Mexico Launches Consultation on USMCA Review

The Ministry of Economy will hold a consultation with aerospace companies to define Mexico’s position in the upcoming USMCA review, said Gustavo Cabrera, Director of Aeronautical and Space Industrial Policy.

“The consultation will include most aerospace companies, where situations will be discussed to enrich the chapter that will be defined in the trade agreement,” Cabrera Rodríguez told A21. He said this process differs from previous reviews as “Minister Marcelo Ebrard and the business sector have opened participation in a broader way.”

He explained that the ministry will integrate private sector proposals into an expanded agenda to strengthen the aerospace chapter. “Now there is a broader agenda, where Mexico can have an important participation; what follows is ensuring that proposals align with commercial dynamics,” he said.

Cabrera noted that while the space industry is still developing, it is expanding quickly. He added that Mexico is moving from being a manufacturing country to becoming a supplier, requiring “a new generation of entrepreneurs focused on innovation.”

Regarding the USMCA review, he said the aeronautical and aerospace sectors differ from the automotive industry as “all suppliers are certified, which guarantees the safety of the service.” Companies with these certifications, he added, “will have greater privileges acting as suppliers to major aerospace firms in the United States.”

Industry estimates indicate a cumulative investment of US$22.9 billion in Mexico’s aerospace sector this year. Cabrera also referred to the US government’s revocation of the Delta-Aeroméxico alliance, saying future strategies will focus on shared codes to expand flight coverage.

Luis Lizcano, Executive Director, FEMIA, said USMCA has brought clear benefits since taking effect in 2020. “Thanks to this agreement, the industry has grown at an average annual rate of 10%, well above the national economy,” he said to Milenio.

Lizcano added that the review should address trade operation improvements, especially customs procedures. “Processes can be expedited by using infrastructure with more technology and tools that make product movement more efficient,” he said, adding that overall “the balance is very positive.”

According to FEMIA, 80% of aircraft parts made in Mexico are exported to the United States and Canada, and 20% to Europe. The ministry stated that the consultation aims to identify, from the private sector, “what the benefits of the Agreement have been and in which areas it can be improved.”