Mexico City’s 700th Anniversary

This year, 2025, Mexico City is celebrating its 700th anniversary. There are various official activities to be observed, including the unveiling of a monument on July 26th.

Mexico’s original name was Tenochtitlan. It was founded on an island on Lake Texcoco in 1325. As time went on the Aztecs expanded their city, using some ingenious engineering techniques to build and maintain a thriving city on a lake. It was the capital of the growing Aztec Empire.

When the Spaniards under Hernan Cortes arrived in 1519 they were astonished at Tenochtitlan, this spectacular city on the lake. And these were soldiers who had seen a lot of cities in Europe.

One of Cortes’ soldiers, Bernal Diaz del Castillo, described the impression of the Spaniards as they first approached the city: “…we were astonished, and we were saying that they  appeared to be the enchanted things told of in the book of Amadis [a chivalric romance], for the great towers and temples and buildings that they had in the water…” 

Here’s an artist’s rendition of Tenochtitlan in 1519:

Tenochtitlan and Lake Texcoco in 1519. Source: Gary Todd

In 1521, the Aztecs were defeated and the city of Tenochtitlan was destroyed. But it was rebuilt as a Spanish-style city by the Spaniards, using the same stones.

After independence, it became the capital of independent Mexico.

Here’s an aerial view of contemporary Mexico City, which now covers most of the old lake bed. It’s one of the world’s biggest metropolitan areas. It’s a world class city with many things that tourists find of interest. It is the political, economic and cultural capital of Mexico and the biggest Spanish-speaking city in the world.

Mexico City in 2018. Source: Government of Mexico City

So happy 700th, Mexico City!

If you’re interested, check out my articles on Mexico City on another website:

Mexico City: Forward looking city with a pre-Hispanic past

The Zocalo is the heart of Mexico City

Chapultepec: Mexico City’s urban forest

Moving millions through Mexico City’s Metro


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New York Times on the Mexico City Protest

I recently reported on the July 4th protests in Mexico City. See In Mexico City, Gringo Immigrants are Targets of Mostly Peaceful Protest on July 4th.

Mexico City Protest. Source: Carl De Souza

The digital nomads moved to Mexico City from the U.S. Since they work online they can work anywhere. Combine that with already rising housing prices in Mexico City, plus the cultural and linguistic divide, and you have a problem.

A July 7th New York Times article discusses the topic and the political discussion of it.

From the New York Times: “In handwritten signs and graffiti, the protesters made their anger at the influx of foreigners who have recently settled in Mexico City clear: ‘Gringo, go home!’ ‘Speak Spanish or Die!’ ‘Gentrification is colonization!’ ”

Hey, when I lived in Mexico I spoke Spanish!

“In the protest, which took place on Friday [July 4], gathering spots for remote workers were ransacked. That drew a condemnation from Mexico’s president, Claudia Sheinbaum, on Monday morning [July 7].”

“But Ms. Sheinbaum also acknowledged the demonstrators’ concerns, and how tempers are flaring in Mexico City, North America’s largest metropolis, around the arrival of thousands of relatively well-off foreigners, especially from the United States. Many longtime residents are fuming over rising rents and food prices in parts of the city.”

Yes of course, residents don’t like rent and prices going up. The article quotes a resident.

“ ‘The playing field is not level,’ said Daniela Grave, a resident attending the protest. ‘If they make a living in dollars, and don’t pay taxes here, we are just in unequal circumstances, Mexicans and foreigners, where those who have salaries in dollars have all the power to exert in this city and that is what should be regulated.’ ”

“Tensions over the influx have been building for some time. Foreign remote workers began relocating in large numbers to Mexico City during the coronavirus pandemic, settling largely in central, pedestrian-friendly neighborhoods such as Condesa and Roma.”

“Jarring many longtime residents, these areas have developed into bastions where more English than Spanish is spoken in some sidewalk cafes, and in which co-working spaces, Pilates studios, specialty food stores and clothing boutiques have sprouted, catering to the recent arrivals.”

That’s happened in the U.S. on a much larger scale, with large neighborhoods where non-English languages are spoken.

Then there is the question of property values and rent:

“One of the main concerns that protesters are voicing has to do with surging rents and the value of real estate. Ms. Grave, 34, who has lived in the Roma Sur area for two decades, said she had watched her once quiet, family-oriented neighborhood undergo a slow but extreme transformation.”

