AGP Executive Report

USMCA Trade Talks: Mexico’s President Claudia Sheinbaum says her “very positive” call with Donald Trump is driving progress toward a Mexico-U.S. deal, with next USMCA review meetings set for Sept. 28-29 in Washington. Energy Costs in Mexico: A Mexico-focused report says annual power outages in Baja California cost about $400M, with blame often misdirected at CFE while grid operator CENACE is cited as the key driver. Border Crime Pressure: In San Diego, federal prosecutors filed 132 border-related cases this week, including fentanyl and cocaine importation charges tied to the U.S.-Mexico corridor. Drug Enforcement: NDLEA says it arrested a Mexican meth kingpin in Lagos and dismantled industrial labs, underscoring cross-border cartel networks. Local Recognition: Mexico’s consulate in Calexico awarded the 2026 Ohtli Award to Líderes Campesinas for advocacy for Mexican agricultural workers in California. Business & Investment: A new wave of private-equity-backed catalog deals is targeting indie music, raising concerns about pressure on smaller labels.

USMCA & Tariffs: Mexico’s Claudia Sheinbaum says talks with Donald Trump on cutting tariffs are “advancing” after a new call, with hopes for at least reductions on steel, aluminum and autos ahead of further negotiations. Border Economy: Texas officials report early results from Laredo’s three-strikes bridge toll policy, showing fewer commercial U-turns and higher collected fines. Cross-Border Business: The Pharr EDC convened U.S.-Mexico leaders for a Heritage Business Roundtable focused on binational collaboration. Trade Talks Need Certainty: Interlink Trade Services’ Jorge Torres says the next U.S.-Mexico negotiation round could give businesses clearer USMCA continuity. Infrastructure & Security: The Trump administration has begun building a border wall in Big Bend, Texas, while Texas also announced $7.5B in federal reimbursements for border security spending. Public Health: Florida confirmed a dengue death amid its worst surge in decades, underscoring rising mosquito-borne risk. AI Spending Watch: OpenAI projects cash burn near $280B by 2030 as it ramps up computing and infrastructure.

Mexico-US Trade Talks: Trump and Sheinbaum signaled movement on U.S.-Mexico trade talks, with a deal appearing “imminent” ahead of late-September negotiations. Energy & Infrastructure: Mexico’s Pemex production reportedly drew internal reprimands after a summer dip, while CFE plans a major 2.87 billion-peso power grid investment in Baja California Sur. Security & Crime: Mexico uncovered suspected cartel-linked crypto mining farms in Puebla and seized 300 GPUs in another operation, underscoring how criminal groups are monetizing digital infrastructure. Agribusiness & Food Costs: A Mexico-to-Belize potato price probe highlights huge spreads from purchase to retail, raising questions about freight, pricing, and quality along the supply chain. Capital Markets: Aura Minerals secured a $200M syndicated loan facility to fund supplier payments and production expansion. Retail & Consumer: Rejuvenation opened a new Dallas store, while guacamole demand keeps climbing, with the market projected to hit $686.2B by 2033. Corporate Leadership: The Greenbrier Companies named Brian Comstock as next CEO and president after Lorie Tekorius’ retirement.

Peso Watch: The Mexican peso slid to 17.24 per dollar after the U.S. Fed’s rate hike, extending a week-long drop and pressuring cross-border costs. Energy & Industry: Sources say President Claudia Sheinbaum reprimanded top officials after Pemex production fell this summer, as Mexico leaned more on costly fuel imports. Trade & Investment: A brief on USMCA’s review flags a gap in investment screening coordination between Mexico and the U.S., arguing better alignment could cut barriers for sectors like autos and metals. Logistics: Estes Express Lines plans nearly $56M to expand cross-border and offshore freight capacity, including growth serving Mexico. Legal/Restructuring: TV Azteca filed Chapter 15 in the U.S. to recognize its Mexican reorganization and protect it from New York litigation. Security: U.S. Coast Guard and FBI boarded two vessels after suspected cyber compromises, raising concerns about foreign cyber actors. Business & Culture: JAS mocktails added Central Market and Whole Foods/H-E-B listings, expanding a Latin functional drinks brand.

