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Sheinbaum bill would ban dual nationals from top political offices: Thursday’s mañanera recapped

By
MND Staff
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President Sheinbaum at the podium of her August 13 mañanera press conference
Sheinbaum introduced a bill to ban candidates with dual nationality from the presidency and state governerships at her Thursday morning press conference. (Presidencia)

Sheinbaum’s mañanera in 60 seconds

  • 📜 Constitutional bill targets dual nationality: Sheinbaum announced that the government would send a bill to Congress on Thursday to bar dual nationals from running for president, governor or Mexico City mayor. Presidential legal adviser Luisa María Alcalde said the current wording of the Constitution has created a legal loophole, and under the proposal, Mexican-born dual citizens would have to renounce their second nationality before registering as candidates.

  • 🗳️ Sheinbaum weighs in on Sinaloa succession: Asked about Morena selecting Senator Imelda Castro as its Sinaloa “state coordinator” — putting her on track to be the party’s 2027 gubernatorial candidate — Sheinbaum praised Castro as a longtime “transformation” movement member who “loves Sinaloa very much.”

  • ⚓ ‘Very solid’ case against ex-admiral: On the fuel smuggling case against former Rear Admiral Fernando Farías Laguna — extradited from Argentina last week and now ordered to stand trial — Sheinbaum said the FGR has enough evidence to show he ran a network distributing fuel smuggled into Mexico mainly from the U.S.

Why today’s mañanera matters

The presentation of a new constitutional bill and President Sheinbaum’s comments on the ruling Morena party’s selection of a state coordinator in Sinaloa were among the most important developments at today’s mañanera.

Morena’s new coordinator in Sinaloa — a federal senator who is currently on leave — will almost certainly become the party’s candidate at the state’s gubernatorial election next June. That means Imelda Castro will vie to become Morena’s second popularly elected governor of Sinaloa after Rubén Rocha Moya, who went on leave earlier this year after U.S. prosecutors accused him of drug trafficking in league with the Sinaloa Cartel. Rocha returned to the governorship for around 48 hours last weekend before leaving the job once again.

Sinaloa Senator Imelda Castro speaks at the podium of a Morena party event
Senator Imelda Castro’s selection as Morena’s Sinaloa state coordinator puts her on track for the 2027 governorship, after U.S. drug-trafficking accusations against Rocha Moya shook up the state’s political landscape earlier this year. (Mario Jasso / Cuartoscuro.com)

Also of note at today’s mañanera were Sheinbaum’s comments about a fuel smuggling case involving a former high-ranking Navy official who is a nephew of former Navy Minister José Rafael Ojeda Durán.

Government proposes dual nationality ban for political leaders 

At the start of the press conference, Sheinbaum announced that her top legal adviser, Luisa María Alcalde, would present a constitutional bill that seeks to ban presidential and gubernatorial aspirants from running for office if they hold dual nationality. She said that the bill would be sent to Congress on Thursday.

Alcalde noted that the Mexican Constitution states that to occupy the position of president or governor (including mayor of Mexico City), it is necessary to be a Mexican citizen by birth. She also noted that the Constitution states that positions for which Mexican citizenship by birth is a prerequisite are reserved for people who meet that criterion and “do not acquire another nationality.”

Alcalde said that the wording of the Constitution has created a legal loophole that has led to “interpretative misunderstandings.”

She said that the government is now proposing that the Constitution explicitly state that Mexican citizens who “already have another nationality” be precluded from holding the position of president, governor or mayor of Mexico City.

Under the government’s proposal, a Mexican by birth who is also a citizen of another country must renounce their second citizenship before registering as a candidate, Alcalde said.

Sheinbaum said that the Mexican Constitution in its current form is not clear, and highlighted that there have been governors with dual citizenship, including former Tamaulipas Governor Francisco García Cabeza de Vaca, who was born in Texas.

She said that the objective of the government’s constitutional bill is to ensure that “the interest of the nation is above any other interest.”

Presidential legal advisor Luisa María Alcalde shares the text of a constitutional bill to ban presidential and gubernatorial candidates with dual nationality at the August 27 mañanera press conference.
Presidential legal advisor Luisa María Alcalde shares the text of the constitutional bill seeking to ban presidential and gubernatorial candidates with dual nationality. (Presidencia)

Sheinbaum comments on Morena’s proposed gubernatorial candidate in Sinaloa 

A reporter noted that Morena has selected Imelda Castro — a federal senator who recently took leave from that position — as its “state coordinator for the defense of the transformation” in Sinaloa, putting her in pole position to become the party’s candidate in the 2027 gubernatorial election in the northern state.

The reporter noted that Castro is known for “not being close” to Rocha Moya.

Sheinbaum acknowledged that Morena selected the senator as its coordinator in Sinaloa as she won the party’s internal poll of voters.

Castro, she said, “is a woman who has been involved in the transformation movement [i.e. Morena] for many years and loves Sinaloa very much.”

As Morena’s likely gubernatorial candidate, Castro “must be an upright, honest person who loves the people, loves her state and has a project for the state of Sinaloa,” Sheinbaum said.

Sheinbaum: FGR has a ‘very solid’ case against navy official accused of fuel smuggling 

Asked what she expected in the fuel smuggling case involving former Rear Admiral Fernando Farías Laguna, Sheinbaum responded “justice.”

Farías, who is accused of leading a fuel smuggling/tax evasion scheme known in Mexico as huachicol fiscal, was extradited to Mexico last week from Argentina. His case is linked to the seizure of 10 million liters of diesel in Tampico, Tamaulipas, last year. The fuel arrived on a Singapore-flagged ship that — in an attempt to avoid the payment of IEPS excise tax — was said to be carrying lubricating oil additives rather than diesel.

On Thursday morning, Farías was ordered to stand trial on fuel smuggling charges. He is currently being held at the Altiplano federal prison in México state.

Sheinbaum said that the Federal Attorney General’s Office has a “very solid” case against Farías.

“There is enough information to know that this person had a network that enabled the distribution of fuel that came [into the country] as contraband, mainly from the United States,” she said.

