This bill was proposed on September 19th, 2024, by Senator Francisco Ricardo Sheffield Padilla (Morena political party). Although Althou it has not yet been approved, considering the political party’s current position, it will likely be approved. This bill will be significant for likely be approve foreign companies seeking to relocate to Mexico (i.e., Nearshoring<\/strong>).<\/p>\n A) National Sub-Registry of Relocated Investments: <\/strong>The creation of a National Sub-Registry for relocation investments, which would be included in the National Registry of Foreign Investments, is proposed. This Sub-Registry would facilitate identifying and monitoring projects involving relocating operations to Mexico.<\/p>\n B) Definition for Relocation:<\/strong> The bill introduces relocation as the “strategy to transfer or partially or totally reposition commercial or technological operations in Mexico<\/strong>.” The precise definition of relocation proposed would be found in Article 2, Section VIII [1] al of the Foreign Investment Law (“FIL<\/span>“), focusing on taking advantage of Mexico’s geographic proximity to highly competitive and product-demanding regions<\/span><\/em>.<\/p>\n C) Obligation to Register:<\/strong> Companies wishing to benefit from the relocation alternative must register with the National SubRegistry<\/strong> (the “Nearshoring Registry<\/span>“) and also submit a detailed project with the Ministry of Economy. This registration obligation is related to Nearshoring and is provided in Articles 17 B [2] and 17 C [3] of the FIL, which regulate the registration process and submittal of the project.<\/p>\n D) Tax Incentives and Support Programs:<\/strong> With the Nearshoring Registry<\/strong>, companies may be eligible to apply for tax incentives and programs designed to promote development in priority regions. The Ministry of Economy will regulate and manage these incentives, in coordination with other agencies. This provision is found in Article 26, Section IV Bis [4] of the FIL.<\/p>\n E) Participation in Strategic Projects:<\/strong> Relocated investments are expected to be aligned with National Strategic Projects that may be key to the country’s development. This is foreseen under Article 17 C of the FIL and reinforced in Article 32 Bis [5] of the same law.<\/p>\n F) Strengthening Value Chains:<\/strong> One of the main objectives of the bill is the strengthening of value chains and promoting the participation of small and medium-sized businesses in these processes. Mechanisms are proposed to improve these companies’ access to ffinancing, technical assistance and process standardization. This proposal is linked to Article 7 [6] of the Federal Law for the Microindustry and Artisan Activity.<\/p>\n G) Reorientation of Labor Competencies:<\/strong> The bill also covers the reorientation of the Labor Competency Systems asa a tool to facilitate the relocation of investments. This involves collaboration between the Ministries of Labor, Education and Economy to reformulate Automotive, Aerospace and Technology Technical Standards. This provision is detailed in Article 145 [7] of the General heral Education Educa Law and Article 153-K [8] of the Federal Labor Law.<\/p>\n H) Customs Reinforcement:<\/strong> Finally, the bill proposes reinforcing customs through the standardization of criteria and the promotion of investments in customs procedures supported by technologies such as artificial intelligence. This bill aims to improve efficiency in managingg foreign trade and is contemplated in Articles 112 [9] and 136 Bis [10] of the Customs Law.<\/p>\n Aside from the obligation for foreign investors to register with the Nearshoring Registry<\/strong> as coined by us, we believe that, in principle, no additional duties or uties or burdens would be imposed that could deter investors. On the contrary, the proposed reform represents an effort to channel foreign investments in alignment with the government’s development plan.<\/p>\n Furthermore, as long as no conditions or restrictions limit investors’ freedom in selecting states or regions Tegions to relocate their industries, this bill can positively impact regional economies. This is particularly true in the Southeast of Mexico, where key infrastructure projects like the Mayan Train are set to play a crucial role in the country future logistics and economic development.<\/p>\n The expansion of rail infrastructure, which includes the construction of 3,000 kilometers of railway tracks and the development of routes such as Mexico-Quer\u00e9taro-Le\u00f3n-Aguascalientes and Aguascalientes-Chihuahua, aligns with President-Elect Claudia Sheinbaum’s “100 Steps to Transform Mexico<\/strong>” plan. This plan outlines critical objectives to improve connectivity and increase transportation capacity. Additionally, the plan to double the cargo transported by rail and rehabilitate existing routes aims to optimize national logistics and enhance Mexico’s overall economic infrastructure.<\/p>\n [1] Article 2\u00b0.-<\/strong> For the purposes of this Law, the following definitions shall apply:<\/p>\n …<\/p>\n IV. Registry: The National Registry of Foreign Investments.<\/p>\n ….<\/p>\n a) National Sub-Registry for Investments destined for relocation.<\/p>\n …<\/p>\n VIII. Relocation: Strategy of outsourcing of services that aims to transfer or reposition, partially or totally, commercial operations or technology from one supplier to another or the same to be relocated in Mexico, for being located geographically close to highly competitive regions requiring products, for the purpose of a better and more efficient commercialization.<\/p>\n [3] Article 17B.-<\/strong> The legal entities whose purpose is to invest in national territory with the purpose of developing projects within the framework of relocation, must be registered as referred to in Article 32 BIS of these provisions.<\/p>\n [3] Article 17 C.-<\/strong> The legal entities referred to in the preceding provision must submit the general project corresponding to the investment to the Ministry, in order to keep the specific investment record and be part of the programs and actions defined by the authority to promote and stimulate development in the priority regions that are part of the relocation model.