Fintech Leadership: Kueski named Jordan Olivier as CFO to strengthen its financial strategy as it scales Kueski Pay and expands digital credit in Mexico. Food & Delivery: Costco is expanding grocery delivery nationwide via Uber Eats and DoorDash, adding more convenience for shoppers across the U.S. Corporate Finance: Apollo is exploring strategic options for floating LNG operator Energos, with a deal potentially valuing the business at over $3 billion. Trade & Tariffs: The U.S. escalated its trade fight with Canada by banning certain Canadian dairy, alcohol and motorcycle imports and tightening procurement rules. Remittances: IFAD data shows remittances to low- and middle-income countries are holding up despite tougher immigration enforcement, with Mexico leading inflows. Security & Border: U.S. Border Patrol is studying a possible new station near Sonoita, raising concerns for nearby Elgin Elementary. Sustainability Innovation: Aduro was invited to present at PepsiCo’s Sustainability Innovation Hub in Mexico City, focusing on chemical recycling for complex plastics.

US-Mexico Trade Tension: The U.S. is pressing Mexico to tighten rules of origin for AI hardware under USMCA, aiming to limit Chinese “rerouting” via Mexico by requiring a higher share of North American components in semiconductors/servers. Corporate Restructuring: TV Azteca filed for a Chapter 15 proceeding in the U.S. to recognize and organize its Mexican concurso mercantil, letting U.S. creditors participate and protecting assets while it restructures. Security & Drugs: Mexico arrested an alleged cartel logistics operator tied to synthetic-drug distribution in Seattle-Tacoma, seizing fentanyl pills and meth during an intelligence-led operation. Digital Business: Meta launched WhatsApp Business Tools MCP, letting AI coding agents set up WhatsApp Business accounts and manage Cloud API access through conversational commands. Energy Risk: JD Vance warned that a U.S. pullback from the Middle East could trigger a worldwide energy crisis as Iran continues targeting commercial shipping.

Mexico-US Trade & Policy: Mexico and the U.S. are racing to seal a pre-election trade deal, with Washington pressing Mexico on tighter AI server sourcing rules under USMCA. Security & Enforcement: Mexico’s Navy and Defense Ministry report more drone seizures amid rising attacks using explosive drones, as governments struggle to keep up. Digital Payments Law: Mexico’s draft Digital Payments Law targets identity, acceptance, and cash-free sectors—an effort to modernize how transactions work. Competition & Antitrust: Mexico has opened an antitrust investigation into alleged monopolistic practices in professional fútbol. Crypto & Cartels: Mexican authorities say they’ve uncovered hidden crypto mining operations tied to cartel funding networks, including raids in remote areas. Business & Investment: Asia Broadband says it completed a $5.5M acquisition of a gold/silver concession in Jalisco, aiming for Q4 processing at its Etzatlán facility. Aviation & Tourism: Volaris announced new U.S. routes to Guadalajara starting this fall, adding Raleigh-Durham, Boston, and Nashville. Corporate Finance: Atradius reports North America’s B2B payment risk is worsening under liquidity pressure, with late payments still widespread across the U.S., Canada, and Mexico.

Mexico’s Antitrust Push: Mexico’s National Antitrust Commission opened an investigation into alleged anti-competitive practices in professional fútbol, focusing on how Liga MX competitions are organized and the suspension of promotion/relegation since 2020. Telecom Compliance: Mexico’s telecom regulator set Sept. 15, 2026 as the cutoff to register prepaid lines ending in “2,” with carriers able to suspend unregistered numbers within 72 hours. Crypto & Organized Crime: Mexican authorities seized a suspected crypto mining operation in Puebla’s Sierra Norte, probing whether generated virtual assets helped legitimize illicit funds amid reports of cartels using mining farms. Forced Labor Trade Enforcement: The U.S. USTR convened 50+ trading partners for training on enforcing forced-labor import prohibitions, naming Mexico among economies adopting measures. Cross-Border Crime Case: A Mexican national pleaded guilty in Texas to a cartel-linked smuggling tunnel operation between Ciudad Juárez and El Paso. Business & Markets: U.S. stocks slipped as bond selloffs deepened ahead of the Fed meeting, while oil prices rose.