Sheinbaum asserted last week that her government has “practically” put an end to huachicol fiscal. 

“It’s practically over thanks to the interventions that we’ve been carrying out in customs and the arrests that have been made,” she said Aug. 18.

By Mexico News Daily chief staff writer Peter Davies (peter.davies@mexiconewsdaily.com)

Mexico and My Money: The tricky business of tipping in Mexico

By
Dawn Stoner
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Pesos in a basket left as a tip
Tipping in Mexico is complicated by many factors, including whether you're a foreign tourist, resident or Mexican national. (iStock)

As we kick off our new series, “Mexico and My Money,” we thought it made sense to begin with a topic that affects everyone here, from first-time tourists to full-time residents.

Is there a more polarizing personal finance topic for foreigners in Mexico than the question of how much to tip? I don’t think there is.

Tip jar
One of the complicating factors for tipping etiquette in Mexico is that the practice isn’t just confined to restaurants and cantinas. (Janet Blaser)

Before I dive in, I’d like to emphasize that there are no hard-and-fast rules for tipping in Mexico. Though some will invariably disagree, the decision of how much to tip in Mexico is subjective — a judgment call. Our recent personal finance survey findings certainly reinforced this point.

Like other tipping cultures, the appropriate amount to give depends on the quality of service you received and your economic situation. That said, this article will share current practices and local customs with respect to tipping in Mexico to help you make well-informed decisions.

How tipping culture in Mexico is evolving

If you talk to long-term foreign residents in Mexico, you gain a useful perspective on how tipping has evolved. Several decades ago, when virtually all restaurant meals in Mexico were paid in cash, customers simply rounded up their bill, adding a few pesos to their tab for service. More recently (pre-pandemic), it became common to tip 10% or 15% when paying your bill.

During the COVID-19 pandemic, the ground shifted further. For anyone living north of the border during those years, as I was, tipping became politicized. While a portion of society worked from home and socially distanced, frontline workers such as hospital staff, delivery drivers and restaurant waiters, to name a few, took daily risks interacting with the public.

Digital screen showing tipping options
Tipping expectations have evolved in recent years, both in the U.S. and in Mexico. (PYMNTS)

Tipping became a way to express gratitude for the risks essential workers faced. What began as an expression of solidarity evolved into higher baseline expectations.

In parallel, digital payments were becoming standard at all sorts of small businesses. Those paying with credit cards grew accustomed to digital screens prompting tips of 20%, 25% and more on their purchases, even when there was no real service.

As U.S. citizens expatriated to Mexico in droves post-pandemic and this new payment tech expanded south of the border, the pressure to tip bigger and more often here has similarly proliferated.

Tipping etiquette and why it’s complicated

How much should you tip in a Mexican restaurant? If you ask three different people, you’re likely to get three different answers.

As we saw in the recent MND financial survey, most foreigners in Mexico say they tip between 10% and 20% on their restaurant bill, with the largest share tipping 15%. At the high end, nearly 1 in 3 respondents said they generally tip 20% or more in restaurants.

(Credit: Mexico News Daily)

How does this square with what Mexicans tip? Our unscientific polling of Mexicans we know in Guadalajara, San Miguel de Allende and Mexico City found that most typically tip 10% in restaurants, with 15% reserved for top service at fine dining establishments, where staff is highly trained and adds a lot of value.

If you’re like me and don’t live in a neighborhood popular with U.S. tourists, these practices are still widely observed.

Tipping practices vary regionally

When asked what they think of gringos who tip 20% or more in restaurants, Mexicans I spoke to expressed some frustration. Many see 20% tips as excessive and contributing to inflation in their everyday lives.

Los Tres Gallos, Mexican restaurant in Cabo San Lucas
Waiters in vacation destinations like Los Cabos or Puerto Vallarta have higher tip expectations than service staff in other parts of Mexico. (Los Tres Gallos)

Others state flatly that they can’t afford such extravagance on their modest wages and resent the social pressure to tip more in places that cater to foreign customers.

Still, if you happen to find yourself in Colonia Americana, Guadalajara, or touristy towns like San Miguel de Allende and Puerto Vallarta, you’ll quickly notice U.S.-style tipping has become normalized — and widely expected from foreigners.

Tread carefully if you attempt to bridge this divide. Suggest to a foreigner in Mexico that they should tip more like Mexicans do, and you risk being attacked as an exploitative cheapskate. Suggest to a global group tipping more generously, and risk being branded a gentrifier making everything more expensive.

What Mexican waiters earn in 2026

For context, it’s helpful to know what Mexican waiters typically earn. Government data show the average monthly base salary of Mexican waiters in the first quarter of 2026 was just 6,040 pesos (about US $357). An unlivable sum in most parts of the country these days, waiters rely heavily on tips to make ends meet.

While reliable data on tips is hard to verify, self-reported take-home pay for waiters in Mexico ranges from 12,000 pesos (US $710) per month in casual cantinas to 50,000 pesos (US $2,959) per month in fine dining spots and popular venues catering to wealthy Mexicans.

As anyone who has ever worked primarily for tips knows, your monthly income is inconsistent and unpredictable. Furthermore, most waiters in Mexico work informally, meaning they have no employment contracts and receive no government benefits.

Waiter in a restaurant in Mexico
Waiters in Mexico may do well on tips, depending on the type of restaurant they work in, but they don’t receive contracts or benefits. (Gobierno de Mexico)

These things are not lost on many foreigners living here, who tell me they tip generously to compensate for low Mexican wages.

Where tips are commonly expected in Mexico

While not an exhaustive list, it’s standard practice in Mexico to tip waiters, bartenders, valets, hotel cleaning staff, tour guides, Uber drivers, grocery store baggers and food delivery people.

These roles are poorly paid by employers — and in the case of grocery baggers, not paid at all.

(Credit: Mexico News Daily)

Know your rights

It’s illegal to mandate tips in a restaurant in Mexico. It’s also illegal to insist that customers tip a specific percentage of their bill. Though these practices occur regularly in tourist towns, they can be challenged.