<\/p>\n [4] Article 26.-<\/strong> The Commission shall have the following attributes:<\/p>\n …<\/p>\n IV. Bis.- The Ministry shall implement actions, programs and strategies for promotion and advantages for carrying out the corresponding registrations. Likewise, it shall design and, if necessary, implement, in coordination with and under the authority of the Ministry of Treasury, the necessary incentives to position the country in this new production model.<\/p>\n [5] Article 32 Bis.-<\/strong> The Register shall have a special section for relocation-oriented projects. The specifications of this section shall be established in the Regulations of this Law.<\/p>\n For the purposes of having the respective registration certificate, foreign legal entities must comply with the requirements set forth in Article 33 of this Law.<\/p>\n [6] Article 7.-<\/strong> The Ministry, with the participation of the other competent agencies and entities of the Federal Public Administration, as well as of the Governments of the States and Municipalities, shall seek the application and oversee compliance with this Law and shall carry out the following:<\/p>\n …<\/p>\n II. Encourage the grouping of micro-industrial enterprises to obtain financing, with special attention to artisans of indigenous peoples and communities, to establish systems of joint sales and purchases of raw materials and products and, where appropriate, provision of subcontracting and maquila services, articulating the value chains to insert them in the development of priority regions and the relocation model;<\/p>\n …<\/p>\n IV. Bis.- Promote and encourage the processes of technical assistance and accreditation in labor competencies to revalue and resize the work of artisans.<\/p>\n [7] Article 145.-<\/strong> The Ministry, by agreement of its head, may establish procedures by means of which certificates, diplomas or degrees are issued to those who accredit the partial knowledge respective to a certain school grade of basic education or terminals that correspond to a certain educational level, acquired in a self-taught manner, from work experience or through other educational processes, promoting the system of labor competencies in coordination with the Ministry of Labor, and inserting in the programs of standards special projects to articulate regional development, the new model of relocation, specialization in the areas of innovation, technology and the new digital era as mechanisms of marketing and production within the framework of competitiveness with a human perspective and shared prosperity.<\/p>\n [8] Article 153-K.-<\/strong> The Ministry of Labor together with the Ministry of Economy, will summon the employers, unions, workers and academic institutions to constitute the National Committee of Agreement and Productivity, which will have the character of a consultative and auxiliary body of the Federal Executive and the productive plant.<\/p>\n The National Committee of Agreement and Productivity will meet at least every two months and will have the authorities listed below:<\/p>\n VII. To propose to the Ministry of Labor the issuance of technical standards of labor competence and, if applicable, the procedures for their evaluation, accreditation and certification, with respect to those productive activities in which there is no specific standard, as well as to formulate those necessary to link the development of companies with the human factor, in priority regions or new models of productive growth such as relocation;<\/p>\n VIII. Bis. In connection with the provisions herein, the Ministry of Economy shall formulate a special program to position the accredited human resources and the accredited specialty areas, within the framework of the actions for the promotion and development of the country in the international forums and fairs in which it participates.<\/p>\n [9] Article 112.-<\/strong><\/p>\n …<\/p>\n Likewise, the maquiladoras or authorized companies that are part of the relocation program shall benefit from the measures indicated in the preceding paragraph and other foreign trade measures determined by the Ministry in coordination with the Ministry of Economy, considering the productivity and competitiveness factors determined within the framework of shared prosperity.<\/p>\n [10] Article 136 Bis.-<\/strong> The programs that the Ministry, prior opinion of the Ministry of Economy, considers within the relocation model may benefit from the incentives and benefits established for such purpose, contemplating for such purpose the priority projects of the federal government and which are registered in terms of the FIL.<\/p>\n","protected":false},"excerpt":{"rendered":" Background This bill was proposed on September 19th, 2024, by Senator Francisco Ricardo Sheffield Padilla (Morena political party). Although Althou it has not yet been approved, considering the political party’s current position, it will likely be approved. This bill will be significant for likely be approve foreign companies seeking to relocate to Mexico (i.e., Nearshoring). […]<\/p>\n","protected":false},"author":3,"featured_media":2009,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-1841","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-otros"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/posts\/1841","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/comments?post=1841"}],"version-history":[{"count":7,"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/posts\/1841\/revisions"}],"predecessor-version":[{"id":3768,"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/posts\/1841\/revisions\/3768"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/media\/2009"}],"wp:attachment":[{"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/media?parent=1841"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/categories?post=1841"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.ibarrapg.com\/es\/wp-json\/wp\/v2\/tags?post=1841"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Analysis and Key Points of the Bill<\/h4>\n
Conclusions<\/h4>\n
\n