That of course is a problem for residents.

“Corner grocery stores and affordable eateries have been replaced by upscale restaurants and curated art galleries. Even the local market where she buys produce has grown more expensive, often crowded with tourists and guides.”

“At neighborhood restaurants, she noted how waiters were now expected to speak English to serve foreign customers. The apartment buildings around her have turned into Airbnb hubs, some hosting late-night parties that, she says, have ‘changed the entire atmosphere of the neighborhood.’ ”

Digital nomads should learn Spanish.

“Ms. Grave, who joined the recent protest with her mother, emphasized that she didn’t have a problem with foreigners, and Americans in particular. But she expressed concern over the economic imbalances created when people with far greater purchasing power drive longtime residents out.”

“Other residents say that some of the privileged foreigners now living in Mexico City could take important steps to ease their neighbors’ concerns.”

“Luis Sosa, 44, a creative director who has lived in Condesa since 2006, said that Americans who move to Mexico could make more of an effort to understand the culture of the country. They could ‘be good neighbors, starting with learning Spanish,’ he said.”

“Mr. Sosa, who did not attend the protest, said he understood the frustration many residents felt, but rejected the violent, xenophobic tone of recent demonstrations, which he said echoed anti-migrant sentiment in parts of the United States.”

“Instead, he pointed to real-state developers capitalizing on rising demand and speculation, driving up rents, and to politicians who have failed to regulate the trend through public policy.”

“ ‘We are directing anger at the wrong places,’ he said. ‘What’s unacceptable is leaving it entirely to market forces while politicians look the other way.’ ”

“Mr. Sosa also warned against ‘nostalgia’ for what neighborhoods once were, saying that it could fuel resistance to potentially positive change.”

“ ‘Immigrants contribute economically and culturally,’ he said. ‘Neighborhoods and cities evolve and, like culture, they are changing all the time, they are not stagnant.’ ”

President Sheinbaum is trying to split the difference.

“Ms. Sheinbaum, a former mayor of Mexico City, said on Monday [July 7]that she disapproved of the protest while also criticizing the spread of gentrification in the city she used to govern.”

“ ‘No matter how legitimate a demand may be, such as opposing gentrification, it cannot call for any nationality to leave our country,’ she told reporters. ‘Mexico is a country open to the world.’ ”

“Ms. Sheinbaum also called attention to new real estate ventures that have led to rising property values and rents, driving up prices, displacing long-term residents and altering the character of neighborhoods.”

“ ‘There is already a lot of real estate speculation derived from Airbnb rentals and all these digital platforms,’ she said. ‘We cannot condone the rising cost of the city.’ ”

“In 2022, when she was the city’s mayor, Ms. Sheinbaum signed an agreement with Airbnb to promote Mexico City as the ‘capital of creative tourism’ — an effort to enhance the city’s reputation as a global hub for remote workers. At the time, Ms. Sheinbaum said she did not believe the company would increase prices for locals.”

Housing was getting more expensive for decades, even before the digital nomads.

“But the problem had started years, even decades, earlier.”

“A study published last year found that from 2000 to 2022 housing affordability in Mexico City plummeted as prices quadrupled and Mexicans’ incomes declined — with some gentrified neighborhoods experiencing an eightfold increase in housing prices.”

“The process has contributed to the emergence of clusters of highly expensive areas and the displacement of more than 23,000 low-income families each year.”

“ ‘Gentrification has been a constant,’ said Tamara Velasquez Leiferman, a Mexican urban studies expert at Rutgers University. ‘And what we’re seeing right now is the climax.’ ”

“Recent administrations have sought to tackle the issue, for example by subsidizing affordable housing and introducing some regulations to Airbnb — although officials have proposed lifting  restrictions to ensure the city can welcome the five million visitors expected to come for the 2026 FIFA World Cup.”

“Even before the protest targeting foreigners, some Mexico City residents had showed discomfort with the influx of wealthy transplants. In 2022, signs started appearing on the walls of buildings in Roma.”

“The signs asked: ‘New to the city? Working remotely?’ An obscenity-laden description of the newcomers as a ‘plague’ loathed by locals followed.”

“A new wave of xenophobic placards proliferated earlier this year on the streets of Condesa and Roma, blaming gentrification on foreigners, with a group called ‘Mexicans in Defense of the Nation’ taking credit.”