If it happens to you, politely and firmly ask for the tip to be removed from your bill. If the restaurant refuses, be sure not to tip again when handed a credit card terminal.

Customers may also decline the suggested amounts on a credit card reader and enter a custom tip amount — or decline a tip via credit card payment, leaving cash instead.

Best practices when tipping for services in Mexico

U.S. dollars
Tipping in cash and in pesos is preferred by most waiters in Mexico. (Crisanta Espinosa Aguilar/Cuartoscuro)

  • Avoid tipping in a foreign currency. Converting cash in Mexico carries high commissions and is nearly impossible for a Mexican worker to do without a passport.

  • Tip in cash whenever possible to ensure the service provider receives your tip. Unscrupulous restaurant managers have been known to withhold servers’ tips paid electronically at the end of a shift.

  • Hand tips directly to the intended recipient, so that money left on an empty table isn’t stolen.

MND writer Dawn Stoner is reporting from Guadalajara.

Foreign Minister Velasco boosts culture, trade and education during busy 2-day visit to South Korea

By
MND Staff
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Foreign Affairs Minister Cho Hyun and Foreign Affairs Minister Roberto Velasco
Foreign Affairs Minister Roberto Velasco spent two days in South Korea earlier this week discussing a broad range of topics with, among others, his Korean counterpart, Foreign Affairs Minister Cho Hyun. (SRE)

Foreign Affairs Minister Roberto Velasco Álvarez paid a two-day visit to South Korea from Sunday to Tuesday to boost investment in Mexico, expand cultural exchange and foster cooperation in sectors such as technology and education.

During his visit, Velasco met with his Republic of Korea counterpart, Foreign Affairs Minister Cho Hyun, to review the guidelines presented in the Mexico-Korea Action Plan 2026-2030. 

Velasco also took time to meet with executives from major Korean companies that operate in Mexico, such as Samsung, Hyundai and LG. (SRE)

Hyun and Velasco discussed the potential establishment of a Korean cultural center in Mexico and a possible Mexico-Korea scholarship program, according to a statement released by the Foreign Affairs Ministry (SRE). The two ministers also reaffirmed their commitment to continue collaborating as members of MIKTA (a partnership among Mexico, Indonesia, South Korea, Turkey and Australia) and in forums such as APEC, the G20 and the United Nations.

The Mexico-Korea Action Plan is expected to be signed by Mexican President Claudia Sheinbaum and South Korean President Lee Jae Myung during his upcoming visit to Mexico, marking the first time a Korean president will visit Mexico in a decade. 

South Korea is Mexico’s fifth-largest trading partner, with trade between the two countries totaling $29.7 billion in 2025. 

Velasco also met with the Vice President for Foreign Affairs at the Center for Science Diplomacy of the Korea Advanced Institute of Science and Technology (KAIST), So Young Kim, and the Office of International Development Director Han Seung Hun to discuss the advancement of a joint initiative with KAIST to create educational programs specializing in engineering, technological development, and semiconductors.

In the business sector, Velasco held a meeting with executives from leading Korean companies operating in Mexico, including Samsung Electronics, Hyundai Motor Group, Posco, Hana Financial Group, HL Mando and LG. The minister also toured LG’s offices and Science Park.

Velasco met with Samsung E&A President and CEO Namkoong Hong on Tuesday to discuss various strategic projects underway in Mexico, particularly in the energy sector, according to official SRE reports. 

“Mexico and Korea have identified innovation, artificial intelligence, digital governance and the aerospace sector as priority areas, where the opportunity lies not simply in exchanging knowledge, but in creating it together,” Velasco said.

During his visit, Velasco also met with the leadership team at the Mexican Embassy in Korea to review the services the embassy provides to Mexican citizens.

Following his visit to South Korea, Velasco traveled to Washington, D.C. on Tuesday to meet with U.S. Secretary of State Marco Rubio to discuss priority issues on the bilateral agenda.

With reports from Infobae and Informador

Overcoming a disappointing first quarter, Mexico is now one of the OECD’s top-growing economies

By
MND Staff
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0
highway construction
Mexico's 1.4% growth in this year's second quarter after a first-quarter contraction represented its strongest expansion since early 2022, enough to put it at No.6 in growth among OECD countries. (Presidencia / Cuartoscuro.com)

Mexico’s economy grew three times faster than the Organization for Economic Co-operation and Development (OECD) average in the second quarter of the year, making it the sixth fastest-growing OECD economy, according to preliminary figures published Monday by the 38-member group of mostly high-income democracies. 

The Mexican economy grew by 1.4% from April to June, according to Mexico’s National Institute of Statistics and Geography (INEGI), much higher than the OECD average of 0.5%, which itself had risen slightly from its 0.4% rate in the first quarter. 

farmland
Primary activities, such as farming, led the second-quarter expansion that lifted Mexico into the OECD’s top 10 second-quarter growth economies. (Meg Pier / Unsplash)

In the second quarter, 27 OECD member states recorded growth rates, with Ireland’s being the highest at 3.9%, followed by Israel at 3.6%. Switzerland, Slovenia, Lithuania and Mexico followed, while Austria, Belgium and Chile reported no change in their GDP. 

Several members of the G7 —a smaller group of the world’s most advanced industrial nations — experienced a slowdown in the second quarter, including Germany, Italy, Japan, the United Kingdom and the United States. GDP growth in the G7 fell to 0.3 percent in the second quarter of 2026, compared to 0.4 percent in the first quarter of the year, the OECD reported.

The OECD cited weak export growth, a decline in the livestock industry, and a decrease in retail consumption as the primary causes of the second-quarter economic slowdown in the United States. 

Mexico’s economy, on the other hand, improved in the second quarter compared to the first, rebounding from a revised 0.3% contraction in the first quarter, according to INEGI, as the country posted its strongest expansion since early 2022.

However, the 1.4% second-quarter growth was slightly below INEGI’s preliminary estimate of 1.5% published in July.

Primary activities, such as farming, fishing and mining, led Mexico’s economic growth, posting an expansion of 2.4%. 

