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What a Changing NAFTA Could Mean for Doing Business in Mexico

What a Changing NAFTA Could Mean for Doing Business in Mexico
- Multinational companies operating in Mexico are facing a great deal of uncertainty. The possibility of a contentious renegotiation of the North American Free Trade Agreement (NAFTA) has led to delayed or canceled investments in what has been one of Latin America’s most economically stable markets. Mexico’s fast-approaching July 2018 general election, of which the populist leftist candidate Andrés Manuel López Obrador is the current frontrunner, is further making the case for incremental investments by multinationals corporations. While consumer spending has proven resilient, with same-store retail sales rising 6% YOY in April, most multinational corporations are developing contingency plans to mitigate risks to their businesses and reassessing the country’s role in their global market portfolio and supply chains.

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