Amazon Invests in Mexico / Donald Trump’s Inauguration

Amazon Invests in Mexico. Minister of Economy Marcelo Ebrard announced a US$5 billion investment by Amazon to establish a Digital Data Center in Queretaro. According to Ebrard, the investment, led by Amazon Web Services (AWS), is expected to generate over 7,000 jobs annually. The investment was agreed upon during the US-CEO Dialogue framework in October 2024 and will consist of the creation of a digital region. 

AWS plans to contribute to workforce development by training 400 specialists in Mexico to operate the center. In addition, educational collaborations will be established with CONALEP and Tecnológico Nacional de México to prepare the next generation of talent.

Paula Bellizia, CEO, Amazon LATAM, said that beyond the construction of data centers, the project is a bet on Mexico’s economic and digital development. Bellizia said the company’s investment will contribute more than US$10 billion to the Mexican GDP within the next 15 years and generate an annual average of 7,000 new high-qualified jobs. “One way to accelerate the impact on the Mexican economy is through the adoption of artificial intelligence (AI), which we know is a priority for the government of President Claudia Sheinbaum. A recent study indicates that cloud-enabled AI adoption will contribute over US$19 billion to the country's economy by 2030. Productivity gains per worker are estimated to reach approximately US$900 by 2030,” Bellizia noted. 

Bellizia said the data center will allow Mexico to be more competitive and innovative globally, and will make Mexico a digital node and a leader in Latin America. She said this will allow efficiency within companies and governments in the region. 

President Sheinbaum noted the installation of data centers will benefit the economy and support the growth of Mexican companies by providing access to advanced technology. She emphasized that this investment will generate a direct economic impact and foster additional investments in the country.

Medicine Procurement Update. Deputy Minister of Health Eduardo Clark, noted the total medicine requirement is 4.982 billion units, amounting to an investment of MX$338 billion (US$16.4 billion), with a 73% progress reported and offers covering 97.6% of the requested pieces. Deliveries are scheduled between Jan. 14 and 28, 2025 for urgent items, with the rest starting March 1, 2025. For the remaining 3.2% without offers, alternatives are being evaluated. Clark noted the tenders receive high participation, especially from national suppliers. He noted the government received 400 proposals, which doubles the numbers of previous years, which averaged 190 suppliers’ proposals.

ISSSTE Reform Plan. Martí Batres, Director,  ISSSTE, presented reforms focused on four areas: improving healthcare services, prioritizing low-income workers for housing benefits, enhancing pensions and social security, and combating corruption while strengthening financial management. 

Plans include increasing medical personnel, leveling salaries with IMSS, expanding hospital services, reducing wait times, and ensuring medication availability. Batres said housing reforms aim to eliminate requirements, pardon debts, and facilitate the construction of social property. Social security measures include pension adjustments, support for individual loans, and strengthening SUPERISSSTE stores with more products and the incorporation of local suppliers. Financial reforms focus on adjusting high pensions, recovering ISSSTE-owned spaces, and collecting debts from institutions. Batres emphasized the need to update infrastructure, much of which is over 60 years old, and to address the lowest sector-wide wages for ISSSTE medical staff.

Additionally, it was announced that high earners with salaries composed of both a base and complementary income will now contribute to ISSSTE quotas. The contributions will consist of approximately 2.7% from employees and 8.3% from the federal government. 

Donald Trump Inauguration. When asked about her attendance to Donald Trump’s inauguration as President of the United States on Jan. 20, 2024, Sheinbaum confirmed she will not attend. She explained that there is no issue, as the Mexican Ambassador to the United States, Esteban Moctezuma, will represent her at the event.