Retail
The Mexican market is a challenging environment for retail sales, with the proliferation of interest-free financing (meses sin intereses or MSI), mobile retailing, and mergers, acquisitions, and expansions. There is a rising use of digital payments along with buy-now-pay-later (BNPL), which has become widespread among local and international companies. Mexico has several large retail stores and chains, including El Palacio de Hierro, Saks Fifth Avenue, Sanborns, Coppel, Grupo Comercial Chedraui, and Sears Roebuck de México. Although retail growth in 2025 is expected to remain subdued compared to 2024, it is projected to reach approximately USD 514 billion. Retail is forecast to rise by an annual average of 1.4 percent in 2026-2029 in terms of volume.
Walmart de México (Walmex) leads retailing, with its share value more than twice as high as that of second-place FEMSA Comercio. Walmart’s performance is impressive given Mexico’s fragmented competitive environment, the relevance of traditional trade, and small independent retailers.
Meanwhile, online retail in Mexico is anticipated to more than double by 2029 to nearly USD 72 billion, driven by strong eCommerce demand and advances in logistics, digital literacy, financial inclusion, and connectivity.
Key players vying for a bigger stake in the eCommerce market are Mercado Libre, Amazon, Walmart, Liverpool, and Coppel. TikTok (China) launched its eCommerce platform TikTok Shop in Mexico in February 2025. The Argentina-based Mercado Libre is by far the most popular online retailer in the region, with operations in 18 markets.
Importers and Wholesalers
Key retail chains are among the largest importers and wholesalers, including Walmart de México, Costco de México, El Puerto de Liverpool SAB de CV, El Palacio de Hierro, Sanborns de México SAB de CV, and Sears Roebuck de México. The official database of Mexican importers features approximately 3,500 import firms.
Geographic Segmentation
Mexico is a large market to cover, whether for distribution or for sales channels. The U.S. Commercial Service in Mexico recommends that U.S. exporters consider splitting the country into industry clusters or distinct territories rather than trying to sign a single agent or distributor with exclusive national rights.
Logistics and Distribution Infrastructure
Mexico is a leading global logistics center, in large part based upon its 13 trade agreements with 50 countries. The World Bank’s Logistics Performance Index for 2023 (the most recent year available) places Mexico in 71st place out of 139 countries in terms of logistics efficiency. Transportation logistics services are expensive in Mexico, representing eight to 15 percent of product costs, compared to five to seven percent in the United States. According to the Mexican Secretariat of Infrastructure, Communications and Transportation (Secretaría de Infraestructura, Comunicaciones, y Transportes or SICT), Mexican products for domestic consumption travel by land via truck (58.3 percent), train (13.8 percent), ship (27.8 percent), and plane (0.1 percent).
President Sheinbaum’s Plan Mexico seeks to strengthen the domestic market and increase national production through investment in infrastructure. This builds on the former President’s National Development Plan, which sought to improve cargo transport infrastructure, particularly in Southern Mexico. Leading infrastructure projects are described in further detail in the Transportation Infrastructure section of this guide.
Currently, Mexican transport infrastructure includes:
- Over 388,000 km of paved highways and roads (plus over 527,000 km of unpaved roads)
- More than 27,700 km of railroads (of which 18,024 km are concessioned to the private sector)
- A total of 66 international commercial airports, 14 national airports; 1,530 airfields (including military and small privately-owned fields) and over 577 heliports
- 118 seaports and intermodal terminals, including 18 federal ports and six state ports
- Approximately 20,000 km of oil and gas pipelines
Logistics and Land Borders
The main land border crossings with the United States are Nuevo Laredo-Laredo, Ciudad Juárez-El Paso, Piedras Negras-Eagle Pass, Mexicali-Calexico, and Tijuana-San Diego. Tijuana is the busiest border crossing by volume of traffic; however, the Nuevo Laredo-Laredo border crossing is the largest by value, accounting for approximately 53 percent of all U.S.-Mexican trade in merchandise.
