The Dominican Republic has been working in recent years to position itself as a strategic nearshoring hub for U.S. businesses as a result of stable tariffs, steady investment, and record-breaking economic growth. Víctor “Ito” Bisonó, Minister of Industry, Commerce, and MSMEs (MICM), highlighted the importance of these trends on national media platforms, while also noting that this trajectory will only increase over the coming years in tandem with the country’s onshoring opportunities in rare earth minerals and high-tech manufacturing.

A Strategic Partner with a Competitive Advantage for the United States

The Dominican Republic is already recognized by Minister Bisonó as one of the most attractive trade partners of the United States, thanks to a wide range of logistical, geographical, and labor market advantages that put Washington at a competitive advantage. Bilateral trade is heavily tilted in Washington’s favor, with an estimated annual surplus of USD 6 billion that is underpinned by reduced transportation costs and times for companies based in the U.S. taking advantage of short flight times, geographic proximity, and a modern logistics network.

The diversification and relocation of manufacturing and supply chain operations from far-flung markets in Asia and elsewhere is a strategic priority for the United States, and the Dominican Republic is seen as a perfect nearshoring hub for the U.S. in this regard, as Minister Bisonó notes. Central to this status is the local free zone system, workforce readiness and language capabilities, and the presence of certified compliance with U.S. standards and regulations. Nearshoring advantages for the U.S. include traditional exports such as medical devices and pharmaceuticals, electronic manufacturing and assembly, and textiles and apparel, as well as emerging segments in microelectronics, clean tech, and even quantum-enabled technologies.

Security Cooperation to Reduce Drug Trafficking and Illegal Migration

The Dominican Republic is also a key security partner of the U.S. in the fight against drug trafficking. Minister Bisonó noted that Dominican authorities managed to seize 45 tons of cocaine last year, an accomplishment that stands out in the country’s history of security operations. The interdiction of cocaine in the Caribbean on the route to U.S. markets continues to be a priority for the United States, and the cooperation between both countries is improving year over year. This cooperation adds to the predictability of the Dominican Republic as a supplier base of operations for U.S. investors.

As for other strategic interests, such as illegal migration, the Dominican Republic remains a friendly partner of the United States in the effort to avoid irregular and undocumented flows of workers to American territory. The Minister insisted that the Dominican Republic is not a country of origin for illegal migration, another area of agreement between the two countries.

Interest in the Dominican Republic as a strategic nearshoring hub is increasing, as Bisonó underscored in the context of high-level U.S. visits that have taken place in recent months. On the one hand, Secretary of State Marco Rubio traveled to the Dominican Republic in June for his first official visit to the country as head of the State Department, during which he made clear the strategic role of the Dominican Republic in rare earth minerals, quantum-enabled technologies, and the semiconductor supply chain. He stated, for example, that in next-generation industries the Dominican Republic would be the “ideal partner” for the United States.

For U.S. policy circles, the diversification of the supply of raw materials and the decoupling of industries from geographically and politically sensitive suppliers is one of the strategic levers on the political agenda. In this new global reconfiguration of production and supply chains, the Dominican Republic has also been clearly highlighted in recent days with the visit of U.S. Secretary of Defense Pete Hegseth, which took place in the context of tensions with the U.S. military’s intervention to prevent drug shipments in the Caribbean.

War on Drugs at the Center of U.S.-Dominican Cooperation

Bisonó underscored the Dominican Republic’s existing and broad cooperation with the U.S. Department of Defense, which he expects Secretary Hegseth to publicly reiterate after his visit. Hegseth’s visit takes place while President Donald Trump has ordered the U.S. military to engage in a full-on offensive against drug smuggling “narco-boats” in Caribbean waters, given their importance in feeding demand in U.S. markets.

Free Zones for Export Growth and U.S. Corporate Interest

Free zones and the strong export record of these free zones as a nearshoring hub in sectors as diverse as industrial machinery, pharmaceuticals, medical devices, and cosmetics are among the pillars of economic growth that Bisonó has also recognized. Free zones represent 67% of total exports in the Dominican Republic, providing U.S. companies seeking to expand or enter the local market with a mature and reliable platform to operate in the Dominican Republic, as well as within the context of regional integration and the operation of supply chains that cover the entire Caribbean Basin and South America.

