall, never to be seen again.

The building once known as Arches of Ipiña still stands in the San Luis Potosí’s historic district with the mural intact. Some say the ghostly carriage can be seen emerging from the walls and that at night, you can hear the chanting of spells from inside the house.

The Arches of Ipiña in San Luis Potosi, Mexico
The Arches of Ipiña.

Another legend, that of La Mulata of Córdoba, took place in the 16th century. The records of her trial by the Holy Inquisition can be found in Mexico’s National Archives. Known as Soledad, she was a skilled herbalist from the city of Córdoba, Veracruz. She was beloved by the people she helped and known for her striking beauty.

The townspeople of Córdoba came to her for solutions to their problems and always left satisfied. A young woman without suitors; a worker without work; a lawyer without clients – they all came to her for help — telling others that Soledad had solved their problems.

Although loved by many, Soledad was also resented by women and men alike. Envious women speculated that she was a sorceress that made a pact with the devil to remain so young and beautiful year after year. Yet she showed no interest in suitors, causing many men to resent her indifference.

This legend has had many different versions retold over the years. Some say she was the lover of wealthy landowner Don Luís de la Cueva, who died mysteriously in his home; the authorities suspected Soledad but did not have enough evidence to incriminate her. Others say she was turned into the Inquisition by a jealous wife whose husband commented once too often on her captivating beauty.

Perhaps the most popular is that Soledad was turned into the Inquisition by the Mayor of Córdoba, Don Martín de Ocaña, in anger over her rejection of his amorous advances. Legend has it that he started the rumor that she was a witch, and that she had given him a potion that made him fall in love with her. 

The townspeople, scared of being judged by the Holy Inquisition, corroborated his story. Upon being questioned, many witnesses said they saw her fly over rooftops at night while laughing ghoulishly. They also claimed that Soledad forced them to sell love potions.

city of Cordoba, Veracruz in Mexico
The people of Córdoba still report seeing La Mulata in her Veracruz town today. (Wikimedia Commons)

Regardless of who made the original accusation, La Mulata was locked up in the San Juan de Ulúa prison and sentenced to death at the stake for practicing witchcraft. Just before her execution, however, she asked the guard if he could bring her a piece of charcoal so that she might draw some pictures on the wall. The guard admonished her for not praying for forgiveness in her final hours, but, perhaps due to her beauty, obliged her request.

The guard watched in amazement as Soledad drew in great detail a sailing ship on the ocean. She then asked him, “What is missing from this picture?”

Looking at it, he said, “Nothing that I can see. It’s perfect. Except, it needs someone to navigate it.” 

Laughing, Soledad replied, “You’re right!” She jumped aboard the ship and sailed off — right through the wall of her prison.

People still report sightings of La Mulata in Córdoba. They’ve reportedly seen her flying overhead — her dark eyes gleaming like the devil’s — and laughing maniacally. Others have reported strange chanting and lights shining from her house. At times, people have seen a ghostly ship coming out of the walls of the prison with Soledad on board.

Even former president Porfirio Díaz (1848–1876) recounted seeing her apparition and watching as she turned into an owl and flew away.

Sheryl Losser is a former public relations executive and professional researcher.  She spent 45 years in national politics in the United States. She moved to Mazatlán in 2021 and works part-time doing freelance research and writing.