“ ‘Respect the locals and their culture, or leave,’ one of these signs read.  ‘Mexicans First.’ ”

Well, yes, it should be “Mexicans First” in Mexico.

“Arielle Simone, an American social media influencer, became the focus of ire after celebrating her move from Brooklyn in Mexico City in posts that drew hostile responses. Ms. Simone said that she had received threats that made it necessary to move to a new neighborhood.”

“But Ms. Simone, who did not respond to a request for comment, courted greater controversy when she started a GoFundMe campaign to raise $4,500 for that move. Some of her critics said that her appeal for such an amount underscored the disconnect between the living standards enjoyed by some Americans in the city and the challenges that many Mexicans face in making ends meet.”

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Bloomberg: “Highway Robberies Are Now Just Part of Doing Business in Mexico”

Bloomberg has an article entitled Highway Robberies Are Now Just Part of Doing Business in Mexico. It describes yet another problem facing Mexico.

From the article: “Late one Friday night, a truck carrying sound equipment for legendary cumbia band Los Angeles Azules was pulled over along the Mexico-Puebla highway. Police at the checkpoint were in fact bandits, and upon seeing the pricey cargo they drew their guns and drove off with the loot. The driver and another passenger were left stranded by the side of the road, unharmed except for some hearing damage from a warning shot the robbers fired. The band publicized the May 9 incident on social media and it was raised a few days later at President Claudia Sheinbaum’s morning press briefing, where she called in the National Guard to investigate.”

“The episode caught widespread attention because of the band’s fame, but hundreds of similar incidents are taking place on Mexico’s highways every week — about one theft attempt every 50 minutes — turning the nation’s major commercial arteries into gauntlets. And unlike Los Angeles Azules, whose $420,000 in gear was eventually returned, most victims suffer the cost of stolen goods without hope for recovery or justice.”

“Robbery attempts jumped by more than a third in the first two months of 2025 from the previous year, according to Hector Romero, president of Circulo Logistico, an industry group that represents 25 cargo, private security and logistics companies. Cargo thefts topped 24,000 in 2024, up about 16%, data from transportation risk consultancy Overhaul show. That trails the US and Europe in total incidents. But in loss-ratio terms, which compare the number of thefts to economic activity, Mexico is the worst in the world.” 

“Transporting cargo in Latin America’s second-largest economy has become ‘a very significant problem that has fundamentally broken our supply chains,’ Romero said. In Brazil, the region’s largest economy, incident numbers aren’t growing nearly as fast as in Mexico, the data show.”

“Surging highway crime is just one facet of the massive security crisis Sheinbaum is facing in Mexico. Though her government boasts of its record drug seizures, elimination of clandestine laboratories and efforts to reduce the number of homicides, cargo theft is spiraling out of control.” 

“Heists take many forms. From fake checkpoints to blowing tires with spike strips and straight-up accosting drivers who stop for coffee at gunpoint, criminals take advantage of the relatively few resources the Mexican government has to fight the problem.”

“ ‘It’s old-school crime,’ said Troy Ryley, Mexico president of Chicago-based Echo Global Logistics. ‘In the US, we’re seeing a lot more cargo theft through fraud. That’s becoming the trend and the more sophisticated way of stealing cargo,’ he added. ‘In Mexico, there’s guns involved and hijackings.’ ”

Why has this been getting worse?

“Explanations for the rise in robberies are many. With Mexico’s exports steadily increasing, there’s more to steal, often of increasing value. The country is awash in guns, many entering illegally from the US. And perpetrators are rarely caught and punished, with some experts saying a decision by Sheinbaum’s predecessor to eliminate the federal police in favor of creating the National Guard made matters worse.  Demand is also a driving factor. ‘There’s a black market for everything,’ Romero explained.”

“With thieves targeting goods ranging from baby formula to clothes, electronics and auto parts, as well as cigarettes, alcohol and fresh produce, the economic losses from cargo theft exceed 7 billion pesos ($368 million) annually, according to Circulo Logistico’s estimates. That figure includes the value of the stolen merchandise, damage to or loss of vehicles, supply chain impacts and operational costs for companies.”

“In addition to the monetary cost, the situation is also taking a toll on truckers, who’re working in increasingly untenable conditions. The industry is already facing a shortage of 70,000 drivers nationwide, Romero said, and recruiting under the current conditions is no easy feat.”