In addition, the MICM Minister also reported historic highs in foreign direct investment last year at USD 4.8 billion and expects these levels to be broken again with estimates of more than USD 5 billion in 2025. The main sectors attracting new investments in the Dominican Republic nearshoring hub have been logistics, manufacturing, renewable energy, telecommunications, and high-value services.

Business confidence depends on stable regulatory frameworks, predictable judicial systems, and efficient logistics infrastructure.

Foreign direct investment (FDI) is one of the engines of industrial transformation. Just as foreign capital shaped copper mining in Chile or boosted manufacturing in South Korea, today’s new investment flows signal a profound reshaping of the global economic map. The key question is what role economies like Guatemala’s will play in this new geometry, where the industries of the future define capital flows. In this context, Guatemalan nearshoring advantages are becoming increasingly relevant as companies rethink their global production networks.

Between 2022 and 2025, three-quarters of global foreign investment announcements were directed toward advanced sectors: data centers, semiconductors, electric vehicles, batteries, and clean energy. These are industries that require capital, knowledge, technology, and specialized talent—industries that are constructing the infrastructure that will support artificial intelligence, the energy transition, and next-generation manufacturing.

Latin America has experienced a paradox. Although the region continues to receive significant investment, the flows are directed primarily toward basic manufacturing rather than advanced sectors. While the region has not yet fully joined the major redesign of global investment, Guatemala has a concrete opportunity to position itself as a strategic node—especially if it manages to attract part of the productive relocation companies are seeking in an increasingly fragmented world. As the nearshoring trend accelerates, Guatemalan nearshoring advantages could help bridge the gap between traditional and high-value manufacturing.

The Geopolitical Shift in Investment and Its Implications

A recent McKinsey study titled The FDI Shake-Up analyzes the evolution of FDI in depth and shows that multinational companies are increasingly investing closer to their political allies. The “geopolitical distance” of FDI has dropped by more than 20% since the global financial crisis, meaning that capital flows now pursue not only economic efficiency but also strategic alignment.

The trend toward regionalization and reduced geopolitical distance favors countries with proximity to the United States. In this sense, Guatemala possesses a structural advantage: its location along the Central American corridor allows integration into North American supply chains. While Mexico has been the main beneficiary of the nearshoring trend, Guatemala could benefit as well if it manages to combine trade openness with political stability. It has the potential to capture the “second wave” of investment, particularly in advanced manufacturing, logistics centers, and digital services. These shifts further highlight the growing relevance of Guatemalan nearshoring advantages for companies diversifying their operations.

The report also highlights a revealing fact: megainvestments of more than US$1 billion—although they represent just 1% of all projects—account for nearly 50% of the total value of announced investment. These megadeals are transforming the global economy, especially in the technology and energy industries. For Guatemala, the challenge is to attract medium-sized projects that feed into these major value chains, positioning the country as a reliable and competitive provider of industrial services, infrastructure, and talent.

Guatemala’s Opportunity in the Industries of the Future

FDI flows are redefining global productive capacity. McKinsey estimates that the projects announced since 2022 could double the world’s data center capacity, increase semiconductor capacity by 60%, and quadruple battery capacity outside China. These figures foreshadow an industrial revolution driven by digitalization and the energy transition.

During the first quarter of 2025, Guatemala received approximately US$476 million in FDI, a 17% increase compared with the same period the previous year. This is excellent news that positions the country to enter this global dynamic through three key fronts.

The first is the digitalization of services. Major cloud and artificial intelligence providers are expanding their infrastructure in Latin America, but Central America still has few hubs. Encouraging the installation of regional data centers—leveraging macroeconomic stability and proximity to the U.S. market—would be a decisive step.

The second front is energy. Guatemala can position itself as a key player in the global energy transition. According to the report, investment in low-carbon projects has doubled since 2019, and renewable energy represents three-quarters of all announced energy investment. Guatemala’s energy matrix already has a high share of renewable generation, which can be leveraged to expand clean energy exports to neighboring markets. To attract investment in this sector, Guatemala can focus on developing modern energy infrastructure, such as high-capacity transmission lines and energy storage systems. Establishing clear and predictable regulatory frameworks will be essential to building confidence among international investors.