Defense & Security Spending: XTEND plans a new XFAB Mexico hub to manufacture, integrate and support its robotics, pointing to Mexico’s 2026 defense and security budget of about US$17.5B as a key demand driver. Cartel Finance Crackdown: Mexican authorities uncovered an illicit crypto mining operation in Sierra Norte, allegedly laundering cartel funds and tapping nearby hydroelectric power. Tech for Marketing ROI: Tinuiti says it’s first-to-market with a Meta Creative Health Dashboard that turns Meta’s creative fatigue signals into spend and performance guidance. Aviation Maintenance Deal: EPCOR signed a five-year A330 APU support agreement with cargo airline mas, covering maintenance, leasing and predictive services. Retail Expansion: e.l.f. Cosmetics expands into Brazil via Sephora, aiming to grow international sales penetration. Sports Business: SharkNinja becomes an official partner of McLaren Racing across multiple series. Food & Safety: A Cookeville company recalled alfalfa seeds potentially contaminated with E. coli and salmonella, with notices sent to buyers including Mexico. Local Economy & Culture: Chuck E. Cheese Adventure World is set to open in Jalisco, Mexico, with Grupo Dicrejart. Tourism/Travel Demand: Emerging-market currencies fell again as bond-yield stress hit risk assets, with the Mexican peso among the pressured currencies.

Housing Push: Mexico’s President Claudia Sheinbaum says her Housing-for-Well-being program will benefit 12 million families by the end of her term, with 1.8 million new homes, loan restructures, and 1 million property deeds, aiming for about 1.2% GDP annual spillover. Energy & Trade Finance: Sempra Infrastructure signed a 20-year LNG supply deal with Petrobras for about 0.8 Mtpa from Port Arthur LNG Phase 2 in Texas, underscoring Mexico-linked North American energy flows. Cross-Border Legal/Market Entry: Iffel International and Mexico Business Lawyers formed an alliance to help foreign firms enter and expand in the U.S. using Mexico as a legal and commercial gateway. Macroeconomic Outlook: Mexico’s 2027 economic package is seen as more realistic on growth but still raises public debt concerns, according to the private-sector CEESP. Border Security Litigation: U.S. landowners and Conserve Big Bend sued to block Big Bend border barrier construction, arguing DHS lacks authority to use expedited powers without “high illegal entry” thresholds. Labor & Aviation: Breeze Airways responded to a pilot union mediation request, saying it has made “meaningful progress” and reached tentative contract sections.

Mexico–U.S. Trade Talks: Mexico and the U.S. are pushing for an interim trade deal before the Nov. 3 midterms, aiming to ease some U.S. tariffs while addressing Washington’s demands on auto rules and Chinese investment. Port Growth Watch: Mexico’s Pacific ports are still posting double-digit gains—Manzanillo up 11.7% and Lazaro Cardenas up 6% in early 2026—forcing operators to expand capacity amid possible trade disruptions. Corporate Capital Returns: FEMSA (OXXO and beverages) announced a new accelerated share repurchase program for up to $280M via ADS buybacks, with settlement expected before year-end. Tourism & Accessibility: Saint Charlie Resorts says its Riviera Maya flagship will open in 2027, built around family travel for guests with special needs. Tech/AI Infrastructure: Exascale and Compal signed a non-binding LOI to build a U.S. GPU validation platform using native 800-volt DC architecture. Security & Crime: Mexican authorities seized a cartel-linked crypto mining operation in the mountains, including 300 GPUs and industrial power equipment.

Crypto & Security: Mexican authorities seized a cartel-linked illicit crypto mining operation in Puebla, grabbing 300 GPUs, 80 medium-voltage terminals and satellite gear, with investigators probing whether stolen electricity powered the farm. Trade & Border Economics: The U.S. escalated its dispute with Canada by banning select Canadian dairy, alcohol and motorcycles from Sept. 29, while Canada keeps retaliating—another hit to cross-border supply chains and costs. Local Business & Culture: Chicago’s Little Village Mexican Independence Day parade drew large crowds again after last year’s immigration fears, boosting foot traffic for neighborhood businesses. Entrepreneurship Spotlight: Fort Worth’s Puertas Del Sol Imports keeps growing by selling Mexican handmade goods through markets and events, showing how cross-border retail can thrive locally. Community & Heritage: Hispanic Heritage Month events kicked off across the U.S., including business-focused breakfasts and parades that highlight Hispanic-owned commerce.