Most of these heists are taking place in central Mexico: “Over 80% of thefts happen in Mexico State, Puebla, Guanajuato, Jalisco, San Luis Potosi and Veracruz, according to the most recent data.   The central region is home to important industrial and logistics corridors, as well as myriad criminal groups, given its proximity to the capital.”

Here’s a map:

Source: N+, AMESIS

It’s a big problem.

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Mexicans Visiting Mexico Say Mexican Officials Worse than U.S. Migration Agents

Mexicans who live in the U.S. have long complained about being taken advantage of by Mexican officials when they go back to visit Mexico.

A recent article in Mexico’s Excelsior quotes such U.S.-resident Mexicans who were passing through Hermosillo in the state of Sonora.

Sonora in red. Source: TUBS

From Excelsior (my translation): “Fellow Mexicans who come from the US to visit relatives in their native city complain upon returning to their homeland that they receive better treatment from U.S. migration agents than from Mexican authorities, who rob them, offend them, and blackmail them under any pretext.”

In the Hermosillo bus station, Excelsior was able to collect the testimony of various returning fellow Mexicans who complain that U.S. agents treat them better than Mexican authorities.”

Hermosillo Bus Station. Source: Daniel Sanchez Dorame

Francisca was a passenger traveling from Utah to the state of Nayarit in Mexico. “Francisca brought a Nintendo Switch for her grandson which can freely enter the country tax free, but the soldier who inspected her suitcase demanded 1800 pesos. She negotiated and paid 75 dollars to avoid problems…”

The 1800 pesos would have been equivalent to about 95 dollars, so she negotiated him down about 20 US dollars. But it was still a robbery.

Francisca reported that all the bus passengers endured similar treatment –” from some they took one or two thousand pesos. In this bus with at least 40 passengers, the fellow Mexican from whom was taken the least amount of money had 500 pesos taken…”

“The abuses of Mexican authorities to the returning fellow Mexicans are not only committed by customs soldiers, but also municipal police in each city they travel through and even from migratory authorities.”

The article ends thusly: “Migrants lament that Mexican officials are worse than those of the United States.”

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In Mexico City, Gringo Immigrants are Targets of Mostly Peaceful Protest on July 4th

Now this is interesting. On July 4th, there was a protest in Mexico City against gentrification perpetrated by “digital nomads”, most of them Americans, who have moved to Mexico City.

Protest in Mexico City. Source: Carl de Souza

Digital nomads are people who work online, and since they work online they can work anywhere. So they go to Mexico City because the cost of living is cheaper but they’re getting their American salary. Not bad.

But some Mexico City residents resent this because it raises prices for them. Plus many of the digital nomads don’t learn Spanish.

I lived in Mexico many years, but I wasn’t like that. I spoke Spanish and integrated into Mexican society.

Many Americans in Mexico, on the other hand, don’t learn Spanish and just hang around with other Americans and Canadians and rich Mexicans. It’s true.

Anyway, I can see the point of these protestors. One of their signs said “Mexico for the Mexicans”. Well yes, of course.

Mexico has the right to permit or prohibit any foreigners from living or not living in Mexico, and on any terms it wishes to establish.

On the other hand, Mexicans should realize that Americans don’t want their country overrun with foreigners either.

Here is a report from the Mexico Daily Post on the protests:
“On July 4, 2025, hundreds of demonstrators gathered in Mexico City to protest against the growing effects of gentrification, particularly in neighborhoods like Roma and Condesa. The march, which began as a peaceful mobilization in Parque México, was organized by local residents and activist groups concerned about rising rents, cultural displacement, and the influx of foreign digital nomads, many of them from the United States.”

“Protesters carried signs with slogans such as “La vivienda es un derecho, no una mercancía” (“Housing is a right, not a commodity”) and “México para los mexicanos”. The demonstration aimed to draw attention to how gentrification has priced out long-time residents and transformed traditional communities into enclaves catering to wealthier foreigners.”

“However, as the march progressed through the Condesa neighborhood, tensions escalated. A group of masked individuals broke away from the main crowd and began vandalizing storefronts, including a Starbucks and several upscale restaurants. Windows were shattered, graffiti was sprayed on walls, and a clothing store was reportedly looted. Some demonstrators also confronted foreign diners seated at outdoor cafés, shouting slogans and demanding they leave.”

“While the majority of participants remained peaceful, the violent turn of events drew a swift response from local authorities. Police were deployed to disperse the crowd and restore order, though no major injuries were reported.”

