Rescuing Pemex?

Pemex is drowning in its own debt, and the Mexican government has finally decided to bail it out.

Pemex will issue and back debt to provide short-term liquidity and pay its debts.

It's not debt for new projects or new developments. It's debt to pay off debts.

Through an international financial scheme, pre-capitalized notes will be issued that will allow you to have resources to meet your operational and financial needs.

However, the agency, headed by Edgar Amador, clarified that this is not a guarantee for Pemex.

The intention is for Pemex to improve its liquidity, optimize its maturity profile, and reduce liabilities and financial costs.

The Treasury did not provide further details.

He did not explain the economic value involved in issuing these pre-capitalized notes.

However, according to a Bloomberg report, the issue will be for between $7 and $10 billion.

Later, a document was leaked detailing the financial arrangement contracted with Eagle Funding LuxCo, a financial entity, presumably a Special Purpose Vehicle (SPE) used to structure financial transactions, based in Luxembourg, a financial center known for its favorable tax regime and flexible regulation for SPEs.

It's a financial scheme through an international trust, with which Pemex will obtain resources at lower rates than it would have to pay by issuing debt on its own.

At the same time, the government absorbs part of the cost, but without it appearing as direct public debt.

If Pemex doesn't increase its production or can't pay its debts, the government will end up paying them.

What is certain is that Pemex owes just over $20 billion, equivalent to around 400 billion pesos, to its suppliers.

It is also known that these debts are affecting large, medium-sized, small, national, and international companies.

And it is also known that nonpayment is not only financially strangling supplier companies, but is also affecting Pemex's operations.

We'll see if, with this strategy, Pemex begins to pay its suppliers and manages to resume operations halted by companies unable to pay their employees and keep their jobs.

The most important thing is that it manages to increase its production; if not, the Mexican government will end up paying for the resources Pemex obtains.

More specifically, all taxpayers will end up paying the price for the money being issued through this financial scheme.

Tariffs hit US auto factories

The 25% tariffs on vehicles manufactured outside the U.S. are taking their toll.

Within hours of each other, information was released revealing the negative economic impact on American automotive manufacturers.

Stellantis forecasts losses of $2.68 billion in the first half of the year.

General Motors revealed that its net income plummeted 35% in the second quarter of 2025 compared to the same quarter in 2024, due to increased costs and industry uncertainty generated by President Donald Trump's auto tariffs.

The tariffs cost the company $1.1 billion.

Glimpses

***Two worrying economic notes: 1.- In May, zero economic growth was recorded, according to Inegi.

And, 2.- The federal government sharply reduced investment in infrastructure from January to May.

***Good news! Montserrat Llarena Jiménez, Wideline's manager of maritime and air operations, won the award for representing the Americas and Mexico in the international competition organized by the International Federation of Freight Forwarders' Associations (FIATA), a non-governmental organization representing the global freight forwarding and logistics industry, based in Geneva, Switzerland.

Llarena Jiménez also represents Amacarga, the Federation of National Associations of Freight Forwarders and International Logistics Operators of Latin America and the Caribbean.

Following her triumph at the local and regional levels, Llarena Jiménez will participate in the FIATA World Congress next October in Hanoi, where the global winner of the Young Logistics Professionals Award will be revealed.