Interoceanic Corridor/Fentanyl Crisis

Interoceanic Corridor. Oaxaca Governor Salomón Jara stressed that the Interoceanic Corridor will increase economic activity in the state. He thanked President Andrés Manuel López Obrador for taking looking after the state through various initiatives. 

The Interoceanic Corridor will benefit the surrounding communities by providing them with mobility alternatives, according to the government.  As a part of the corridor’s construction projects, the government started the modernization of 459km of railway, which includes Line K, used to connect Ciudad Ixtepec, Oaxaca and Ciudad Hidalgo, Chiapas. Authorities did not detail the amount of investment the project would require but said the project consists of the construction and refurbishment of 12 main stations and 15 minor stations. 

The Interoceanic Corridor aims to boost Mexico’s logistic capabilities and allow the country’s transportation sector to compete with major players like Panama. However, according to Gene Towle, Executive Partner at Softec, the government expects immediate results, nevertheless, it could take up to 10 years to develop, reported by MBN.

Tesla in Mexico. President López Obrador said that during his conversation with Tesla´s CEO Elon Musk, they discussed the arrival of new investments. In addition, he said that Musk recognized Mexican workers for their effort, skills and ethics.

Global electric car manufacturer Tesla chose Nuevo Leon to build its Gigafactory, which will count on having an initial investment betweenUS$800 million and US$1 billion. 

The Gigafactory will produce components for the company's current vehicle models. However, it could later develop new models at a lower cost compared to other car factories. 

Foreign Affairs Minister Marcelo Ebrard said that Musk visited three Mexican states to find the best location to build a new factory. In October, Musk visited Nuevo Leon and met with Governor Samuel García and US Ambassador to Mexico Ken Salazar to discuss plans and prospects.
 

Fentanyl crisis. López Obrador said that in the Sierra Norte de Oaxaca there is no health crisis caused by the consumption of fentanyl. He assured that it is in the US where there is a serious consumption problem among young people.

The fentanyl crisis represents one of the most critical healthcare issues for both Mexico and the US and has been a key discussion topic for both countries. According to the Drug Enforcement Administration (DEA), Fentanyl is a synthetic opioid considered 30 to 50 times stronger than heroin and 50 to 100 times stronger than morphine. In 2021, there were approximately 70,000 deaths in the US related to fentanyl. In 2022, fentanyl deaths accounted for 66 percent of drug-related deaths in the US. While the price of fentanyl is at its lowest point, its consumption is increasing in Mexico and in the US, according to authorities.