Investment portfolio in Mexico totals $298 billion

The Mexican government announced that it currently has a multi-year investment portfolio totaling $298 billion, comprising 1,937 projects registered in the country's 32 states, with the goal of generating employment, boosting economic growth, and facilitating the establishment of new industries. This was announced by Secretary of Economy Marcelo Ebrard.

During President Claudia Sheinbaum's morning press conference this Thursday, the official explained that this initiative, which the president has been requesting for nine months, has three key objectives: to identify investment projects with a high economic impact and job creation; to understand the needs for these investments to be successful; and to coordinate government agencies and institutions to remove obstacles and facilitate their implementation.

"The total investment amount we have registered today is $298 billion, which represents approximately 16% of the country's Gross Domestic Product (GDP). No projects have been canceled," Ebrard Casaubón emphasized.

The Minister of Economy added that 446 of these projects face specific challenges related to issues such as water, the environment, energy, and infrastructure, and that they are already being addressed so they can advance at the same pace as the rest.

The secretary mentioned that the projects are distributed across all states, although Baja California, Nuevo León, and Sonora stand out for the number of registered investments. The industries involved include manufacturing, energy, water, and gas, among others.

Last year, gross fixed capital formation in Mexico was equivalent to 24.2% of GDP, the highest ratio in the last 30 years. However, this did not prevent output growth from slowing to 1.5%, from the 3.2% growth it recorded in 2023.

Marcelo Ebrard affirmed that Mexico's attractiveness for investment remains within the framework of the United States' tariff policy, as it has the best comparative advantages to date, emphasized Marcelo Ebrard, Secretary of Economy.

The higher tariffs on imports from 57 countries or jurisdictions, ranging from 11 to 50 percent, were scheduled to take effect on April 9, but were suspended almost immediately for 90 days for all countries except China.

But the United States imposed a minimum tariff of 10% on all imports, and sectoral tariffs of 25% on steel, aluminum, and autos remain in place.

“The question now is: Where is it more expensive to export to the United States from? Because you're going to have to pay those tariffs. So, if you make a cut today (...) does Mexico have a better situation? Or is it cheaper to export from Mexico than from the rest of the world? You might ask, well, why is that? It's true that we have tariffs on steel and aluminum, like all the others, but that's 3% of Mexico's exports. 77% don't have tariffs,” Ebrard said.

He then added: “Everyone else has tariffs. 10, 20, well, 200 or so percent. So, they're called comparative disadvantages. Because then the question is: who is it less expensive or cheaper for to export to the United States? Who has the least disadvantage? It's a system of relative comparison; you have to compare yourself with others.”

Grupo Modelo will invest $3.6 billion

One of the investments registered in the Ministry of Economy's portfolio is Grupo Modelo, which this Thursday announced a $3.6 billion investment in Mexico during the 2025-2027 period. This was announced by Raúl Escalante, the company's Vice President of Corporate Affairs.

“Today we proudly renew our commitment to the country. Grupo Modelo has been part of Mexico's history for a century and will continue to be so,” said Escalante, who noted that this investment is aligned with the federal government's so-called “Plan Mexico” to foster economic development with social justice and sustainability.

The investments will be allocated throughout the country, but particularly in the states where the Group's plants are located, such as Zacatecas, Mexico City, and Coahuila, as well as in southeastern Mexico, in Tuxtepec, Oaxaca, and Hunucmá, Yucatán.

During the morning press conference, he explained that the investment will focus on modernizing its breweries and factories to reduce water consumption.

Escalante Martínez stated that, in the last decade, Grupo Modelo reduced the water needed to produce beer by 30% and ceded 20 million cubic meters of concessions to the National Water Commission (Conagua).

In addition, it will boost the circular economy by increasing the use of returnable packaging and glass recycling programs, and will support the 300,000 small shops that sell its products with technology, credit, and infrastructure improvements.