Mexico–US trade pressure: The U.S. escalated its Canada dispute with a Sept. 29 ban on Canadian dairy, alcohol and motorcycles, plus tighter federal procurement rules—another reminder that cross-border supply chains and pricing are getting hit fast. Cartel finance tech: Reuters reports Mexican authorities uncovered a suspected cartel-linked crypto mining farm in Puebla’s Sierra Norte, seizing ~300 GPUs and tapping power near a hydroelectric dam—part of a broader shift toward crypto to launder money. Crypto laundering via businesses: A Detroit case alleges a Southwest Detroit restaurant was used to move more than $140M in structured transfers to Mexican cartel-linked states from 2022–2026, showing how “legit” storefronts can be wired into illicit finance. Fintech expansion: Nubank launched in the U.S. with Nu Global, centering stablecoins (USDC/EURC) and targeting remittances—planned next steps include Mexico. Policy/industry backdrop: Analysts say Trump’s openness to Chinese automakers building in the U.S. (if they hire Americans) is mostly verbal for now, with real-world timelines and barriers limiting impact.

U.S.-Canada Trade Clash: The White House announced a new ban on Canadian dairy, alcohol and motorcycles starting Sept. 29, adding to the tariff spiral after Canada hit about $20B of U.S. goods with retaliatory duties. Mexico Border Security: Mexico’s Navy arrested a U.S. woman near the San Luis Río Colorado crossing, seizing 5,445 rounds of ammunition in an alleged Sinaloa Cartel arming operation. Cartel Crypto Crackdown: Authorities in Puebla dismantled a clandestine crypto-mining operation using stolen electricity, spotlighting how cartel-linked money flows can hide in “energy” crimes. Tourism & Events: Ensenada’s SCORE Baja 400 is projected to generate $8M, with 92% hotel occupancy along the race corridor and about 125,000 visitors expected. Tech & Finance Risk: Revolut said scammers obtained sensitive customer data after fraudulent requests used a legitimate government email domain. Culture & Business: Los Gemelos de Sinaloa will launch a U.S. tour from Phoenix on Oct. 23, extending modern corridos’ momentum into major U.S. markets.

U.S.-Canada Trade War: The White House announced a Sept. 29 ban on Canadian dairy, alcohol and motorcycles, plus new federal procurement rules that exclude Canadian goods from large U.S. government contracts, as Washington and Ottawa keep escalating after failed talks. Mexico-U.S. Trade Push: Separate coverage says Mexico and the U.S. are racing to seal a bilateral trade deal before the U.S. election clock runs out, with officials continuing discussions despite stalled negotiations. Mexico Security & Crypto: Mexican authorities uncovered a clandestine crypto mining operation in Puebla’s Sierra Norte, seizing hundreds of GPUs and tracing the electricity use tied to suspected illicit finance. Auto Industry Watch: Trump signaled he’d accept Chinese automakers building in the U.S. only if they hire Americans, while reiterating opposition to Chinese production in Mexico for export to the U.S. Humanitarian Solidarity: Mexico delivered its 13th humanitarian aid shipment to Cuba, with CARICOM and Mexican officials citing the tightening U.S. blockade’s impact on food, medicine and fuel.

US–Canada Trade Tensions: The U.S. moves to ban select Canadian dairy, alcohol and motorcycles from Sept. 29, while also tightening federal procurement rules—another escalation after Canada’s retaliatory tariffs hit roughly $20B of U.S. goods. Mexico–Azerbaijan Trade Push: Mexico’s ambassador says both countries want to boost trade and investment ties and expand the presence of Mexican products in Azerbaijan. Food Safety Update: The CDC says a Cyclospora outbreak linked to iceberg lettuce is over; the FDA previously pointed to Taylor Farms de Mexico as the likely source, with follow-up work still ongoing. Pharma Oversight in Mexico: Dr. Reddy’s says the USFDA completed a records assessment of its Mexico API facility and issued two observations, which the company will respond to. Fintech Expansion Watch: Mercado Pago says it’s comfortable issuing more credit cards despite Brazil’s concerns about rising household debt. Mexico Business & Innovation: Primero (AI integration for large enterprises) closed a $12M seed round co-led by Kaszek and General Catalyst, with Mexico City as its HQ. Independence Day Events: Mexico Independence Day celebrations are drawing crowds and street-closure plans in Chicago and other U.S. cities, with local businesses and vendors gearing up.