Mexico's 1944 Treaty Water Debt Tops 50% as Initial Payment Agreed

Following the December 13 agreement with the US to deliver 249 million cubic meters of Rio Grande water, Mexico still owes over 50%—1,170 million cubic meters—of its 2020-2025 obligations under the 1944 Water Treaty, says Water Advisory Council president Raúl Rodríguez. The deal averts Trump's tariff threats, with more payments planned.

Building on the December 13, 2025, bilateral agreement detailed in prior coverage—which commits Mexico to releasing 249.163 million cubic meters starting mid-December to address part of the deficit—Water Advisory Council president Raúl Rodríguez highlighted the scale of Mexico's accumulated debt. In a MILENIO Televisión interview, he stated that for the 2020-2025 cycle, Mexico owes 1,170 million cubic meters out of the required 2,185 million, exceeding 50%.

This follows former President Trump's threats of 5% tariffs, prompting negotiations. Rodríguez noted the initial payment covers 25-30% of the debt within two months, with the rest to be renegotiated for the 2025-2030 period. He assured that sourcing water from international bodies would spare northern Mexico's agricultural producers, minimizing local impacts and stabilizing cross-border relations without commercial escalations.

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US and Mexican diplomats shaking hands over 1944 Water Treaty map by the flowing Rio Grande, symbolizing resolved water delivery dispute.
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Mexico and US agree on water delivery under 1944 treaty

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Mexico and the United States reached an agreement on December 13, 2025, for the delivery of 249.163 million cubic meters of Rio Grande water, starting next week, following tensions over the 1944 Water Treaty. The deal averts a 5% tariff threat from Donald Trump and addresses the previous water deficit. Mexico maintains it complies with the treaty despite drought in the northern border region.

Building on December's initial accord, Mexico and the US agreed to a minimum annual Rio Grande water supply of 350,000 acre-feet, addressing drought deficits and past shortfalls under the 1944 Water Treaty. The deal follows a call between Presidents Sheinbaum and Trump, with plans for debt repayment and monthly oversight to support border communities.

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The State of Mexico government encourages timely water payments with discounts up to 38% for vulnerable groups in 36 municipalities. It offers 4% off for annual prepayments in March. Users can generate payment forms online and settle at authorized centers.

Marcelo Ebrard, secretary of Economy, stated that Mexico will improve its relative position against the United States due to Donald Trump's announced 10 percent global tariff. The official noted that the average effective tariffs on Mexican exports will drop from 4.1 percent to around 2 percent. Meanwhile, Mexico's inflation rose to 3.92 percent in the first half of February, driven by new taxes and tariffs on Asian imports.

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Mexico's government, led by President Claudia Sheinbaum, is exploring ways to send fuel to Cuba to ease its energy crisis while avoiding U.S. tariff retaliations announced by Donald Trump. Cuba has faced an acute fuel shortage since December 2025, worsened by the cutoff of Venezuelan supplies and U.S. pressures. Cuban President Miguel Díaz-Canel thanked Mexico for its support but expressed regret over the lack of recent shipments.

Mexico recorded a historic inflow of 40,871 million dollars in Foreign Direct Investment (FDI) during 2025, a 10.8 percent increase from the previous year. The Secretariat of Economy noted that this flow positions the country as a strategic destination for global productive capital, despite a 2 percent decline in developing economies. The growth was mainly driven by new investments that rose 133 percent.

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Diego Rivera Navarro, mayor of Tequila, Jalisco, was detained on February 5, 2026, for alleged extortion, corruption, and ties to the Jalisco New Generation Cartel (CJNG). The arrest followed numerous complaints from business owners and citizens, including an attempt to extort 60 million pesos from José Cuervo. Rivera Navarro, from Morena, failed in a federal amparo that might have shielded him.

 

 

 

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