Lower House Approves Customs Law Overhaul

The Finance and Credit Commission of Mexico’s Lower House approved a bill amending the Customs Law, increasing sanctions and broadening the duties of customs brokers. Carol Antonio Altamirano, Chairman, Finance Commission, noted that five modifications were made to the executive’s original proposal, which he said “strengthen and improve the initiative.”

The measure received 31 votes in favor from Morena, the Labor Party (PT), and the Green Party, while 12 deputies from PAN, PRI, and Citizen Movement (MC) opposed it. The bill will now advance to the full chamber for debate and a final vote. 

The reform introduces several modifications affecting key aspects of customs operations in Mexico, including making brokers legally responsible for imported or exported goods. Its goal is to combat common illegal practices, such as smuggling or under-invoicing, aimed at evading taxes. 

The reform establishes a Customs Council to oversee the issuance of licenses, authorizations, renewals, and sanctions for brokers and agencies. It removes clauses that previously exempted brokers and agencies from liability and clarifies the causes for suspension, cancellation, or revocation of licenses. The law strengthens oversight of strategic customs facilities and increases penalties for allowing goods to leave without paying taxes. Additionally, it authorizes customs authorities to implement IT and digital data agreements with the Digital Transformation and Telecommunications Agency to improve technological management and data analysis.

Among the new revisions, customs broker licenses will now last 20 years instead of the 10 originally proposed, with the possibility of renewal for an equal period. 

Opposition deputies argued they would vote against the bill, citing potential negative impacts on Mexico’s international trade and the lack of measures addressing the root causes of malpractice in customs, such as tax fraud. Patricia Flores, Deputy, Citizen Movement, expressed concern that while the initiative increases controls on brokers and agencies, it fails to include mechanisms to audit the authorities themselves.