The third front is human capital development—the industries of the future demand advanced technical and digital skill sets. FDI can transfer knowledge, but only if it finds well-prepared ecosystems. In countries such as South Korea and Vietnam, the alliance between foreign investment and technical education was the driving force behind industrial development. Guatemala can replicate this model by strengthening its network of vocational and technical training programs in robotics, programming, industrial maintenance, and energy management.

Risks and Conditions for the Future

The bad news is that many investment announcements never materialize (around 30%), and in regions with greater institutional uncertainty, the rate is even lower. Guatemala faces this challenge. Business confidence depends on stable regulatory frameworks, predictable judicial systems, and efficient logistics infrastructure.

At the regional level, Latin America faces a dilemma. On one hand, it has abundant natural resources and a young workforce; on the other, it suffers from political volatility, regulatory inefficiency, and low infrastructure investment. In recent years, the annualized value of new FDI announcements has fallen to half the average seen before 2020. Regaining that dynamism requires more than tax incentives. The countries that succeed will be those that link foreign investment to sustainable industrial policies and strong local value chains.

In this regard, Guatemala can become an exemplary case if it orients its strategy toward FDI that builds national capabilities. Integrating into the semiconductor, electromobility, or software value chains does not require becoming a world leader—it requires becoming a reliable, complementary participant. Free zones, technology parks, and partnerships with universities can all serve as vehicles for investment attraction if they are aligned with a long-term vision.

If the country manages to build an environment that combines openness, stability, and technological vision, it can become part of the productive chains that will define Latin America’s industrial future and position itself as a bridge to long-term prosperity.

Weak development in Peru’s logistics services could prompt operators to seek alternative gateways. This is the main warning expressed by the members of the private sector that has been maturing over the years: in addition to other factors, Peruvian logistics has gaps that do not allow it to fulfill its potential. Although the country has excellent conditions and has had excellent results in many export-oriented sectors of the economy, that window of opportunity will close if it does not improve the logistical insertion of Peruvian companies. Peru’s export sector, therefore, faces a critical moment: to date, the national economy has achieved commendable results in exports of agricultural products, mining, and the development of energy supply. However, logistics has not yet reached the same level of development.

The warning comes from the private investment promotion agency of the Ministry of Economy and Finance (MEF). The argument is that without the development of infrastructure such as ports, roads, airports, and telecommunication networks, the country will be unable to maintain its performance in those segments and, above all, will not be able to consolidate its participation in certain markets that have been captured through recent investments. Without improved logistical development, all that effort could be frustrated in the medium and long term. The lack of transport infrastructure has an impact on the costs of all exporters, and, even worse, limits the capacity of national logistics to keep pace with growing global demand for Peruvian products. As a result, Peru’s favorable location would quickly become irrelevant unless it quickly closes its logistical deficiencies.

Peru’s logistics and the urgent need to increase exports

ProInversión’s executive director, Luis del Carpio, has also insisted on the need to remove bottlenecks in infrastructure. “Our capacity for economic growth is much higher than what our infrastructure can support,” he said in the virtual seminar Foreign Trade and Infrastructure organized by ComexPerú. Del Carpio is pointing to a key issue, which is that the advance of Peru’s export industries continues to occur without improvements in the supporting infrastructure. Peru, in short, has the production capacity, labor, comparative advantages, and much more to grow faster than it has done until now. But logistics infrastructure has not allowed that to happen.

The head of ProInversión recognized that there have been advances in the logistics sector in recent years, thanks to private-sector initiative and the PPPs promoted by ProInversión to get the country to surpass several of its neighbors in this field, from a market-oriented model. He stressed that the country has had the possibility of implementing an infrastructure model in which PPPs can be the great driving force for modernization. But he added that the current challenge is not lower than the previous one and that, in many cases, it could be much greater. The great challenge, which Del Carpio also expressed, is to develop integrated logistics corridors. The goal is to generate a chain between the port, the highways, and the international corridors to seek efficiency and competitiveness. “We are already competing by logistics corridors. We have to focus on that, the competition is no longer port-to-port, but corridor-to-corridor,” he pointed out.

