Mexico is constantly in the news because of the issue of immigration, which tends to eclipse good news stories from our neighbor to the south.
This week, attention is on the Supreme Court decision to let federal agents cut razor wire erected on the border — a win for the Biden administration at a sensitive time.
An estimated 300,000 migrants were apprehended along the southern U.S. border in December — a record-breaking number that has strained shelters and cities and ratcheted up political pressure on the White House. Texas Gov. Greg Abbott, who is at odds with the administration, has even gone so far as to institute his own border policy.
The Biden administration contends with the immigration crisis daily, and Congress has linked immigration to assistance for Ukraine.
But Mexico is more than just an immigration story. From Cabo to Cancun, modern resorts to ancient ruins, corruption to crime, so much happens in this country to our south.
By way of background, Mexico is not a tiny country. The Mexican government officially lists the country’s area at 1,964,375 square kilometers. That equates to just over 758,449 square miles. With a population of 128,972,543, it is the third-largest country in Latin America.
The Mexican economy is vital to America, given that Mexico is our largest trading partner — surpassing China. Mexico is among the 15 largest economies in the world and the second-largest economy in Latin America. Bilateral trade between the America and Mexico in the first few months of 2023 represented over 15 percent of all the goods exported and imported by the U.S.
As global supply chain issues mounted during the pandemic, Mexico positioned itself as a pivotal hub for companies “nearshoring” to find cheap labor and available talent. Even India is now basing companies in Mexico. And according to Freightwaves, which monitors supply chains: “One of the largest nearshoring projects headed to Mexico will be Tesla’s $5 billion automotive factory in Monterrey, which is scheduled to be completed within the next two years.”
The economic outlook for Mexico this year is good, with higher consumer spending, estimated economic growth of 3 percent, and higher minimum wages for workers. Consumer demand for Mexican products and services remain high, with a solid investment environment from the United States-Mexico-Canada Agreement (USMCA).
Tourism to Mexico continues to show strength — up to 17 million visitors this year. The increase in tourist flows in 2023 represented an important milestone in the recovery of the country’s tourism sector, ensuring growth of about 6 percent compared to the same period in 2022, when 16.3 million tourists arrived in the country.
Sadly, Mexico has both wonderful attributes and negative, such as the production and distribution of fentanyl.
The Biden administration has been pressing Mexico to conduct more raids on active drug labs to crack down on trafficking; the U.S. Drug Enforcement Agency (DEA) reports that fentanyl is the leading cause of death for Americans between the ages of 18 and 45. In addition, the administration is urging Mexican President Andrés Manuel López Obrador to reduce the number of migrants showing up at the Mexican side of the border.
Mexico’s policies and politics could change — 2024 is a major election year. Voters will choose a new president, all 628 members of Congress and nine state governors, totaling more than 20,000 local and legislative positions. Most interestingly, the June 2 election could produce Mexico’s first female president, with both the ruling Morena party and the main opposition coalition fielding women presidential candidates.
And now Mexico has its own demands of the United States, asking for an investigation into how certain deadly guns are getting into Mexico and falling into the hands of drug cartels. Working closely with Mexico on coordination of efforts to stop smuggling, drugs and illegal crossings is critical.
Republicans would like Biden to re-instate the “Remain in Mexico” policy that required certain migrants to wait for their asylum hearings in Mexico. Others argue that the focus should be on solving the root causes of immigration by providing resources to other countries like Guatemala, El Salvador, Nicaragua and Venezuela.
We tend to judge nations harshly, based on stereotypes. In the case of Mexico, that would be wrongheaded. It is in our best interest to help Mexico reach its potential.
Tara D. Sonenshine is senior fellow at the Fletcher School of Law and Diplomacy at Tufts University.
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