Fuera Gringo” (Out Gringo) was part of the graffiti left by the protest.

From the Associated Press: “A protest by hundreds against gentrification and mass tourism that began peacefully Friday in Mexico City neighborhoods popular with tourists turned violent when a small number of people began smashing storefronts and harassing foreigners.”

“Masked protesters smashed through the windows and looted high-end businesses in the touristic areas of Condesa and Roma, and screamed at tourists in the area. Graffiti on glass shattered glass being smashed through with rocks read: ‘get out of Mexico.’ Protesters held signs reading ‘gringos, stop stealing our home’ and demanding local legislation to better regulate tourism levels and stricter housing laws.”

“Marchers then continued on to protest outside the U.S. Embassy and chanted inside the city’s metro system. Police reinforcements gathered outside the Embassy building as police sirens rung out in the city center Friday evening.”

“It marked a violent end to a more peaceful march throughout the day calling out against masses of mostly American tourists who have flooded into Mexico’s capital in recent years.”

“Tension had been mounting in the city since U.S. ‘digital nomads’ flocked to Mexico City in 2020, many to escape coronavirus lockdowns in the U.S. or to take advantage of cheaper rent prices in the Latin American city.”

“Since then, rents have soared and locals have increasingly gotten pushed out of their neighborhoods, particularly areas like Condesa and Roma, lush areas packed with coffee shops and restaurants.”

“Michelle Castro, a 19-year-old college student, was among the flocks of people protesting. She said that she’s from the city’s working class city center, and that she’s watched slowly as apartment buildings have been turned into housing for tourists.”

“ ‘Mexico City is going through a transformation,’ she said. ‘There are a lot of foreigners, namely Americans, coming to live here. Many say it’s xenophobia, but it’s not. It’s just that so many foreigners come here, rents are skyrocketing because of Airbnb. Rents are so high that some people can’t even pay anymore.’ ”

“The Mexico City protest follows others in European cities like Barcelona, Madrid, Paris and Rome against mass tourism.”

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Donald Trump Pacifies the U.S.-Mexico Border

Donald Trump has been President of the U.S.A. since January 20th. That’s less than six months.

Some people love Trump, some people hate Trump. But whatever one may say about Trump, the man has certainly fulfilled his pledge to get control of the U.S.-Mexican border.

Mexico-U.S. Border. Source: Encyclopædia Britannica

From Hamed Aleaziz at The New York Times:

“The number of people crossing the southern border illegally has dropped to levels not seen in decades, a sign that President Trump’s message of deterrence and his hard-line immigration policies are working to keep people out. Border Patrol agents made just over 6,000 arrests in June, figures released this week by the Department of Homeland Security show, punctuating a steep drop since Mr. Trump took office.”

“Mr. Trump ran on a platform of shutting down illegal crossings of the southern border and carrying out mass expulsions of people in the United States without authorization, positions that helped sweep him into office. His campaign to execute his immigration promises has invited showdowns with the courts, tested the boundaries of constitutional rights and upended America’s longstanding role welcoming those seeking refuge or asylum. But in his first few months in office, it also appears to have been effective.”

“Adam Isacson, a border expert at the Washington Office on Latin America, said the border crossings in June were the lowest since the 1960s and were likely aided by the intensified immigration push, pointing to images of arrests by Immigration and Customs Enforcement agents, the sending of immigrants to El Salvador and other countries they are not from, and the holding of migrants at the U.S. detention facility in Guantánamo Bay, Cuba.”

This is a big contrast to the previous U.S. administration:

“President Joseph R. Biden Jr.’s administration largely struggled with the southern border, with monthly arrests peaking in December 2023 at nearly 250,000. After Mr. Biden moved to limit asylum at the border, the numbers dropped under 50,000 by the closing months of his administration — but never this low.”

But actually the Biden administration didn’t “struggle” with the border, it intentionally had a near open borders policy. Obviously, that’s not Trump’s policy.

On Jan. 20, the day he took office, Mr. Trump issued an executive order that effectively blocked asylum access for those crossing illegally into the United States. Since then, the highest monthly total of illegal crossings has been nearly 9,000. On one day in late June, according to the Department of Homeland Security, agents made only 137 arrests, a figure the agency called ‘the lowest single-day total in a quarter of a century.’ ”

The article quotes Chad Wolf, who served in Trump’s first administration (before Biden).

