- The US is demanding positions and China is strengthening its presence in our country.
- Hardening and crack of electrical counter-reform.
CDMX. April 7, 2022. Jorge León Orantes, expert in Mexico, China, US relations at the law firm Santamarina and Steta, predicted a readjustment of trade positions between these countries that will place Mexico in a favorable business position, based on the trade restrictions resulting from the Russia-Ukraine war. “We already saw how a lot of money from investors became available after the cash injections that the governments of several countries applied to companies due to the pandemic. This made such investors look to Mexico as a safe place to establish their supply lines. Now, beyond the military events, the ideological pressure of the Cold War confirms the need for Mexico to consolidate itself as that opportunity. Diplomatic demands to take a position with Russia are leaving a clearer geopolitical panorama for business strategists,” said.
The specialist noted that Chinese investors are establishing supply lines in Mexico every day, larger and more frequent, because they do not expect a change in the US position against them. This is how they see our country as their natural gateway to the North American market.. “We are seeing the first of many. It is something that we can already consider a trend. The Chinese are betting on the USMCA via Mexico. Now more so, because they see that the United States is increasingly demanding greater certainty and asserting its rights as partners of our country,” clarified.
Jorge León Orantes added that the situation will become much clearer when the pressure on the Court regarding the unconstitutionality or not of the reforms to the Electricity Law decreases. The Mexican government is hardening its position, but it could be expected that after the current situation, it will make room for diplomatic negotiations with the North American giant. “Various political analysts are pointing this out. We can think that a dignified and very convenient way out is coming for Mexico, especially if a climate of rule of law is confirmed, which many investors are waiting for.”He said.
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