Mexico Might Face Arbitration Processes From Mining Companies

Two mining companies started arbitration proceedings before the International Center for Investment Disputes (ICID) against the Mexican government. Furthermore, to offset the Chinese presence in Latin American countries, the US government announced an initiative to foster partnerships to harness the region's minerals, which could play a critical role in the energy transition.  

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Arbitration Proceedings Against the Mexican Government
ICSID has recently reported that Mexico has been notified of two arbitration proceedings by mining companies: Silver Bull and First Majestic. The companies have appealed to NAFTA and USMCA, arguing that Mexico is not acting following these agreements.

New Auto Sector Sustainability Requirements Pushing Aluminum Use
Sean Holt, President for the Americas, Sandvik Coromant, highlights the automotive industry's significant shift towards sustainability, leading to a surge in demand for lightweight materials. Aluminum, renowned for its anti-rust properties and malleability, has become the top choice for car manufacturers. As electromobility gains traction, the need for efficient and sustainable components in electric and hybrid vehicles is driving the widespread adoption of aluminum in the auto sector. 

US Interested in Latin American Minerals
The US has announced that it wants to increase its cooperation with Latin American countries to obtain more minerals, especially those critical for the green transition. This follows China’s interest in growing its presence in the region through partnerships with countries like Brazil.

The Challenge for Mining in the Face of Climate Change
Mining faces climate change challenges, involving GHG emissions and environmental impact. Jesús Enrique Pablo-González, Expert in Environmental Impact Soil and Groundwater Pollution, Hoocax, proposes sustainability measures, including regulations and clean technologies. Collaboration among stakeholders is key to promoting responsible mining practices amid climate concerns, he says.
 

Grupo Mexico Posts Profit Rise on Copper Sales
Mining and rail conglomerate Grupo México, one of the world’s largest copper producers, reported on Thursday a 38% rise in its 2Q23 net profit on higher copper sales and solid results from its transportation unit.