Feds spring Elba Esther as AMLO looms

On August 8 the Mexican government announced it was dropping charges against former teachers’ union leader Elba Esther Gordillo and the sinister long-time political operator was set free after five years of various types of arrest (for a time-machine return to her sensational bust, please read our blog post from that wonderful day).  The big news came on the same day that Andrés Manuel López Obrador received his official certification as President-elect from electoral authorities, provoking widespread speculation that El Peje had somehow played a role in Gordillo’s release.  The López Obrador transition team responded that the timing was a mere coincidence, causing further arching of eyebrows and sidelong glances.  Gordillo, for her part, announced that she will be making a political announcement on August 20, so local pundits are suggesting she may reveal some sort of collaboration with the new government. Continue reading Feds spring Elba Esther as AMLO looms

Recent and upcoming investment in Mexico

Information collected from media reports over the last month:

  • Wind power: Spanish renewable energy developer Acciona Energía will initiate construction of a wind power generation plant early next year in the northeastern state of Nuevo León, the company reported. The electricity plant is part of an investment program of close to US$1 billion intended to double the company’s current 1,000 Mw generation capacity in the country. (Reforma, July 30, 2018)
  • Food processing: Mexican industrial baking giant Grupo Bimbo is projecting capital investment of approximately US$800 million for 2018, the company reported. Resources will support expanding production capacity and improving the company’s product distribution network.  (El Financiero, July 30, 2018)
  • Electronics: German semiconductor maker Infineon plans to expand manufacturing capacity at its plant in the northern border city of Tijuana, the company reported. The US$40 million expansion will allow the facility to boost output of electronic components for use in the automotive, medical and other manufacturing industries. (Tecnoempresa, July 24, 2018)
  • Aerospace: U.S. aerospace components manufacturer Esterline Corp. announced it will expand one of its four plants in the northern border city of Tijuana. The US$15 million expansion will boost the company’s capacity to produce aerospace electronics and sensor equipment at the site. (Mexico Now, July 23, 2018)
  • Aviation: Mexican low-cost airline VivaAerobus reported plans to invest approximately US$2.5 billion in new aircraft to modernize its fleet. The program includes acquisition of 25 Airbus A321neo and upgrade of 16 A320neo to A321neo models. (Reforma, July 19, 2018) Continue reading Recent and upcoming investment in Mexico

López Obrador transition off and running

Mexico put an end to months of dire warnings, hand wringing and speculation on July 1 with a presidential election that appears to have taken place without large scale violence or tampering.  To recapitulate, leftist candidate Andrés Manuel López Obrador won the election by a wide margin and the losing candidates conceded without delay.  The election was widely covered in the international press so we will not go into the details here.  We would, however, like to offer up some comments from our perspective on what’s happening during the five-month transition period before Mr. López Obrador is set for inauguration as Mexico’s next president on December 1. Continue reading López Obrador transition off and running