MI’s Mexico Foreign Press Chatter – July 4, 2025

July 4, 2025
8:19 am

Cartels and their wide-ranging implications once again dominated headlines. On the matter of US sanctions against Mexican banks, Bloomberg provided a behind-the-scenes overview, detailing how Mexican authorities were first alerted in April about the investigation. President Sheinbaum is said to have asked for more time before the US took action, to no avail, with dire consequences for the accused: ‘It’s a complete cessation of business. It’s a death sentence’, said former US Treasury official and diplomat Kevin Carr.

Meanwhile, the NYT had a well reported story from the ground in Sinaloa, delving into the grim situation of Los Chapitos in their ongoing battle against Los Mayos. According to sources, Los Chapitos are exploring an alliance with the Jalisco Cartel, a ‘sea change’ that would be bound to ‘ignite several major regional wars between competing groups’. For its part, Reuters reported how in 2018 a Sinaloa Cartel hacker obtained an FBI official’s phone records, which allowed the cartel to locate and kill informants in Mexico City. The Guardian also covered ongoing violence in Sinaloa and Ciudad Juárez.

On the political front, the Financial Times reported on the recent ‘nine-day legislative blitz’, including the approval of controversial security measures but also new competition and telecom regulators. Despite a stronger state, observers point out that ‘[Sheinbaum] has far less control of her party than her predecessor did — and has to work to keep it unified’.

Business news was mixed: on the positive side, Reuters reported the U.S. Department of Agriculture announcement of a ‘phased reopening’ of cattle imports from Mexico after a prolonged closure over a screwworm pest. Also, fintechs Klar and Plata were able to raise funds through a Series C round and an unsecured bond, respectively. On the other hand, Chinese carmaker BYD announced it has cancelled plans for a plant in Mexico given the uncertainty on tariffs. Bloomberg also covered the rise in cargo theft on Mexican roads, with the country now listed as the worst in the world in terms of the number of thefts relative to the size of the economy. Rising exports of higher value are seen as part of the explanation – along with general impunity and a poor security strategy that is only gradually changing under President Sheinbaum.

Shifting gears, the NYT profiled Arturo Salgado and his family, renowned Oaxacan artisans who have mastered the intricate tradition of silver filigree jewelry across three generations. Working from their home workshop, the Salgado Téllez family handcrafts each piece with devotion, preserving a fading cultural art form that blends heritage, skill, and familial unity.

Lastly, on this week’s MexMoves, Damian and Eduardo speak with Ricardo Cacho, a lawyer at top Mexican firm Von Wobeser y Sierra to unpack the fallout from U.S. sanctions on CI Banco, Intercam, and Vector. They also discuss more news from fintechs Klar, Plata, and Nu; BYD freezing Mexico plans; Giant Motors’ JAC Mexico EV bet; and Mexico’s cargo theft crisis. You can listen to it here.