The Government of Mexico (GOM) and some state governments are trying to promote other border crossings to decrease the concentration in Laredo and to offer options for expanding bilateral commercial traffic, such as Colombia, Nuevo León. At the federal level, the U.S. and Mexican Governments meet regularly in various working groups focused on the border to advance joint efforts to increase the capacity, efficiency, and speed of border crossings for people and goods. One result was the establishment of the Unified Cargo Processing (UCP) program. The UCP brings together Mexican Customs (Aduanas) and U.S. Customs and Border Protection agents at the same location to jointly clear cargo. This has the potential to dramatically speed up cargo inspections and increase border security. Starting in 2021, Aduanas and CBP established a new Unified Customs Processing operation at the Reynosa-Pharr port of entry. Despite this progress, as of April 2022, shippers have continued to report intermittent delays for truck and rail crossings as border personnel respond to competing priorities.
Highways
Over 58 percent of goods in Mexico are distributed by truck. Mexico has a modern highway system, primarily comprising toll roads, connecting the main industrial areas located in the Mexico City-Guadalajara-Monterrey triangle. Outside this area, road transportation is more challenging.
Ports
The main maritime ports (based on the volume/tons of cargo moved) on the Gulf Coast of Mexico are Veracruz, Coatzacoalcos, Altamira, and Dos Bocas. On the Pacific Coast, the main maritime ports are Lázaro Cárdenas and Manzanillo. All these ports have the infrastructure and equipment to facilitate intermodal, door-to-door merchandise transportation. The GOM’s infrastructure program includes major projects to modernize and expand existing ports, improving existing multimodal corridors, connecting Gulf and Pacific ports, and linking production and consumer centers with international logistics corridors.
Using an Agent to Sell U.S. Products and Services
Some U.S. companies sell their products through individual sales agents, and there are many Mexican firms eager to offer this service. The use of sales agents can be an effective way to reach smaller cities and remote locations in Mexico.
Selecting an appropriate agent or distributor requires time and effort. There may be many qualified candidates and U.S. firms should set high standards to select the best suited agent/distributor. Since most Mexican firms sell in limited areas, U.S. companies should consider appointing representatives in multiple cities to broaden the distribution network. It is usually not advisable to grant an exclusive, national agreement. It is essential to develop a close working relationship with the appointed agent/distributor and maintain continuous communication. Appropriate training, marketing support, samples, product support, and timely supply of spare parts (depending upon the industry) are critical for success. There are no indemnity laws to prevent a company from canceling an agent or distributor agreement, but cancellation clauses should be specific. Sales performance clauses in agent/distributor agreements are permitted, and failure to meet established standards can be a reasonable cause for contract cancellation. Before signing an agent/distributor agreement, all parties should fully understand the terms and conditions, and how the relationship is to be developed. Many international commercial relationships become strained because insufficient time is invested in developing a full understanding of what is expected.
The U.S. Commercial Service and other organizations, such as the American Chamber of Commerce in Mexico and U.S. state government trade representatives, maintain lists of Mexican agents/distributors, manufacturers, GOM offices, and private sector trade organizations. After identifying a suitable agent/distributor, we encourage U.S. exporters to conduct a commercial background check on the Mexican firm. The U.S. Commercial Service offers a report called an International Company Profile that provides background information on a potential business partner. Commercially available services, such as Dun & Bradstreet, may list larger Mexican firms.
If a product is new to the market, or if the market is extremely competitive, advertising and other promotional support should be negotiated in detail with your representative. Product and industry knowledge, track record, enthusiasm, and commitment should be weighed heavily. We suggest the U.S. exporter schedule annual visits of Mexican personnel to the U.S. company headquarters for training (more information on visa requirements is provided in the Business Travel section of this guide). Another important factor to consider is financing, as credit from Mexican banks is limited and can be expensive. Joint venture agreements may also be considered to strengthen market penetration. Direct marketing is another common strategy. Telemarketing is evolving and gaining in popularity and scope. While Internet penetration has not yet reached U.S. levels (the GOM estimates Internet access by 71 percent of the population over the age of six), social media marketing is becoming increasingly important and should be factored into marketing plans when appropriate.