Meanwhile, Mexico’s main regional competitor, Brazil, saw economic growth of just 0.2% in the second quarter compared with the previous three-month period, the country’s central bank reported in August. 

In annual terms, Mexico’s economy expanded 2.1% in the second quarter, according to INEGI. 

However, inflation remains a threat, with Mexico’s 12-month inflation rate reaching 3.26% in early August, up from 3.1% a month earlier.

While the inflation figure is within the Bank of Mexico’s target range of 3%, give or take one percentage point, persistent inflation alongside signs of economic improvement could lead to ⁠a rate hike, despite the bank’s recent caution. 

With reports from La Jornada, Contra Replica and Reuters

Construction on 14-tower tourist project on Yucatán’s coast halted on environmental grounds

By
MND Staff
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0
Chuburná
The temporary closure of the Las Dunas mega-project work site on the dunes of the Yucatán coast near Progreso is the third high-profile reversal of a beach development this year. (dunas.mx)

A federal judge has allowed a legal challenge seeking to stop construction of a 14-tower tourist complex in Yucatán’s coastal dunes — the latest in a string of environmentally contentious beach developments halted or rejected under the Sheinbaum administration. 

The project, known as Las Dunas, is in Chuburná Puerto, a fishing village on the Gulf coast of Yucatán where remaining dunes, mangroves and wetlands buffer an erosion-prone shoreline. The community is about 15 kilometers west of Progreso, a port city and beach town.

The temporary closure of the worksite, announced Aug. 2 by Mexico’s Federal Attorney for Environmental Protection (Profepa), follows two other high-profile coastal reversals earlier this year.

In May, the Environment Ministry (Semarnat) rejected Royal Caribbean’s Perfect Day Mexico project near Mahahual, Quintana Roo, after Sheinbaum ordered a new environmental review. The proposed cruise destination was planned for about 90 hectares of jungle and mangrove.

Then last month, Semarnat revoked the federal coastal concession for the Las Cocinas luxury development in Punta Mita, Nayarit, citing unauthorized works and environmental violations. The project had included a 145-room hotel and more than 60 luxury residences.

Now, legal action filed by Salvemos Las Dunas (Save the Dunes) and Chuburná Puerto residents seeks a court-ordered suspension of the Las Dunas project while authorities review alleged environmental violations.

State officials said 58,740 square meters of the property — including coastal wetland and federal maritime-terrestrial land — must remain conserved and unoccupied.

They stressed that a state urban-environmental feasibility assessment is not a construction permit; Semarnat holds federal authority over the environmental-impact authorization.

In ordering the total temporary closure, Profepa said its inspectors found clearing and sand movement over 1.3 hectares, or 31% of the authorized land-use-change area, that had damaged protected flora and breached environmental and forestry authorizations. Protected species were present on about half the cleared area, authorities said.

The newspaper La Jornada reported that activists have warned that Las Dunas could threaten protected species including the Mexican sheartail hummingbird and Yucatán wren.

“The dunes represent our identity as Maya people because they have been passed down from generation to generation as a source of sustenance for many families,” Chuburná resident Karen Sosa told the newspaper El País.

The Las Dunas development is represented by Auralux Representaciones and identified by El País as a Designia Desarrollos project. The project would include 138 apartments in 14 towers on roughly 92,000 square meters.

Taken together, the actions on Las Dunas and other projects point to a more visible federal willingness to intervene in contested coastal tourism developments. They do not, however, amount to a formally announced national policy.

With reports from La Jornada, El País and Animal Político

El Jalapeño: New Olinia Carga EV will excel at moving tiny cargo miniscule distances, officials confirm

By
El Jalapeno
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0
The new Olinia Carga will offer innovative solutions for small business owners, per project engineers ... provided their goals are exceedingly modest. (This image was generated using AI tools).

All stories in El Jalapeño are satire and not real news. Check out the original article here.

MEXICO CITY — In a landmark moment for national industrial policy, the federal government officially unveiled the prototype for the Olinia Carga, a Mexican-designed electric vehicle (EV) specifically engineered to move three extremely small items across distances best measured in paces.

The vehicle, which was presented in the courtyard of the National Palace, represents the next evolutionary leap in the administration’s “mini-electromobility” initiative. Designed with total pragmatic clarity, the low-cost pickup aims to revolutionize the micro-logistics sector by transporting light burdens that would otherwise require two moderately assertive people or a very sturdy wheelbarrow.

Perfect for delivering flowers or wheels of cheese across several city blocks, the Olinia Carga has been hailed as a breakthrough for Mexico’s EV sector. (This image was generated using AI tools)

“To design this vehicle, we looked directly at how cargo is actually moved in our towns,” said project director Roberto Capuano, gesturing toward a bed meticulously arranged with three wooden crates of marigolds. “What we saw was a market crying out for something that sits precisely between a heavy-duty motorcycle and walking briskly while holding a box.”

According to official technical specifications, the Olinia Carga features a maximum range of 120 kilometers and can carry up to 650 kilograms, provided the weight is distributed with mathematical perfection and the wind is blowing from behind. A key selling point is the “low trunk” — an empty cavern under the bed made possible by the absence of a traditional engine — which officials noted is ideal for storing folding tables, two spare umbrellas, or a single, carefully folded tarp.

Project engineers confirmed that while the vehicle is capable of reaching a top speed appropriate for a residential alleyway, its primary design achievement is its ability to sit idling outside a neighborhood tiendita without consuming a single drop of gasoline.

“In Mexico, we are proving that we can engineer solutions tailored directly to our exact, hyper-local needs,” Capuano added, noting that a public tender will soon be opened to find strategic manufacturing partners willing to build a vehicle whose primary market advantage is that it fits in spaces where real trucks are strictly forbidden. “We are not just building an electric car; we are building an electric car that can comfortably navigate a Wednesday tianguis without disturbing the fruit stalls.”

The Olinia Carga is expected to go on sale in late 2027 for approximately 150,000 pesos, at which point government officials remain confident it will completely dominate the highly competitive niche of delivering fresh cheese across single city blocks.

Check out our Jalapeño archive here.

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What’s the latest on the security situation in Mexicali?