“Chad Wolf, Mr. Trump’s acting homeland security secretary during his first administration, said he had not expected the numbers to drop so low, so quickly. ‘Deterrence actually does work,’ he said. ‘And so I think for the most part, people are thinking twice about coming illegally.’ ”

Wolf is now with the America First Policy Insitute (AFPI), a think tank that promotes Trump’s agenda. In that organization, Wolf is Executive Vice President, Chief Strategy Officer & Chair of AFPI’s Center for Homeland Security & Immigration.

Donald Trump has pacified the U.S.-Mexican border, and I think that’s good for Mexico as well.

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Mexican Beer Sales in U.S. Down As a Result of Trump Policies?

U.S. sales of Mexican beers Corona, Modelo and Pacifico have recently dropped and this drop may result from Donald Trump’s policies.

All 3 beer brands are made by Mexico’s Modelo group and distributed in the United States by Constellation.

Modelo Especial, by the way, is the best-selling beer in the U.S.A.

So what do Trump’s policies have to do with it?

According to CNBC:

“Constellation Brands’ beer sales fell 2% in its latest quarter as President Donald Trump’s deportations and consumers’ broader economic fears weighed on demand.”

“In April, Constellation CEO Bill Newlands said that Hispanic consumers are spending less due to their concerns about Trump’s hard-line immigration policy and possible job losses in industries with high Latino employment bases. During Wednesday’s [July 2nd’s] earnings conference call, Newlands acknowledged that raids by U.S. Immigration and Customs Enforcement were making it difficult to predict consumer behavior moving forward, although he demurred about tying the beer division’s slowdown to Hispanic shoppers specifically during the company’s fiscal first-quarter call.”

“ ‘When you see a fair amount of change, both Hispanic and non-Hispanic consumers are concerned about inflation and about cost structure,’ Newlands told analysts.”

“Hispanic consumers are a core part of Constellation’s customer base. The brewer, which owns Modelo, Corona and Pacifico, says that roughly half of its beer sales come from Latinos in the U.S.”

“Constellation’s earnings and revenue for the quarter ended May 31 fell short of Wall Street’s estimates, hurt by weaker beer demand and higher aluminum costs from Trump’s tariffs. Still, the company reiterated its full-year outlook, signaling confidence that it can achieve its financial targets despite economic uncertainty.”

Another article on the same topic on the U.K.’s Independent reported more of what CEO Newlands said:

“Newlands said its Hispanic customers are ‘very interested in beer,’ but ‘occasions on which beer is consumed have decreased,’ Yahoo Finance reported.”

“The CEO said Hispanic consumers are ‘not going out to eat as much as they had, they’re having less social occasions at home.’ ”

“Constellation Brands’ worse-than-expected earnings and revenue were also caused by President Donald Trump’s tariffs on aluminum, according to the company.”

I wrote about that here on Mexico News Report back in March and here in April.

“Trump’s mass deportation plan is in full swing. Last month, the White House announced ICE had made more than 100,000 arrests since Trump took office for the second time.”

“The Trump administration’s immigration crackdown has put fear into America’s Latino and Hispanic populations, with some too afraid to leave their homes.”  

According to The New York Post “The giant brewer of Modelo and Corona said it has suffered a double whammy from the White House as its margins got squeezed by President Trump’s tariffs — and its sales have been slammed by the immigration crackdown.”

“Constellation Brands, whose Modelo brand is the top-selling beer in the US, on Tuesday [July 1st] reported adjusted earnings per share of $3.22, below LSEG analysts’ expectations of $3.31, in the first quarter ended May 31.”

“Trump hiked levies on aluminum to 25% in March and raised them again to 50%  in early June, threatening to raise costs for products like beer, soda and energy drinks sold in cans.”

Rochester, NY-based Constellation sells only imported Mexican beers like Corona and Pacifico – which also left it heavily exposed to 25% tariffs that Trump imposed on foreign beer imports in April.”

“While the tariffs hit margins, the company also reported disappointing revenue — just $2.52 billion in the latest quarter, versus Wall Street’s forecast of $2.55 billion.”

“The beer maker blamed the sales shortfall on weaker demand ‘largely driven by…non-structural socioeconomic factors,’ as well as its divestiture of Svedka voda [sic], according to CEO Bill Newlands.” 