Establishing an Office
For U.S. companies interested in establishing a presence in Mexico, the General Law of Mercantile Organizations (or Civil Code) regulates many different forms of business entities. The type of business incorporation that a U.S. company or individual chooses is extremely important, as it determines the operations they may perform in Mexico and, among other liabilities, the amount of taxes owed.
The most commonly used types of business classifications are the Corporation (Sociedad Anónima) identified with ‘S.A.’ at the end of the company name, and the Corporation with Variable Capital (Sociedad Anónima de Capital Variable) identified with ‘S.A. de C.V.’ One of the advantages of the latter is that the minimum fixed capital can be changed after the initial formation.
The Civil Partnership (Sociedad Civil) is the most common organization for professional service providers. It has no minimum capital requirement and no limit on the number of partners, but it is taxable in the same way as a corporation. It is identified with ‘S.C.’ The Civil Association (Asociación Civil) is the form that charitable or nonprofit organizations adopt and is identified with ‘A.C.’.
A Limited Liability Partnership (Sociedad de Responsabilidad Limitada), identified with ‘S. de R.L.,’ is similar to a LLP in the United States and has the option of having variable capital, indicated by ‘S. de R.L. de C.V.’ As this is a partnership structure, i.e. an organization formed by individuals as partners, it has similar characteristics to a Civil Partnership apart from unlimited liability. A foreign company may open a branch (sucursal) in Mexico as an alternative to incorporating. A branch can provide rights and responsibilities similar to a corporation, including tax liability and access to local courts, but requires the approval of the National Foreign Investment Commission (Comisión Nacional de Inversiones Extranjeras or CNIE).
Consulting with a law firm in Mexico prior to establishing an office in the country is important. A partial list of Mexican law firms with international business focus and experience can be found at the U.S. Commercial Service’s Mexico Business Providers List. For other types of legal representation, contact our U.S. Commercial Service in Mexico to obtain the Embassy’s attorney list.
For the latest Investment Climate Statement (ICS) which includes information on investment and business environments in foreign economies pertinent to establishing and operating an office and to hiring employees, visit the U.S. Department of Department of State’s Investment Climate Statements website.
Direct Marketing
With the establishment of large international firms in Mexico and their emphasis on adopting similar marketing strategies to those employed in their home market, the marketing services industry has become more segmented and specialized, offering U.S. companies a complete array of marketing options. The most important promotional tools include ‘above-the-line’ (ATL) methods such as paid digital and print media and ‘below-the-line’ (BTL) methods such as targeted marketing, trade shows, and direct marketing.
Small and medium-sized U.S. companies entering the Mexican market should work closely with their local distributor/representative to create marketing strategies. Mexican consumer habits have evolved to bring together the online and traditional shopping experiences. According to the Association of Online Sales (Asociación Mexicana de Venta Online or AMVO), nine of 10 Mexican shoppers interact between digital and physical channels prior to making the final purchase, either online or during an in-store visit. One of the leading associations in Mexico for communication, brand, marketing, and public relations firms is the Alliance for the Strategic Value of Brands (Alianza por el Valor Estratégico de las Marcas or AVE).
Joint Ventures/Licensing
Given the flexibility of engaging in joint venture agreements, U.S. firms frequently use joint ventures and licensing agreements to establish a presence in Mexico. Although some Mexicans rely on verbal agreements when doing business, we highly recommend you sign a written joint venture agreement with your Mexican business partner. According to Mexican law, joint ventures are considered separate entities from their parent companies and must register separately to pay taxes.
To safeguard intellectual property rights against third parties, licenses and patents in Mexico may be registered with the Mexican Institute of Industrial Property (Instituto Mexicano de la Propiedad Industrial or IMPI). Recording a license entails a government review that can take four to six months. For more information on IMPI, please see the Intellectual Property section of this guide.