By
MND Staff
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4
helicopters flying overhead near the State Attorney General’s Office in Mexicali on Tuesday, following an alert issued by the United States
An operation was carried out at various locations in Mexicali, with security forces on the scene and even helicopters flying overhead near the State Attorney General’s Office on Tuesday, following an alert issued by the United States. (Juan Hernández/Cuartoscuro)

The U.S. government issued a security alert late Monday due to a potential “August 25 threat in Mexicali,” but no major security incidents were reported in the northern border city on Tuesday.

The U.S. Mission to Mexico issued the alert, announcing that due to “threat information,” U.S. government activities in, and travel to, Mexicali had been suspended for Aug. 25.

US issues security alert concerning area of Mexicali

The diplomatic mission advised U.S. citizens to “avoid government buildings in Mexicali” on Tuesday and “seek shelter in the event of an incident.” It didn’t specify the nature of the potential threat.

On Tuesday morning, President Claudia Sheinbaum said the U.S. security alert was issued due to the possibility that a criminal group could pose a danger in Mexicali, the capital of Baja California. The criminal group was identified as “Los Rusos,” which is affiliated with the Sinaloa Cartel.

Mexican authorities recently seized a large quantity of fentanyl from a property in Mexicali linked to “Los Rusos,” leading to fears that the criminal group could carry out a retaliatory attack in the city. Journalist Luis Chaparro said in a social media post on Tuesday that he obtained information from the U.S. Drug Enforcement Administration in San Diego that confirmed that the security alert was issued after that agency intercepted “at least one call” in which members of “Los Rusos” spoke of plans to attack buildings in Mexicali occupied by municipal police and the Federal Attorney General’s Office.

No such attacks eventuated on Tuesday, and no major security incidents occurred in Mexicali, located opposite the city of Calexico, California. A Mexico News Daily reader who lives in Mexicali commented on an MND article that the city wasn’t “shut down or impacted in any way” after the U.S. security alert was issued. He wrote that his experience in Mexicali on Tuesday was “business as usual.”

Authorities did bolster security in the city in light of the U.S alert, which was acknowledged and endorsed by the government of Canada. That included increasing surveillance of public buildings and “strategic points” of the Baja California capital, the newspaper Milenio reported. The Baja California-based news outlet En Contraste News reported that there were fewer visitors than normal to public buildings in Mexicali on Tuesday. It also noted that state and federal judicial authorities suspended activities. The border between Mexicali and Calexico remained open.

US Northern Command ‘applauds’ Mexico’s success against ‘Los Rusos’

In a social media post on Tuesday, the U.S. Northern Command, one of 11 “unified combatant commands” of the U.S. Department of Defense, wrote:

“USNORTHCOM applauds the Government of Mexico’s success against ‘Los Rusos.’ Mexico’s whole-of-government commitment to countering cartels is reducing illicit trafficking at the Southern Border. #USNORTHCOM, through @JIATFCC [Joint Interagency Task Force-Counter Cartel], continues to identify, disrupt, and dismantle cartel operations posing a threat to the United States along the U.S.-Mexico border.”

Included in the same post was Mexican Security Minister Omar García Harfuch’s Aug. 20 post to X in which he announced a fentanyl bust — the very bust that U.S. authorities reportedly suspected could lead to a retaliatory attack by “Los Rusos,” a group said to be linked to the “Los Mayos” faction of the Sinaloa Cartel.

In his post, García Harfuch wrote:

“Derived from the exchange of information with @DEAHQ and from intelligence and investigative work by Mexican authorities in Mexicali, Baja California, … [federal security forces] and state authorities carried out an operational action at a property linked to the criminal group known as ‘Los Rusos.’ During the operation, 120 kilos of fentanyl pills, equivalent to more than 4 million doses, a firearm and vehicles were seized. International cooperation, accompanied by the investigation and operational capacity of Mexican institutions, allows information to be translated into concrete results against criminal organizations and their logistical structures.”

U.S. Ambassador to Mexico Ronald Johnson shared García Harfuch’s post to his X account last Thursday.

Above the security minister’s post, Johnson wrote: “Information shared becomes action taken. More than 4 million potentially deadly doses of fentanyl kept off our streets and away from our families. This is what results-driven cooperation looks like: sharing information, acting on it, and putting real pressure on the cartels. That’s the partnership @POTUS @realDonaldTrump and President @ClaudiaShein are driving.”

With reports from La Jornada and Milenio

Bárcena presents bill to put environmental justice at heart of Mexican law

By
MND Staff
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President Sheinbaum and Environment Minister Alicia Bárcena
According to President Sheinbaum, the objective is “to strengthen the capacities of the Mexican state to protect, care for, conserve and restore the environment and natural resources.” (Saúl López/Presidencia)

The Ministry of Environment and Natural Resources (Semarnat) presented an initiative today to reform the General Law of Ecological Balance and Environmental Protection (LGEEPA), which is Mexico’s main environmental legal framework. 

The proposal, spearheaded by Minister Alicia Bárcena, aims to update a regulation created in 1988 in response to new challenges such as climate change, biodiversity loss, pollution, pressure on water resources and conflicts arising from infrastructure, industry and urban development projects.

Minister Alicia Bárcena
As Minister Alicia Bárcena mentioned on Wednesday, Mexico’s environmental protection law has not been updated since 1988. (Saúl López/Presidencia)

Presented at President Claudia Sheinbaum’s Wednesday morning press conference, the bill includes 10 policy principles that seek to prevent and repair ecological damage, protect communities and make economic development compatible with environmental justice and nature conservation. 

According to Sheinbaum, the objective is “to strengthen the capacities of the Mexican state to protect, care for, conserve and restore the environment and natural resources.”

What are the new principles? 

With environmental justice as the bill’s central focus, Semarnat aims to deepen the link between the protection of ecosystems and natural resources with social well-being, citizen participation and respect for the rights of Mexico’s Indigenous, Afro-Mexican, rural and urban communities. 

It also proposes that authorities, in collaboration with private companies, assess the possible ecological consequences of works and productive activities further in advance (currently, a company can request an Environmental Impact Assessment (MIA) at any time prior to the onset of construction), and assume partial responsibility if and when the work causes eventual deterioration. 

