Skip to main content
Support

Mexico's Judicial Reforms Spark Strike, Investor Concerns, and US Condemnation

August 29, 20242:45

Tensions between Mexico and the US are running high over President Andrés Manuel López Obrador's proposed judicial reforms. The changes would allow judges, including those on the Supreme Court, to be elected by popular vote. US Ambassador Ken Salazar has warned that the reforms could harm Mexico's democracy by making the judiciary more susceptible to influence by drug cartels and partisanship. If enacted, they could also have a negative impact on the US-Mexico trade relationship. 

Lila Abed, Director of the Wilson Center's Mexico Institute, provides insights on what the reforms could mean for the USMCA and the potential impact they could have on US companies doing business in Mexico. López Obrador's proposed changes have resulted in a strike by more than 50,000 judicial workers, warnings from business leaders about potential negative impacts on foreign investments, and a downgrade in Mexico's investment rating by Wall Street firms. 

Transcript of Video

  • President Lopez Obrador, on February 5th of this year presented a series of constitutional reforms that have caused a lot of controversy, both in Mexico and the United States.

    In particular, the judicial reform has caused a lot of alarm in the United States because it represents, not only a clear and direct violation of USMCA commitments and obligations on behalf of Mexico, but because it really puts at risk billions of dollars of US investment in Mexico.

    Given that many companies will now not have, you know, a clear legal system in which they are able to protect their investments.

    The judicial reform not only seeks, for justices and Mexico's Supreme Court, for federal and local judges as well to be elected by popular vote, but the requirements to become a judge or even a Supreme Court justice are very low, which opens the path to have judges and a judicial system with members that are, you know, not qualified for the job.

    The second real concern is that it opens the path to further influence from organized crime, who, already play an important role in determining who the judges, at least at the local, municipal and state level, are going to be in order to protect their interests.

    Now, if all judges are going to be elected by popular vote, you know, the organized crime could really influence the election of these judges in particular states.

    But more than that, it would really diminish the checks and balances against the executive branch. The Supreme Court has been the one government branch that has put a stop to many of President Andrés Manuel Lopez Obrador's past reforms, passed bills and has deemed them unconstitutional for a variety of reasons.

    And so, in order to have a real democracy with checks and balances, where all the power is not concentrated only in the presidency, is extremely important to have a thriving and flourishing democracy. And so this judicial reform not only presents problems for the capacity and the skills that the next judges will have, but it also diminishes sort of the democratic institutions and the separation of powers in Mexico.

    These new announcements on behalf of the Mexican president just adds, you know, unpredictability. It really could stem the competitiveness, the prosperity of the North American region and it could really undermine the USMCA in the very near future.

Guest

Lila Abed

Lila Abed

Director, Mexico Institute
Read More

Hosted By

Mexico Institute

The Mexico Institute seeks to improve understanding, communication, and cooperation between Mexico and the United States by promoting original research, encouraging public discussion, and proposing policy options for enhancing the bilateral relationship. A binational Advisory Board, chaired by Luis Téllez and Earl Anthony Wayne, oversees the work of the Mexico Institute.   Read more