United States professional licenses (engineer, architect, lawyer, etc.) are not generally recognized in Mexico. One must become accredited in Mexico or have a Mexican counterpart co-sign or validate the U.S. work. For example, a U.S. architect may draw up plans for a building, but a licensed Mexican architect must sign off on them. A list of local professional associations can be found in the Principal Business Associations section of this guide. Instructions to register your professional degree in Mexico (information is in Spanish) can be found at the website of the Secretariat of Education (Secretaría de Educación Pública or SEP). For additional information, please contact the U.S. Commercial Service in Mexico.
Express Delivery
The Mexican Courier, Express and Parcel (CEP) market traditionally operated as a basic courier service, with broad service windows and minimal guarantees on delivery timing and verification. However, it is now undergoing dynamic expansion, propelled by surging eCommerce, cross border trade, and technological innovation.
Approximately 3,000 courier and parcel delivery companies currently operate in Mexico. They provide local, regional, and international coverage. Competition is strong and varied in terms of supply, prices, and guarantees, and leading players are making an effort to differentiate by extending the range of services, focusing on logistics efficiency and harnessing big data intelligence to minimize the level of misdirected shipments, incorrect routes, losses, and damage to packages.
Express Delivery Investments
Recent investments and strategic moves by key players in the industry:
- Mercado Libre committed USD 3.4 billion in March 2025 to scale logistics and hiring across Mexico.
- AWS (Amazon Web Services) is investing USD five billion to launch a cloud infrastructure region in Mexico in 2025, poised to enhance CEP digital and logistics capabilities.
- UPS acquired Mexican leader Estafeta in July 2024, deepening its footprint in Mexican express delivery.
- DHL Express invested USD 120 million to expand its air hub in Mexico City, increasing processing capacity by 30,000 m² and 41,000 shipments per hour.
Expansion of Express Delivery Services
The sector has also grown as it has sought to incorporate a wider range of services. Companies are competing aggressively on shorter and guaranteed delivery times, efficiencies through route consolidation, customs clearance expertise, geographic scope in cities served, and service reliability through technological improvements such as satellite tracking.
Several sectors have particularly benefited from the expansion of express delivery services. These include computers, spare parts, high-value products, and industries using just-in-time supply chains such as high technology, automotive, pharmaceuticals, textiles, and manufacturing. Consequently, these sectors have been key to driving ever-greater cargo volumes through express delivery services.
Future Express Delivery Trends
For a variety of reasons -from the extent of rural areas to high security costs protecting shipments from organized crime- Mexico has relatively high logistics costs, which contrast with labor costs and customer demand for ever lower prices. To support further growth of the sector, Mexico’s Association of Courier Companies (AMMPAC) has called for progress on several challenges, including improvements in the legal framework for express delivery and efforts in combatting organized crime.
In the short term, the sector will continue to work on a wider range of integrated logistics solutions beyond transportation. It will also seek improvements in customer service, communications tools, and faster response times to requests. The sector further plans to tailor services to the diversity of industries that have the highest demand for express service, from banking services, textiles, and apparel to electronics, pharmaceuticals, and cosmetics.
In February 2023, a decree banning all cargo operations at Benito Juárez International Airport (AICM) in Mexico City was published, requiring air cargo operations to be moved to the new Felipe Angeles International Airport (AIFA) by July 7, 2023. Given the complexities of transferring operations and the logistical adjustments that are necessary, an extension was granted until September 2023, but concerns remain from a number of courier and express delivery companies on the impact that this change may have on transportation costs and delivery times. The U.S. Government viewed the forced relocation as a violation of the 2015 U.S.-Mexico Air Transport Agreement and a disruption of fair competition and, in July 2025, the U.S. Department of Transportation responded by sanctioning Mexican airlines and restricting their operations.
Carta Porte
In 2022, the GOM introduced a requirement for a digital waybill complement, known as the Carta Porte, to be generated for each parcel and incorporated into an e-invoice for the transport of goods. This requirement applies to all imports and exports of goods in transit within Mexican territory. As of July 17, 2024, version 3.1 of the Carta Porte became mandatory and allows for the inclusion of multiple customs regimes, making it more flexible for operations involving goods from different regimes being shipped together. For more information, please see the Customs, Regulations, and Standards section of this guide.