MEXICO Trends and Developments Contributed by: Fernando Todd, Mariana Todd, Jorge Garcia and Silvia Alanis, Todd
sustainability objectives, but it also heightens inves - tor apprehension about the potential instability of the regulatory environment. Implications for the mining sector The combination of regulatory ambiguity and evolving judicial interpretation places Mexico’s mining industry in a complex position. On one hand, the country seeks to align itself with international Environmental, Social and Governance (ESG) standards and global com - mitments such as the Paris Agreement and the 2030 Agenda for Sustainable Development. On the other hand, investors face a fragmented legal environment marked by inconsistent criteria across jurisdictions and authorities. Key concerns include the unpredictability of conces - sion procedures, the risk of retroactive application of obligations and the lack of clear guidelines for indig - enous consultation. These issues have slowed project approvals and reduced the sector’s attractiveness for foreign investment. The SCJN’s June 2025 ruling, by reaffirming that pre- reform applications did not generate vested rights, also limits the defences available to companies that sought to preserve their pre-existing legal status. While this consolidates the State’s regulatory power, it simultaneously underscores the need for predictable and transparent regulation. Social and environmental dimensions The 2023 reform also redefined the balance between economic development and environmental respon - sibility. The mandatory Social Impact Assessment (SIA) aims to ensure that mining projects consider their effects on local communities. However, in the absence of regulatory guidelines, there is no uniform methodology for preparing or approving SIAs, leading to inconsistent enforcement. Similarly, the new requirements on mine closure and post-closure obligations impose environmental res - toration duties but lack detailed financial and techni - cal standards. Coordination between the Ministry of Environment and Natural Resources (SEMARNAT), the Federal Attorney for Environmental Protection (PRO -
FEPA) and state authorities remains weak, resulting in duplication of efforts and administrative delays. Although the reform’s objectives – sustainability, social inclusion, and environmental protection – are sound in principle, their effectiveness depends on the prompt issuance of clear, enforceable secondary legislation. The path forward: balancing sovereignty and legal certainty Mexico’s challenge lies in reconciling the State’s sovereignty over mineral resources with the need to ensure legal certainty and to foster responsible invest - ment. The publication of the Regulation on the Mining Law is indispensable to achieving this balance. Such regulation must establish clear procedures for the granting, renewal, and revocation of concessions; set measurable social and environmental criteria; define consultation processes; and ensure consist - ent, transparent administrative decisions. Strengthening inter-institutional coordination is also crucial. The multiplicity of overlapping procedures involving SEMARNAT, the Ministry of Economy, the National Water Commission (CONAGUA) and PRO - FEPA generates inefficiencies and exposes operators to legal risk. In this context, judicial interpretation – as reflected in the SCJN’s 2025 rulings – reinforces the importance of coherence among legislative, executive, and judicial actions to sustain regulatory legitimacy. Political outlook: President Claudia Sheinbaum’s vision for the mining sector President Claudia Sheinbaum’s administration has reinforced a model of environmental protection, tech - nological modernisation and strict State oversight for Mexico’s mining sector. The President has main - tained the moratorium on new mining concessions, stating that they will only be granted to projects that clearly meet high environmental and social sustain - ability standards. This aligns with her broader vision of “rational and sovereign” resource exploitation. Recent government statements regarding the forth - coming Regulation of the Mining Law confirm a tight -
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