Mexican Government Releases "Plan México"

On January 13, 2025, the Mexican government rolled out the Mexico Plan, a collaborative strategy between the federal government and the private sector designed to drive forward Mexico's economic growth over the next six years.

MEXICO PLAN GOALS

In announcing the Mexico Plan, Mexican President Claudia Sheinbaum laid out the core objectives of the long-term plan, which is designed to enhance Mexico's position in the global value chain. They include:

• Rank Mexico among the world's 10 largest economies.
• Attract US$100 billion annually in foreign direct investment.
• Create 1.5 million high-value jobs in advanced manufacturing and key strategic industries.
• Increase domestic sourcing and consumption in priority sectors by 50%.
• Expand national contributions to global value chains by 15% in industries such as automotive, aerospace, electronics, semiconductors, pharmaceuticals, and chemicals.‎
• Boost local participation in public procurement by 50%.
• Encourage the growth of pharmaceutical production and local packaging capability, with a strong emphasis on advanced biotechnology.
• Encourage investments that align with ESG standards.
• Increase access to finance for small and medium-sized enterprises ("SME") by 30%.
• Rank Mexico as one of the world's top five most-visited tourist destinations.‎

Goals by Sector

Automotive and Electromobility

• Increase vehicle production for domestic consumption by 10%.
• Boost local content in vehicles by 15%.
• Manufacture trains and/or their components in Mexico.
• Double the number of dual education programs.

Semiconductors

• Double local supply in the production of equipment.
• Reduce dependency on imports by 10% and replace it with job creation within the sector.
• Double the export value of automotive and related products.
• Relocate US$10 billion worth of available-to-promise operations to Mexico.

Pharmaceuticals and Medical Devices

• Increase foreign direct investment in high-value-added industries.
• Secure US$2 billion in annual investments for clinical research initiatives.
• Boost the production of medical supplies by 15%.
• Initiate a collaborative investment project to produce biosimilars and biogenerics.

Chemical and Petrochemical

• Attain 10% annual growth in the petrochemical sector starting in the third year.
• Revitalize production capacity at the Morelos and Cangrejera petrochemical complexes (located at Veracruz), increasing ethane derivatives output from 250,000 to 520,000 tons.
• Double the volume of investment projects within the petrochemical industry.
• Substitute US$14 billion worth of imports with locally produced alternatives.

Energy

• Increase installed electricity generation capacity by 22,000 MW, prioritizing thermal, solar, ‎and wind energy projects.‎
• Expedite the approval process for self-consumption permits ranging from 0.7 MW to 20 MW.‎
• Develop natural gas pipelines in two states currently without access to this resource.‎
• Establish a FIBRA real estate investment trust to drive investment in energy transmission ‎and distribution infrastructure.‎
• Allocate US$23.4 billion to the energy sector ($12.3 billion for generation, $7.5 billion for ‎transmission, and $3.6 billion for distribution).‎
• Expand natural gas storage capacity twofold.‎

Textile

• Achieve 5% annual growth in sales.
• Increase the national content of finished products by raising local SME supply to replace imports from Asian countries, from 36% to 50%.
• Replace 15% of imported sewing thread with locally sourced alternatives.
• Restore 49,000 jobs in the textile and footwear industries.

Aerospace

• Rank among the top 10 countries in aerospace production value.
• Boost local and regional content in aerospace exports by 10%.
• Design and manufacture components for a national constellation of observation satellites.

Agroindustry

• Increase agricultural financing by MX$30 billion.
• Encourage the creation of cooperatives for packaging, labeling, and export-oriented packing.
• Link export permits to compliance with labor and environmental regulations.
• Double cold-chain storage capacity for export products.

Water

• Commit US$20 billion to water infrastructure projects by 2025.
• Implement sanitation initiatives for various water bodies.‎
• Launch the National Technification Program (Programa Nacional de Tecnificación).‎
• Execute 17 infrastructure projects.‎
• Establish a National Agreement on the Human Right to Water and Sustainability (Acuerdo Nacional por el Derecho Humano al Agua y la Sustentabilidad)‎.

Transportation

• Develop and expand urban mobility infrastructure.
• Enhance connectivity for freight and passenger transportation.

Consumer Goods

• Enhance the national content of cross-sector inputs by 20%.
• Drive a 35% increase in digital payment adoption across retail businesses.
• Elevate the value-added component of exports by 10%.
• Achieve a 25% expansion in consumer goods production.
• Increase public procurement of consumer goods by 40%, prioritizing SME involvement.

MEXICO PLAN—KEY ACTIONS TO BE IMPLEMENTED IN 2025 

• Publication of the Relocation Decree to encourage strategic investment realignment.
• Launch of a Development Bank Fund to support SMEs.
• Issuance of energy consumption regulations and frameworks for private-sector participation in energy generation.
• Introduction of public–private investment schemes for infrastructure projects.
• Collaboration with importing companies to develop local and regional supply chains, aligning tariffs with North America.
• Creation of the IMMEX 4.0 program to modernize and strengthen export manufacturing.
• Public–private investments targeting infrastructure projects.
• Enactment of the National Simplification and Digitalization Law (Ley Nacional de ‎Simplificación y Digitalización) to streamline processes and enhance efficiency.
• Establishment of a monthly progress review platform for key private investments and 100 industrial parks.
• Rebranding and relaunching the "Made in Mexico" (Hecho en ‎‎México) label to promote domestic products globally.
• Signing of an agreement between Banco de México, the Mexican Bankers Association (Asociación de Bancos de México), and the federal government to increase SME financing access by 3.5% annually. 

NEW REGULATORY FRAMEWORK TO BE ISSUED

Decrees

• Relocation Decree (Decreto Relocalización) 
• Development Poles Decree (Decreto de los Polos de Desarrollo)
• Operational Guidelines for Development Bank Programs (Reglas de Operación de Programas de Banca de Desarrollo)

Standards

• National Simplification and Digitalization Law (Ley Nacional de Simplificación y Digitalización)
• Secondary Legislation for the Energy Sector (Leyes Secundarias del sector energético)
• Updates to Mexican Official Standards (NOMs)

Foreign Trade Policy

• Trade Agreements
• Tariff Policy
• Customs Intelligence

INCENTIVES TO DEVELOP THE MEXICO PLAN

Relocation Decree

• Implement immediate depreciation for new investments in incremental fixed assets, with higher rates applied to investments in high-tech, research, and development sectors.
• Introduce an additional 25% deduction on incremental spending for worker training programs in collaboration with educational and research institutions.

Development Poles Decree

• Provide government contributions of land, complete with environmental and social assessments, a master plan, and development programs. This includes fiscal incentives, a special customs regime, and a unified digital platform to ensure greater legal certainty.

Development Banking

• Establish a registry of SME suppliers to promote specialized and scalable supply chains.
  

• Streamline the VAT (value-added tax) and IEPS (excise tax on production and services) Certification process by integrating it into the new Export Manufacturing Program 4.0 under the Ministry of Economy, reducing the time required to launch a new business by 50%.

AIRPORT AND SEAPORT IMPROVEMENT

The following airports are targeted to be developed and expanded, and seaports to be upgraded and expanded.

• Puerto Escondido (Oaxaca)
• Tepic (Nayarit) 
• Tamuín (San Luis Potosi)
• Mexico City
• Manzanillo (Colima)
• Salina Cruz (Oaxaca)
• Coatzacoalcos (Veracruz)
• Ensenada (Baja California Norte)
• Lázaro Cárdenas (Michoacan)
• Acapulco (Guerrero)
• Progreso (Yucatan)
• Seybaplaya (Campeche)
• Veracruz