Bárcena explained that the reform takes a “proactive” approach by requiring developers of large-scale projects to carry out a strategic environmental assessment over a longer time frame and prohibiting them from fragmenting projects to avoid a comprehensive assessment of their regional impact.

The bill incorporates new tools to address current environmental challenges, including an ecological restoration program, new mechanisms to address climate change and provisions to strengthen the prevention, repair and remediation of environmental damage. 

The plan also includes promoting ecological restoration programs, focusing on rivers, mangroves, coastlines, forest ecosystems and other degraded areas. 

Volunteers clean tar from a Veracruz beach
An oil spill along the western Gulf coast in February of this year prompted a massive community response both to clean it up and prevent similar environmental injustices from occurring in the future. (Greenpeace/Cuartoscuro)

Bárcena said that the enhanced protection of native species will be paramount, including the Mexican wolf, the condor, the blue whale and dolphins. 

Moreover, the law proposes a specific chapter dedicated to those who defend the environment and public goods, incorporating a new platform for “payment for environmental services” (PSA) and facilitating compensation for communities that protect their natural resources.  

Bárcena added that the bill incorporates scientific advances, innovation and new technologies, as well as the recognition of the ancestral knowledge of Indigenous peoples as tools for the protection of biodiversity.

“We cannot do science without recognizing the wisdom of our Indigenous peoples,” Bárcena said.

Overall, the bill proposes that economic development must honor nature’s limits while promoting shared well-being. 

Mexico News Daily

The MND Economy Index™ for June 2026

By
MND Intelligence
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MND Economy Index™ June 2026
In June 2026 — our fourth focus month — the MND Economy Index™ scored 66.9. (Mexico News Daily)

THE MND ECONOMY INDEX™

Providing broad insight into the Mexican economy 
MND Intelligence · Fourth edition

Welcome to the fourth edition of the MND Economy Index™, part of the MND Intelligence™ suite of data products from Mexico News Daily.

The MND Economy Index™ is a 10-pillar, 19-indicator composite index that compiles a broad range of economic data into a single score between 0 and 100, giving Mexico News Daily readers a clear, accessible picture of how the Mexican economy is performing across multiple dimensions.

(Mexico News Daily)

In the inaugural MND Economy Index™ article, published in late May, we not only analyzed the index score — 63.4 out of 100 — but also explained what the index is, why we developed it and how it works. Click here to read (or re-read) those explanations.

In this August edition of the MND Economy Index™ — which uses economic data primarily from the month of June — the index score is 66.9, a decrease of 1.7 points compared to the previous score.

The score for June is above the neutral benchmark of 60, but there is still significant room for improvement.

Before we look more closely at the latest index result, and the index trend in the first half of 2026, here is a short guide to what the overall index score means.

  • 85–100: Exceptional — the economy performing at a high level across nearly all indicators.
  • 75–84: Strong — broad-based performance with only minor areas of concern.
  • 60–74: Above neutral — meaningful strengths, but with notable room for improvement.
  • 50–59: Mixed — passing marks overall, more indicators above benchmark than below.
  • Below 50: Broad underperformance — more indicators below benchmark than above.

The MND Economy Index™ trend between February and June 

The first two MND Economy Index™ scores we calculated for 2026 — both corresponding to the first quarter of the year — were very similar.

The first index score we calculated for 2026 was 63.7, a number derived mainly from economic data for the month of February. The index score declined slightly to 63.4 based on a calculation using data that was primarily for the month of March.

(Mexico News Daily)

While there was little variation in the index score across those two editions, there were some significant changes in individual pillar scores, including the inflation one and the sovereign risk one (see more details here).

In April, we saw the first significant movement of the year in the overall MND Economy Index™ score. In the space of a month, the score rose 4.16 points to 67.55, a clear indication that the Mexican economy was gaining strength. What was particularly encouraging was that the biggest contributor to the increase was the economic growth pillar, as the Mexican economy expanded 2.2% in April compared to just 0.5% in May.

While economic growth moderated to 2% in May, there were encouraging signs in other data related to the Mexican economy for that month, allowing the MND Economy Index™ score to increase for a second consecutive month to reach 68.6.

In June, the MND Economy Index™ declined for the first time since March. Among the reasons why the index score fell in June compared to May were lower annual economic growth and a year-over-year contraction in manufacturing output.

The August edition of the MND Economy Index™ (based mainly on June data) 

As noted above, the MND Economy Index™ score for this August edition — based mainly on data for June 2026 — is 66.9, a decrease of 1.7 percentage points compared to the previous score. Below you will see the score for each of the ten pillars that make up the index, expressed out of 10 to reflect each pillar’s exact contribution to the final composite score.

Pillars are color-coded using a traffic light system: green (a score above 7.5) indicates strong performance; yellow (5.0–7.5) signals decent performance but with room for improvement; and red (below 5.0) flags a pillar that is falling short of its benchmark. Where a pillar score has improved compared to the previous month, an upward arrow appears alongside its corresponding traffic light; a downward arrow indicates deterioration; and a pause symbol denotes no change.

(Mexico News Daily)

As you’ll see below, scores for five of the ten MND Economy Index™ pillars decreased in June compared to the previous month. Scores for four pillars increased while one stayed the same.

🟢 ⬇️ MONETARY POLICY (9.57): 

The score for this pillar declined to 9.57 in June from 9.86 in May. The Bank of Mexico’s benchmark interest rate remained at 6.50% in June after a 25-basis-point cut to that level took effect on May 8. Therefore, there was no change in the interest rate component of the pillar score.

The deterioration in the pillar score was due to an increase in Mexico’s real interest rate in June — i.e., the Bank of Mexico’s benchmark interest rate minus the annual headline inflation rate. The real interest rate in June was 3.13%, a reading 0.43 points above the 2.7% neutral midpoint. The real interest rate in May, at 2.56%, was closer to the neutral midpoint than the reading in June.

Despite the decline in the monetary policy score, this pillar remained the index’s top performer in June 2026.