“In April, Newlands said that Hispanic customers – who make up roughly half of Constellation’s beer sales – had pulled back on buying from the brand amid Trump’s immigration crackdown. ”

“ ‘The fact is, a lot of consumers in the Hispanic community are concerned right now,’ Newlands said during a company conference call.”

“ ‘Over half are concerned relative to immigration issues and how those impact [them]. A number of them are concerned about job losses in industries that have a high Latino employment base.’ ”

“As a result, Hispanic consumers have cut back on discretionary spending, including goods and services like restaurants, clothing, travel – and beer, Newslands [sic] said.”

“Shipment volumes in its beer business dropped 3.3% during the latest quarter on the slump in demand.”

“Its operating margin fell 150 basis points, or 1.5%, during the same period due, in part, to the aluminum tariffs, the company said.”

“Shares in Constellation have fallen 25% so far this year. The stock plunged in January after the company reported weak fourth-quarter earnings and revealed a full-year forecast below expectations.”

“Constellation also sells wine and craft spirits, but its beer business is the real money maker, accounting for roughly 80% of total revenue.”

“Constellation reported first-quarter net income of $516.1 million, or $2.90 per share, down from $877 million, or $4.78 a share, the year before.”

“However, Constellation maintained its full-year forecast, including comparable earnings per share of $12.60 to $12.90.”

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Remittances from the U.S. to Mexico

Remittances are funds sent by migrants to their home country.

After India, Mexico is the second-largest recipient country of remittances in the world. Most of that money is sent by Mexicans in the United States. About 40% of it is sent in cash.

U.S.A. in orange, Mexico in green. Source : Wikipedia

Mexico’s central bank reported that in 2024, the country received $64.7 billion in remittances, a record amount. That sum accounted for nearly 4.7% of Mexico’s gross domestic product.

That explains in part why the Mexican government so fiercely defends keeping Mexicans in the United States.

But for Central American countries it’s a much higher percentage. Remittances account for a quarter of the GDP in both Honduras and Nicaragua. For El Salvador it’s 23.5% and for Guatemala 19.5%.

In May of 2025, as reported by Reuters, “Remittances sent to Mexico dropped 4.6% in May compared to a year earlier…The figure for May hit some $5.36 billion, the accumulation of some 13.9 million transactions averaging $385 each. While the size of each transaction edged up compared to the same month last year, the number of transactions dropped some 5.7%.”

More from Reuters: “In April, Mexico central bank logged the steepest drop in remittances in nearly 13 years. The May remittances data marked the second consecutive year-on-year decline and the third so far this year, according to central bank data. The decline in remittances sent to Mexico is an outlier in the region. El Salvador, Honduras and Guatemala have all registered sharp increases in remittances so far this year compared to the same period in 2024, according to official data.”

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Colombian Mercs in Mexico

A growing number of Colombian mercenaries have been working for Mexican drug cartels.

Mexico in orange, Colombia in green. Source: Wikipedia

Spain’s El País recently ran an English-language article on the topic.

From the article:
“The growing presence of former Colombian military personnel in Mexico has authorities on edge. Last week, Claudia Sheinbaum’s administration reported the arrest of 12 Colombian citizens in connection with the deaths of eight soldiers from an antipersonnel mine in Michoacán, in the center of the country. Nine of those arrested are former military personnel, while the other three had received military training.
This case adds to other recent incidents in the region, where authorities have linked Colombian citizens to drone bomb attacks. In Guanajuato, local police claim to have identified ‘Colombian paramilitaries, lancers, and explosives experts.’ ”

And it’s not just in Mexico:

“Hundreds of former Colombian soldiers are leaving their country each year to fight in foreign conflicts, such as the war in Ukraine, attracted by high salaries. ‘To put this into perspective, in 2008, in Latin America alone, there were 12,000 mercenaries, and by 2018, the number was estimated at 2.4 million,’ says Paloma Mendoza Cortés, a professor and expert in national security at ITAM, one of Mexico’s most prestigious universities. ‘Most of them are of Colombian origin, and for many years the government denied their existence. It’s a surprising phenomenon and one that has a decisive influence that helps explain the increase in the firepower of organized crime.’ ”

“In Mexico, the CJNG and other groups offer large sums to mercenaries to fight in an extremely violent environment. In each of the last eight years, Mexico has recorded more than 30,000 murders, most of them committed with firearms. Drug trafficking to the United States, the illegal flow of weapons southward, and the mafia-like practices of criminal groups, immersed in thousands of battles to control entire regions, exacerbate the violence.”

