MANZANILLO, Mexico (Reuters) – Mexico is proceeding with an ambitious expansion of its largest seaport, the Port of Manzanillo, as part of a strategic push to strengthen its position in global trade despite ongoing challenges related to U.S. tariffs.
The Mexican government has initiated a multibillion-dollar expansion project aimed at increasing the port’s capacity to process up to 10 million 20-foot containers annually. The Port of Manzanillo, located on Mexico’s Pacific coast, is currently the largest port in the country and the third-largest in Latin America, handling nearly 4 million containers in 2024.
The expansion is a key component of President Claudia Sheinbaum’s infrastructure agenda, and it is expected to enhance Mexico’s competitiveness in international trade. The project will not only increase container traffic but also expand the port’s capacity for handling hydrocarbon products. The expansion is projected to be completed by 2030.
Despite global economic challenges, including trade tensions arising from U.S. tariffs, Mexican authorities remain optimistic about the country’s economic outlook. The International Monetary Fund (IMF) recently revised its growth forecast for Mexico, predicting a 0.3% contraction for 2025 due to the ongoing effects of U.S. trade policies. However, President Sheinbaum has disputed this forecast, asserting that public investment, including the port expansion, will help drive economic growth and mitigate the impact of external factors.
In Manzanillo, port officials have noted that U.S. tariffs have had minimal impact on trade flows. Julieta Juarez Ochoa, the port’s commercialization manager, stated that most imports arriving at the port come from Asia and are primarily used in Mexico’s domestic manufacturing sector. “We don’t see any real impact from the U.S. tariffs, and we don’t foresee a significant impact moving forward,” she said.
The expansion of the Port of Manzanillo is part of broader efforts by the Mexican government to modernize the country’s infrastructure and boost domestic industry as part of the “Plan Mexico” initiative, aimed at strengthening economic resilience in the face of external challenges.
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