🟢 ⬆️ INFLATION (9.33):

The score for this pillar increased to 9.33 in June from 9.06 in May.

Inflation eased to 3.37% in June from 3.94% in May, causing an increase in the score for the current inflation component of the pillar.

The score for the pillar component that considers the 12-month forward inflation forecast declined as the Bank of Mexico now anticipates an annual rate of 3.3% in the second quarter of 2027, which, of course, includes the month of June. The central bank previously predicted an inflation rate of 3% in the second quarter of next year.

The increase in the inflation component score was greater than the decrease in the inflation forecast score, allowing the overall pillar score to rise.

The inflation pillar score is poised to improve again in the next edition of the MND Economy Index™ as inflation fell again in July, settling at 3.12%. In addition, the Bank of Mexico is currently forecasting an annual inflation rate of 3.2% in the third quarter of 2027. Therefore, the score for that component of the pillar should increase slightly in our next index.

🟡 ⬇️ SOVEREIGN RISK (7.43)

The score for this pillar was 7.43 in June, down slightly from 7.45 in May.

The score for the sovereign credit ratings component of the pillar remained unchanged in June, as there were no month-over-month changes to the Mexico ratings of Moodys (Baa3/stable); S&P (BBB/negative); and Fitch (BBB-/stable).

The slight decline in the overall pillar score was due to a modest widening in Mexico’s 5-year credit default swap spread. The credit default swap spread was 86.87 basis points at the end of June, up from 86.03 basis points at the end of May. The increase reflected a slight rise in the market-implied cost of insuring against a Mexican sovereign default.

🟡 ⬇️ MANUFACTURING SECTOR HEALTH (6.9)

The score for this pillar declined in June, falling to 6.9 from 7.48 in May.

The exports component of the pillar remained at the maximum score due to a 34.4% annual increase in export revenue in June, well above the 16.7% threshold needed for a perfect ten. Official data shows that 91.3% of Mexico’s export revenue between January and June came from the shipment abroad of manufactured goods.

The decrease in the overall pillar score was due to a 2.4% annual contraction in manufacturing output in June. Manufacturing output also declined in annual terms in May, but the contraction that month was much smaller at 0.1%.

🟡 ⬆️ CURRENCY STABILITY: (6.8)

The score for this pillar rose to 6.8 in June from 6.77 in May.

The standard deviation of daily exchange rate movements increased to 0.49% in June from 0.42% in May, leading to a slight decrease in the score for that component of the pillar.

The increase in the pillar score in June was due to a higher spot rate score. The score for that component increased because the peso weakened against the US dollar in June to trade at 17.50 to the greenback at the end of the month, a depreciation of 0.7% compared to the end of April.

The exchange rate was thus closer to the index’s 19.00 USD:MXN baseline, which is based on the 2025 average rate. This pillar penalizes significant deviation from the 19.00 USD:MXN baseline in either direction, recognizing that a peso that has strengthened too far from this benchmark can erode export competitiveness and reduce the purchasing power of remittances, just as a weakening peso raises import costs.

🟡 ⬇️ INVESTMENT CLIMATE (6.56)

The score for this pillar fell to 6.56 in June from 8.25 in May.

In part, the decline was due to lower — but still strong — annual growth on the S&P/BMV FIBRAS Total Return Index, which tracks the performance of Mexico’s listed real estate investment trusts. The index grew 27.1% annually to the end of June.

The score for the foreign direct investment component of the pillar also declined as the Economy Ministry published data this week showing that foreign direct investment in Mexico increased 2.1% annually in the first six months of 2026. That result is significantly weaker than the 10.4% year-over-year growth recorded in the first quarter of the year.

🟡 ⬆️ EXTERNAL INCOME (6.52) 

The score for this pillar increased in June, rising to 6.52 from 5.53 a month earlier.

Incoming remittances grew 4.2% year-on-year — an increase compared to the 3.8% increase in May.

Thus, the score for the remittances component of the pillar increased. However, the 4.2% annual growth rate is still well below the 16.67% increase required for a perfect score.

The pillar score also improved in June as tourism revenue increased 5.9% annually, a welcome development after a 0.3% year-over-year contraction in May.

🟡 ⬆️ LABOR AND EMPLOYMENT (6.21): 

The score for this pillar increased to 6.21 in June from 6.02 in May. Scores for two of the three pillar components increased, allowing the overall score to edge up.

In June, there was a 2% annual increase in the number of people in formal sector jobs, up from a 1.5% increase in May. Therefore, there was an increase in the score for that component of the pillar.

Nominal wages rose 6.4% year-on-year in June — down slightly from 6.6% in May, but still well above the 3.5% benchmark.

Year-over-year growth in Mexico’s informality rate was only 0.2 percentage points in May, down from an annual increase of 0.3 points in May. In June, 55% of all Mexican workers worked in the informal economy. Lowering that rate is a major challenge for the Mexican government.

🔴 ⬇️ ECONOMIC GROWTH (4.4)

The score for this pillar fell to 4.4 in June from 5 in May.

The decrease was due to a lower annual economic growth rate in June. The annual growth rate in June was 1.7%, according to final data published by INEGI this week, whereas the rate in May was slightly higher at 2%.

While Economic Growth remains one of the index’s worst-performing pillars, the performance of the Mexican economy did improve in the second quarter of 2026 compared to the first quarter. INEGI reported this week that the economy grew 1.4% on a quarter-over-quarter basis between April and June, while the annual expansion was 1.9%. The economy contracted 0.3% in the first quarter of 2026 compared to the previous two months, while annual growth was just 0.4% in that period.

🔴 ⏸️ PRODUCTIVITY (3.2): 

The score for this pillar remained at 3.2 in May after plummeting to that level in April from an already low 4.8 in March.

Data published by the national statistics agency INEGI in June showed that the IGPLE — INEGI’s quarterly productivity measure — increased only 0.1% annually in the first quarter of 2026. That level of productivity growth was significantly weaker than the 0.9% reading in the final quarter of 2025.

