Thanks to 'laser focus' on cartels, Trump admin creates new corporate risks in Mexico
By 
Aaron Nicodemus2025-08-06T14:00:00
The Trump administration’s designation of Mexican cartels as terrorist organizations in February has made doing business in Mexico riskier than ever before for corporations.
Mexico is the top trading partner of the U.S., with trade worth a record-high $840 billion in 2024. Hundreds of U.S. companies have facilities and offices in the country, including Ford, GM, Pepsi, Medtronic, Intel, Honeywell, and Kraft.
Cartels are omnipresent in many parts of Mexico, according to the U.S. State Department. These organized crime groups control entire regions, unions, roads, and other infrastructure. Doing business in Mexico has long been a thorny problem for U.S. corporations, which have tried to avoid enriching cartels while also understanding that their reach in Mexican society and government is formidable.
Related articles
-
News BriefTexas gas company found that its merger acquisition paid a cartel-connected entity
A Texas-based gas company has disclosed that a Mexican affiliate made payments to local government officials that may have benefited a cartel designated as a terrorist group by the U.S. government. Entanglement with cartels is an increasing risk for companies doing business in Mexico.
-
ArticleFinCEN seeks to lighten the regulatory load on casinos
Regulatory relief from anti-money laundering rules is in the cards for casinos, insurance companies and other non-bank financial institutions, the U.S. Treasury Department’s Treasury’s Financial Crimes Enforcement Network (FinCEN) said Monday.
-
ArticleChinese money-laundering networks moved $312B in dirty money through the U.S.
Suspicious activity reports filed by U.S. financial institutions show that Mexican drug cartels and human traffickers are laundering dirty funds through Chinese money laundering networks (CMLNs) operating in the United States, according to the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN).
More from Risk Management
-
ArticleCompliance should protect firms from AI-washing investigations and insurance claims
Insurance firms are warning that AI-washing could trigger a slew of cases against directors, and are adjusting their directors’ and officers’ liability premiums accordingly. With regulators cracking down on AI-washing, compliance could be a crucial line of defense and save companies on their insurance costs.
-
News BriefAI hallucinations in Deloitte Australia report highlight important role for compliance
“Hallucinatory” citations and errors in an AI-assisted report produced by Deloitte for the Australian government should be a wake-up call for compliance officers about the risks of placing too much trust in AI.
-
ArticleHow food and beverage companies adjust to the throes of tariff woes
On-again-off-again tariffs, a down economy, and a long list of global supply chain disruptions are challenging U.S. food and beverage companies to adjust their supply chain operations in a variety of ways.