Mexico, Walmart to Develop First Circular Economy Hub in Mexico

The Ministry of Environment and Natural Resources (SEMARNAT) and Walmart de México y Centroamérica signed a letter of intent to support the creation of Mexico’s first Circular Economy Development Hub for Well-Being (PODECIBI) in the state of Hidalgo.

The agreement was formalized during Summit Empresa Regenerativa 2025 (Regenerative Enterprise Summit 2025) and seeks to advance the development of the Hidalgo Circular Economy Park (PECH), the first facility of its kind in the country. The project will focus on processing organic and recyclable waste to convert it into new raw materials and reintegrate them into production cycles, reducing the volume of waste sent to landfills.

José Luis Samaniego, Deputy Minister of Sustainable Development and Circular Economy, SEMARNAT, said Walmart’s participation is key to making the project viable and highlighted the importance of private-sector collaboration in advancing Mexico’s circular economy goals.

“This agreement moves the Hidalgo Circular Economy Park from being a project on paper to becoming an increasingly tangible reality. Walmart’s commitment demonstrates that the private sector and government can work together to build a new model of sustainable prosperity,” Samaniego said.

Walmart will contribute to the hub by supplying waste from its distribution centers and developing logistical models to optimize its reuse within the PODECIBI. The company currently promotes separation, reuse, and recycling of waste in more than 3,000 stores across Mexico as part of its global strategy to become a regenerative company.

“Every day, we drive waste separation and recycling in our stores, and this project takes us a step further in our commitment to environmental responsibility,” said Cristian Barrientos, Interim Leader, Walmart de México y Centroamérica.

Kath McLay, President and CEO, Walmart International, said the agreement reflects Walmart’s broader sustainability goals. “We want our footprint to be one of regeneration, not depletion. This agreement with SEMARNAT allows us to move forward together toward that goal,” she stated.

María José, Director, WWF México, also participated in the event, highlighting the importance of multi-stakeholder collaboration to address challenges related to climate change and biodiversity conservation. The PODECIBI project aims to create a scalable model where waste is transformed into opportunities for innovation, economic development, and sustainability in Mexico.