An annual productivity growth rate of 0.1% is well below the 1.0% neutral benchmark, and thus, the score for this pillar is very low.

INEGI will publish productivity data for the second quarter of 2026 in early September. We will use that data for the next edition of the MND Economy Index™.

Mexico News Daily

Sheinbaum cheers investment, employment and the peso: Wednesday’s mañanera recapped

By
MND Staff
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0
Increasing FDI flows was one of the data points employed by Sheinbaum on Wednesday to back up the strength of Mexico's economy.
Increasing FDI flows was one of the data points employed by Sheinbaum on Wednesday to back up the strength of Mexico's economy. (Saúl López/Presidencia)

Sheinbaum’s mañanera in 60 seconds

  • 📈 Sheinbaum touts “good economic news”: At her Wednesday presser, the president highlighted record foreign direct investment in the first half of 2026 (US $34.96 billion), record employment of 60 million people, 1.4% quarterly GDP growth and a “strong, solid” peso, while blaming past governments for suppressing wages.
  • 🌎 G20 Summit decision still pending: Sheinbaum said she was invited to the December G20 Summit at Trump’s Doral resort in Miami and believes she “should” attend, but will confirm her attendance closer to the date. A bilateral meeting with Trump isn’t expected until a trade agreement is reached.
  • ☎️ 21 calls with Trump: Sheinbaum noted she’s spoken with Trump by phone 21 times and met him twice in person, at the World Cup draw in Washington and the final in New Jersey.
  • 📵 No treason charge, but no green light either: Asked about Mexican officials collaborating with U.S. authorities on criminal probes for personal benefit, Sheinbaum said she disagrees with the practice, noting Mexico has its own institutions for that. Whether such cooperation counts as treason “depends on the circumstances,” she said.

Why today’s mañanera matters

At her Wednesday morning press conference, President Claudia Sheinbaum took the opportunity to speak about what she described as “the strength” of Mexico’s economy. Sheinbaum focused on the positives, although there are various weaknesses in the economy, including anemic productivity growth and high labor informality.

Also of note at today’s mañanera was the president’s suggestion that she will travel to the United States later this year to attend the annual G20 Summit. Sheinbaum attended the 2024 G20 Summit in Rio de Janeiro, Brazil, shortly after she was sworn in as president, but didn’t travel to South Africa for last year’s event.

While it appears likely that Sheinbaum will meet U.S. President Donald Trump and other world leaders at the G20 Summit in December, a bilateral face-to-face meeting with Trump doesn’t look probable in the near term, even though there are a range of tensions in the Mexico-U.S. relationship, including ones related to security and trade.

The U.S. government announced last month that it had declined to renew the USMCA free trade pact “in its current form” and is currently discussing various trade issues with Mexican officials, including Economy Minister Marcelo Ebrard. Mexico is seeking the reduction — or ideally the elimination — of tariffs that the Trump administration imposed on various Mexican products last year, including steel, aluminum and vehicles.

Sheinbaum touts ‘good economic news’

Sheinbaum told reporters that her team had prepared a “mini-presentation of several pieces of good economic news.”

Among the various economic indicators she presented were:

Sheinbaum said that the peso is among the “strongest and most solid currencies in the world.”

Despite a Q2 dip, first-semester Foreign Direct Investment was Mexico’s highest ever

During her economic presentation, the president also railed against past governments — i.e., those in office before Andrés Manuel López Obrador became president in late 2018.

“They said that if the minimum wage went up there would be inflation; that if the minimum wage went up there wouldn’t be investment; that if the minimum wage went up, the peso would depreciate,” she said.

“In reality, they didn’t want to increase workers’ wages in order to benefit a few [business owners],” Sheinbaum said.

“That’s the truth. Past governments never thought about the people, the workers,” she said.

“It turns out that the minimum wage went up from 2018 to now by 154% in real terms … and we have record foreign direct investment, we have a strong, solid peso and, in addition, there isn’t [high] inflation,” Sheinbaum said.

Mexico’s annual headline inflation rate in the first half of August was 3.26%, up slightly from a 3.12% reading in July.

Sheinbaum considering attending G20 Summit in Miami 

Sheinbaum noted that she was invited to the 2026 G20 Summit, which will be held at the Trump National Doral Miami resort on Dec. 14 and 15.

“It’s in the United States and we’re making the decision about whether to go or not,” she said.

“Mexico has to be present, and President Trump decided to hold the meeting in Miami,” Sheinbaum said.

“In principle, we should go to represent Mexico,” she said before telling reporters that she would make a final decision regarding her attendance closer to the date of the G20 Summit.

In earlier remarks, Sheinbaum said she would attend a bilateral meeting with Trump “when we reach an agreement,” presumably on trade.

“… We talk a lot,” she added.

“I’ve spoken to President Trump by telephone 21 times,” Sheinbaum said, noting also that she met with the U.S. president at the FIFA men’s World Cup draw in Washington, D.C., last December and at the World Cup final in New Jersey in July.

Sheinbaum rejects collaboration between Mexican officials and US authorities on criminal investigations 

A reporter asked the president her view about collaboration between Mexican officials and U.S. authorities on criminal investigations in the United States pertaining to offenses allegedly committed in Mexico.

“What is your position, president, regarding Mexican officials or politicians seeking to collaborate with investigative authorities in the United States or another country for their own benefit?” the reporter asked.

“I don’t agree with that,” Sheinbaum responded. “There are national institutes for that.”

Asked whether a Mexican official’s cooperation with U.S. authorities on a criminal investigation amounted to treason, Sheinbaum responded: “It depends on the circumstances.”

Two of 10 current and former Sinaloa officials accused of drug trafficking by U.S. prosecutors turned themselves in to U.S. authorities in May,  while in a recently leaked telephone call, Baja California Governor Marina del Pilar Ávila said she was willing to cooperate with U.S. authorities, apparently in order to avoid possible criminal charges in the United States and extradition to that country. Ávila was stripped of her U.S. tourist visa last year, but the governor has denied any criminal wrongdoing.

By Mexico News Daily chief staff writer Peter Davies (peter.davies@mexiconewsdaily.com)

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