New Order Eases Auto Tariffs / CONAGUA Investments

New Order Eases Auto Tariffs. Claudia Sheinbaum highlighted that this development is “a step forward” and enhances Mexico’s competitive advantage. “With what was published yesterday, our country gains an additional competitive edge. We are seeking greater benefits and more clarity to fully understand the advantages outlined today.”

President Donald Trump signed an executive order on Tuesday aimed at easing the financial burden of US automotive tariffs, according to White House officials. The 25% tariff on imported vehicles remains unchanged. However, the directive exempts such vehicles from additional tariffs on raw materials like aluminum and steel when already incorporated into finished products. Additionally, automakers will be reimbursed for some past tariffs paid on auto parts. A White House spokesperson announced that manufacturers could receive reimbursements of up to 3.75% of the value of US-manufactured vehicles in the first year, decreasing to 2.5% in the second year before being phased out.

CONAGUA Announces Strategic Projects for 2025. Efraín Morales López, Director General, CONAGUA, announced that the agency will carry out 37 strategic projects in 2025, with an investment of MX$30.89 billion.

Over the course of the current administration, the total investment will reach MX$186.57 billion, covering all 32 states and generating 65,000 jobs. The National Modernization Program will receive over MX$7.71 billion in 2025, and more than MX$62.87 billion throughout the administration. The program will focus on modernizing 17 irrigation districts CONAGUA’s priority projects and major infrastructure works will receive MX$22.08 billion in 2025, and MX$122.6 billion across the six-year term. A total of 17 priority projects will be developed.

For river sanitation and restoration, which includes groundwater recharge elimination, rehabilitation of treatment plants, and construction of collectors, MX$1.1 billion will be allocated in 2025, beginning with the Tula, Atoyac, and Lerma-Santiago rivers.

Screwworm Agreement. Claudia Sheinbaum noted that, as part of the agreement with the US government, additional controls are being implemented to prevent the entry of illegal cattle into Mexico. She also emphasized that health testing is being carried out and surveillance measures are being reinforced.

“We are implementing many more controls to ensure only legally authorized cattle enter the country. In addition to the required health tests, we are strengthening oversight.”

This week, the United States warned Mexico that it may reinstate restrictions on imports of Mexican animal products if measures to combat a screwworm are not intensified. The Mexican government said it is addressing the most pressing concerns. However, it is against this being used as electoral fodder in US electoral campaigns. The warning was conveyed in a letter from United States Secretary of Agriculture, Brooke Rollins, to the Mexican government, with a deadline for April 30, 2025.