The executive of ProInversión has also emphasized that if the country does not correct its infrastructure and logistics deficit, it runs the risk of losing corridors and routes. As a result, he said, the growth of exports would be limited. “If we do not put value on the fact that timing in logistics is critical for competitiveness, we will lose ground. We have many challenges,” he stressed. With these statements, Del Carpio points to the need for Peruvian logistics to move forward in line with international trends. If countries do not streamline their logistics, in addition to losing time and money, long-term opportunities will be lost because shipping companies and multicompany exporters will be forced to redirect the flow of cargo.

Road and logistics disconnect in Peru generates additional costs

On the other hand, in the same seminar, Raúl Díaz, general manager of Lima Express, also warned of the need to connect the road infrastructure projects in the country with logistics. “The network of roads and logistics is not working hand in hand. This is what causes a lot of inefficiencies to be generated and, in the long run, they are extra costs that limit our development,” he said. In his opinion, it is essential to coordinate infrastructure projects with a long-term vision of mobility oriented towards efficient logistics corridors. Without articulating urban mobility projects with the requirements of freight transportation, Peru will run the risk of building very modern and innovative infrastructure that, in the end, does not fit well into the country’s national and international trade corridors.

Díaz has also indicated that to generate the conditions for investment, it is essential to have legal stability and respect for contracts. Infrastructure investments are long-term in nature, and many projects require years before being able to be projected in construction, even more so in operation. In this regard, he stated that the interest of all should be directed to political will, an issue that must be transcended so that infrastructure projects that benefit the people can be built and adapted to the future challenges of foreign trade. The general manager of Lima Express is therefore also marking the tone, as in a majority among members of the private sector that should be part of decision-making, of what is required to improve Peruvian logistics: institutional stability.

Chancay Port: a model for logistics investment in Peru

In turn, Gonzalo Ríos, deputy general manager at Cosco Shipping Ports Chancay Peru, has stressed that Peru has a geographically privileged position for international logistics. He has also highlighted the country as an example in recent years of the role of private investment in logistics development. However, he stated that the Government must also maintain its role in promoting a stable regulatory framework and in facilitating public-private partnerships. The Chancay megaproject, which will become a new logistics hub for trade between South America and Asia, is an example of the potential of investment when logistical planning is carried out in line with market opportunities in the global economy.

The Peruvian executive, for his part, argued that a comprehensive vision for logistics also requires investments in regulatory aspects and stability that generate greater confidence among domestic and foreign investors. A strong, modernized Peruvian logistics, Ríos stressed, must include investments in infrastructure, technologies, and systems, as well as improvements in regulatory efficiency and in planning to address the new challenges of global trade. He also stated that both PPP projects and other privately capitalized projects are needed, such as the case of Chancay, for Peru to fully take advantage of its potential for exports and logistics. The current evolution of global shipping routes and the growing competition between regional ports is generating a new scenario that will determine whether Peru consolidates its leadership in the region or lags behind others that are more agile.

The Ministry of Economy of El Salvador announced the execution of a solid portfolio of investment projects for 2026, as part of the country’s ongoing economic transformation. Through a total allocation of $13.4 million, it will modernize public services, create new opportunities for young people, strengthen institutions, and attract new foreign and local investment. These projects are included in a $64.5 million budget proposal presented by the executive branch to the Legislative Assembly’s Committee of Finance.

This new economic stimulus is not isolated, however. In recent years, significant effort has been put into restoring confidence among investors and citizens in security and public safety. The National Economic Recovery Plan 2021-2025 has also made considerable progress in tackling the cumbersome bureaucracy that was a constant headache for the Salvadoran business environment for decades.

In this new context of greater security and improved macroeconomic conditions, the Ministry of Economy of El Salvador aims to continue building on this momentum in the coming years. For this, a new stage of reforms is foreseen to make the public system more agile, digitized, and full of opportunities for entrepreneurs and investors.

