On May 5, 2025, President Claudia Sheinbaum’s administration formally launched “Plan México,” a sweeping stimulus package designed to revive a stalling economy and avert a slide back into recession. With first-quarter GDP growth languishing at just 0.2 percent—barely above the 0.6 percent contraction recorded in Q4 2024—the government is under pressure to stimulate domestic production and safeguard jobs. Finance Minister Edgar Amador introduced the plan in a press conference at the Secretariat of Finance, emphasising its twin goals: to boost annual growth by about 0.7 percentage points and to create approximately 700,000 new jobs each year .
Central to “Plan México” is a mandate that federal procurement contracts include higher proportions of Mexican-made goods. The requirement, which will gradually rise to a 60 percent local content threshold by 2027, prioritises sectors such as machinery, steel, and textiles. By ensuring that public-sector demand flows to domestic suppliers, officials aim to catalyze investment in factories and supply chains. “We want to transform government spending into an engine for growth,” Amador said, noting that public procurement accounts for nearly 15 percent of Mexico’s GDP.
To complement this demand-side stimulus, the plan also tightens import quotas on a basket of industrial goods—cutting allowable volumes by 10 percent across items ranging from automotive parts to furniture. Economy Minister Marcelo Ebrard argued that these measures will protect local producers from unfair competition, particularly dumping, which has surged amid global supply-chain disruptions. Over the past two years, steel and textile imports priced well below domestic production costs have contributed to near-shuttered factories in states like Coahuila and Nuevo León .
In parallel, the government has moved to combat underpriced imports with sharper anti-dumping enforcement. Last month, the Ministry of Economy revoked 50 percent of the steel import licenses under review for pricing irregularities. It also announced new reference prices for paper, textile, and furniture products, signaling tougher action against violators. Industry representatives welcomed the crackdown but cautioned that Mexico must forestall any retaliatory tariffs from key trading partners, particularly the United States and Canada.
Analysts at BBVA México noted that while “Plan México” strikes the right balance between demand and supply measures, its success hinges on smooth implementation and stakeholder buy-in. “Raising local-content rules places the onus on government agencies to monitor compliance effectively,” said BBVA economist Luis Barrios. “And import-quota reductions need to be calibrated to avoid supply shortages that push domestic prices higher.”
Fiscal impact is another concern. Although the plan relies largely on regulatory changes, some sectors—especially social-infrastructure projects—will see elevated spending. The finance ministry projects a 0.2 percent uptick in the fiscal deficit for 2025, but insists this remains within safe limits. Moody’s Investor Service affirmed Mexico’s “stable” outlook following the announcement, noting that the plan’s mix of targeted support and market-friendly enforcement is credit-positive .
Beyond its economic mechanics, “Plan México” carries political significance. It represents the Sheinbaum administration’s most ambitious domestic-policy initiative to date and will test its capacity to deliver concrete results ahead of mid-term elections in 2026. Opposition parties have already signaled scrutiny: PAN critics question whether the timing—amid global inflationary pressures—risks igniting a second‐round price surge, while PRI lawmakers warn against “over‐reliance on import restrictions.”
The government has scheduled a series of stakeholder consultations throughout May, inviting business chambers, labour unions, and state governors to refine the measures. Final regulations are set to be published by June 1. If effectively managed, “Plan México” could mark a turning point for an economy that has struggled to regain momentum after the COVID-19 shock and recent global headwinds. For millions of Mexican workers and entrepreneurs, the success of this plan will determine whether the country can translate policy ambition into tangible growth and sustained job creation.