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News Article

Mass shooting in Texas/Vulcan Materials

By Karin Dilge | Wed, 05/25/2022 - 12:33

Mass shooting in Texas. President López Obrador lamented the death of 19 children and two adults at a Texas elementary school during a mass shooting. The president expressed solidarity with the US government. Many of the victims are of Mexican origin.  

Yesterday, Salvador Ramos, an 18-year-old entered Robb Elementary School in Uvalde, Texas, and opened fire killing at least 19 kids and two adults. Various sources informed that Ramos bought two rifles the day of his birthday and sent pictures to an anonymous Instagram user hours before the attack.

The Mexican consulate in Eagle Pass is providing consular assistance. In a statement, the Ministry of Foreign Affairs emitted a statement saying Mexico´s government “condemns this act of violence that has cost children’s lives and devastated families in a predominantly Hispanic community.”

Vulcan Materials.  President López Obrador reported that after meeting with Vulcan Materials’ CEO, Tomas Hill, the firm’s Calica project in Quintana Roo will remain close and that an alternative proposal is being pursued. The plan is for Vulcan Materials to keep operating in Playa del Carmen without causing environmental damages.

The president said the proposal is being examined and reported that there is an agreement for the company to take what they have already extracted. If an agreement does not take place, López Obrador said he would resort to national and even international courts.

Nevertheless, the US company is already claiming US$1.5 billion (MX$32 billion) from the Mexican State for allegedly not complying with the mining concession and already presented the case to international courts.

The International Center for Settlement of Investment Disputes (ICSID) will be in charge to issue a resolution by 2H22. Albert Jan van der Berg, Court President, ICSID, will determine if the Mexican State violated its obligations under the USMCA. If the court decides it did, , then the judge will establish the compensation.

The legal dispute with the American company started during President Enrique Peña Nieto’s administration but escalated during the López Obrador administration. On May 5, 2022, SEMARNAT shut the company’s operation down completely, arguing that the mine was causing serious environmental damage. Nonetheless, Vulcan Materials reports that in March 2022, it received its routine three-year customs permit, which allowed it to continue operating.

Direct Foreign Investment in 2022. President López Obrador expects 2022 to be the year with the most direct foreign investment (DFI) in the history of the country. He assured that despite the economic crisis originating from the pandemic, the economy is recovering and the Mexican peso is gaining value.

Moreover, he said that Income Tax recollection has had a 17.7 percent increase in relation to the same period last year. In real terms, 7.8 percent belonging to inflation is added, it would represent a 25 percent increase. In addition, the Value Added Tax has increased in real terms by 2.8 percent. In that sense, López Obrador assured that the peso has not presented a devaluation since the beginning of his term and said DFI during 1T22 closed at 6 percent.

 

Click HERE for full transcript in Spanish

The data used in this article was sourced from:  
Milenio, SDP noticias, MBN
Karin Dilge Karin Dilge Journalist and Industry Analyst