Colombians work for different cartels and so have probably wound up fighting each other in Mexico.

Why are Colombians in such demand as mercenaries?

“Colombians are highly valued in the military contractor market overseas. Andrés Macías, a member of the U.N. Working Group on the use of Mercenaries, explains that this is due to their ‘extensive experience’ in counterinsurgency combat. ‘The level of training of the Colombian military is very high and almost comparable to that of the United States. Furthermore, a regular soldier can retire at 40. In other words, at a young age, people can accumulate up to 20 years of military experience in one of the most highly trained armies in the world,’ he points out.”

It usually boils down to the money.

“The most common reason former military personnel give for becoming mercenaries — in more than a dozen countries such as Ukraine, Russia, Yemen, and the United Arab Emirates, among others — is the meager retirement pay they receive as veterans. Offers from security companies, foreign militaries, and now cartels are also pushing many to fight in foreign conflicts.”

“The lure of earning up to five times more has led many to fall into traps, as several Colombian groups have reported, such as those who fought with Sudanese paramilitaries or those currently facing prosecution for the assassination of Jovenel Moïse in Haiti. ‘Many are offered a contract to perform specific activities and are then forced to do others. This is what is known as predatory recruitment,’ explains Macías. Being in an unknown country, often without their own money or documentation, recruits are vulnerable to falling entirely into the hands of these mercenary networks.”

“Colombian President Gustavo Petro, along with his administration, has promoted a law against mercenarism to prohibit an activity that ‘exploits retired military personnel.’ Those involved in the business blame the Colombian government for failing to protect veterans so they can adapt to civilian life.”

Nor do Colombian mercs necessarily travel directly from Colombia to Mexico. The article quotes a 31-year old Colombian military veteran in Mexico who tells how he got there: “I was in Ukraine for a few months. Many of us created TikTok accounts where we showed our daily lives. The cartels contact you through them.”

The cartel offered this individual 2,000 dollars a month and offered to transport him and others from Warsaw, Poland to Mexico. ” ‘Leaving from Colombia is more difficult’, he said, ‘You have to cross the Darién River with fake passports, and now, with the security Panama has put in place, it makes you think twice,’ he notes.”

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Sophisticated but Incomplete Tunnel Discovered on U.S.-Mexico Border

An uncompleted drug smuggling tunnel has been discovered on the U.S.-Mexico border.

From a U.S. Customs and Border Protection document dated June 18th, 2025: “U.S. Border Patrol agents have uncovered and disabled a large-scale narcotics smuggling tunnel linking Tijuana to the San Diego area. The uncompleted tunnel extended more than 1,000 feet inside the U.S. and was highly sophisticated.”

It was discoverd in April.

“In early April, Border Patrol agents assigned to the San Diego Sector Tunnel Team discovered the tunnel as it was actively under construction. The Tunnel Team made entry into the tunnel, which ran under a portion of the Otay Mesa Port of Entry. Based on preliminary indications, the tunnel had a projected exit point near or within a nearby commercial warehouse space.

And check this out….”The investigation revealed the tunnel was equipped with electrical wiring, lighting, ventilation systems, and a track system designed for transporting large quantities of contraband.”

And this… “When agents made the first entry into the tunnel, they encountered multiple makeshift barricades. These barricades were placed haphazardly by the tunnel workers in an apparent effort to impede agents’ southbound progress and the eventual identification of the tunnel’s origin.”

“Agents carefully mapped the tunnel, which measured 2,918 feet in total length. Inside, the tunnel dimensions measured 42 inches in height, 28 inches in width and ran approximately 50 feet underground at its deepest point. On Monday [June 16th], Border Patrol in collaboration with Homeland Security Investigations and Government of Mexico authorities worked to locate the origin point of the tunnel. The entrance was located within a residence in the Nueva Tijuana neighborhood. Mexican authorities served a warrant at the location and found the entrance to the tunnel had recently been concealed by freshly laid tile.”

Of course, this is far from the first such tunnel: “Since 1993, more than 95 tunnels have been found and decommissioned in the San Diego area.”

What do they plan to do with it? “This tunnel has been scheduled for immediate remediation by the U.S. Border Patrol San Diego Sector Tunnel Team. Contractors will pour thousands of gallons of concrete into the tunnel, preventing the tunnel from use by Foreign Terrorist Organizations.”  

Here’s a photo of the tunnel:

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