US Labor Department funds enforcement of labor laws in Mexico

The US Department of Labor announced over $23 million in funding to strengthen labor law enforcement in Mexico. This initiative aims to ensure compliance with the US-Mexico-Canada Agreement (USMCA) labor provisions and benefit both workers and US businesses. The projects will focus on key sectors that directly compete with American industries.

The US Department of Labor has allocated over $23 million in funds to support the enforcement of labor legislation in Mexico. Of this amount, $15.4 million goes to Partners of the Americas, a nonpartisan organization with over 60 years of experience in programs promoting safety, health, prosperity, and resilience in the United States and its neighbors. Another $8 million is designated for Creative Associates International, which has operated in more than 100 countries since 1977, specializing in complex environments.

Administered by the Office of International Labor Affairs (ILAB), these projects target labor practices that suppress wages, distort competition, and give unfair trade advantages to bad actors, at the expense of US workers. The goal is to enforce the labor provisions of the United States-Mexico-Canada Agreement (USMCA), negotiated during Donald Trump's first administration, and hold Mexico accountable for its commitments.

The initiatives focus on key USMCA sectors in Mexico that directly compete with US companies, advancing Trump's trade agenda. This investment aims to balance trade so it benefits both nations equitably.

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Diverse North American trade experts in tense discussion over T-MEC review challenges, with symbolic icons of energy, labor, migration, and protectionism issues.
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Experts warn of challenges in the 2026 T-MEC review

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The 2026 review of the Mexico, United States, and Canada Agreement (T-MEC) is shaping up as a complex process fraught with uncertainty, according to experts. The event will define commercial certainty for North America, with risks of U.S. protectionism and potential structural changes. Mexico faces challenges in sectors like energy, labor, and migration.

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Mexico's Secretary of Economy, Marcelo Ebrard, announced that the country's investment portfolio has grown to 406.8 billion dollars, a historic record driven by new projects across the 32 states. At the First National Investment Promotion Meeting, businesswoman Altagracia Gómez emphasized the goal of reaching 25% of GDP in investments by 2026, as part of the Plan México.

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Mexico gears up for a pivotal 2026 in its economy, with potential in investment and mergers and acquisitions, but regulatory uncertainty poses risks. While nearshoring provides structural advantages, the local transaction slump contrasts with recovery in the United States. Experts emphasize the need for certainty to draw global capital.

A group of 75 Democratic US lawmakers sent a letter to Secretary of State Marco Rubio on January 9, 2026, firmly opposing any unilateral military action against cartels in Mexico without the Mexican government's consent. They warned that such a move would violate Mexico's sovereignty, destroy bilateral cooperation, and have severe economic and security repercussions. The letter responds to recent statements by President Donald Trump about attacking cartels on the ground.

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The Mexican Employers' Confederation (Coparmex) has warned that 31 out of 32 states plan tax increases or new levies in their economic packages for the coming year. This could hinder the growth of micro, small, and medium-sized enterprises and undermine national competitiveness. The business group calls for greater transparency and efficiency in public spending before implementing such measures.

 

 

 

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