Mercado Libre announces plan to invest US $3.4B in Mexico this year

Latin American e-commerce elephantine Mercado Libre announced it volition put US $3.4 cardinal successful Mexico this year, a 38% summation implicit concern plans announced past year.

The announcement came during President Claudia Sheinbaum’s Friday property league a time aft U.S. President Donald Trump granted a tariff reprieve to Mexico, pursuing what Sheinbaum described arsenic an “excellent and respectful” telephone chat betwixt the 2 presidents.

The concern volition absorption connected tech products and fiscal services, a Mercado Libre enforcement said portion lasting alongside Sheinbaum. The institution plans to prosecute 10,000 much radical this twelvemonth to enactment successful logistics, fiscal technology, medication and different areas.

“We person decided to privilege Mexico, which contiguous is our 2nd largest marketplace successful the full region,” David Geisen, Mercado Libre’s state manager for Mexico, said.

With the investment, Mercado Libre volition person invested a full of US $35 cardinal successful Mexico successful the past 5 years, Geisen said, adding that with the caller hires the company’s full workforce successful Mexico volition scope 35,000.

Geisen explained that the resources purpose to boost the company’s innovation with exertion and artificial intelligence. This volition see improvements to its e-commerce level and fiscal solutions, arsenic good arsenic successful the enlargement of the company’s logistics capacity.

Mercado Libre’s state manager for Mexico, David Geisen, announced the concern program astatine President Sheinbaum’s Friday greeting property conference. (Presidencia)

The announcement comes conscionable 2 months aft Mexico imposed a 19% taxation connected imports via courier services from countries with which it does not person a free-trade agreement. This taxation volition interaction Mercado Libre’s Chinese competitors, specified arsenic Temu and Shein.

This week’s concern announcement by Mercado Libre — Mexico’s largest online retailer with a 15.4% marketplace stock successful 2023 — surpasses by astir US $1 cardinal the 2024 concern plans the institution had announced successful November.

Economy Minister Marcelo Ebrard lauded the continued accomplishment of investments successful Mexico successful the midst of the uncertainty posed by the latent menace of U.S. tariffs, calling it a motion of Mexico’s bully economical prospects, contempt Trump’s protectionist offensive.

As if to exemplify this, vigor infrastructure institution Sempra confirmed astatine the aforesaid property league that it is processing 2 caller projects successful Baja California astatine a outgo of US $3.5 billion.

Sempra president Tania Ortiz said the ongoing projects — an enlargement astatine a liquid state terminal successful Ensenada and a upwind workplace successful Tecate, some of which are expected to beryllium operational successful 2026 — person resulted successful astir 19,000 caller jobs.

Over the past 28 years, Sempra has invested US $13.6 cardinal successful vigor infrastructure successful Mexico, Ortiz said.

With reports from El Universal, Mexico Now and Reuters