Digitalization and Streamlining of Procedures: More Agility for Entrepreneurs

Digital transformation and simplification of procedures are one of the cornerstones of this new investment round. A total of $3.9 million in resources will be provided by the Development Bank of Latin America and the Caribbean (CAF) for the implementation of large-scale digitalization and administrative simplification projects.

The aim is to eliminate bureaucracy, speed up processes, and reduce the operating costs of micro, small, and medium-sized businesses. To this end, more than 270 administrative procedures have been redesigned, improved, or digitalized in various sectors and stages, from company registration to the issuance of government permits.

Entrepreneurs are saving hours of paperwork, trips to offices, and payments. “We are very happy to continue with the execution of this very successful plan, since at this time it is one of the main projects of the Ministry of Economy of El Salvador. For the past year, we have been working very hard with 270 actions designed, improved, and digitalized, and we will continue doing so,” the Minister of Economy, María Luisa Hayem, added.

She went on to say that both high levels of insecurity and complex bureaucratic structures in the country have impeded the country’s economic development and job creation for Salvadorans. As the country’s economic digitization continues, the Ministry of Economy of El Salvador wants to play a leading role in improving competitiveness and economic diversification by modernizing public systems.

In a similar vein, experts have recognized that simplifying administrative procedures is one of the most effective measures the government can take to increase the country’s competitiveness. This simplification, they note, has a measurable positive impact on small and medium-sized enterprises and entrepreneurs. Administrative simplification will help Salvadoran entrepreneurs save money and time, which can then be invested in expanding their businesses.

They will be able to invest more in improving productivity, increasing output, and expanding their customer base. In addition, increasing entrepreneurs’ efficiency also contributes to strengthening the country’s economy.

Youth Employment and Entrepreneurship Support: Social Investment with Economic Returns

In addition to digitalization, the Ministry of Economy of El Salvador also intends to make important contributions to human capital development and social inclusion. In a consortium with the International Bank for Reconstruction and Development (IBRD), it will carry out three important initiatives during the year 2026 in partnership with the International Bank for Reconstruction and Development (IBRD).

The first is the employability promotion program for young people. It will be supported by a $3.3 million budget allocation and will benefit more than 40,000 young Salvadorans. This project will include training programs, job-readiness tools, and formal job access mechanisms.

It is not only about creating jobs, but also about providing young people with skills that are relevant to the changing demands of the labor market, particularly in the fields of technology, business, and digital tools. “One of the main strengths of the project is to achieve synergies with all the entities involved in employability, so that together we can increase coverage and expand the number of young people who can access quality employment,” commented the vice minister of coordination of the Ministry of Economy, Laura Elena González.

The second one is the entrepreneurship promotion program. To support new business ideas, this project will have $3.4 million allocated. This will include support for entrepreneurial ecosystems such as mentorship, seed capital opportunities, incubation initiatives, and technical assistance to individual entrepreneurs and startups.

The trend in the country towards innovation and new business models, particularly in digital commerce, technology, services and creative industries is very positive. In a context of enhanced business support, the roll-out of this initiative is expected to have positive spillover effects across the Salvadoran economy.

Lastly, $1.5 million will be allocated to an institutional strengthening program. Although it is a component that is often overlooked, the government has shown interest in building a stronger, more efficient institutional framework.

This will include improvements in transparency, internal procedures, coordination between entities, as well as external processes for companies and citizens. Through a transparent and more efficient public service, the authorities will be better able to respond to the demands and needs of citizens and investors.

Investors: Fewer Barriers, More Opportunities

Last but not least, in order to promote investment, the Ministry of Economy of El Salvador will dedicate $1.1 million to strengthening investment promotion and attraction mechanisms. This will include communication campaigns, investment promotion channels, improving relations with companies that want to invest in the country, and operational support for investors.

These efforts come at a time when El Salvador is receiving greater international attention. In addition to greater security, infrastructural modernization and major digital projects to expand online government services have helped to project a new, more modern image to the world.

The Ministry of Economy of El Salvador understands that a competitive economy is not just about a skilled workforce and an efficient public service, but about the entire environment around the two. For this reason, it is also working to reduce administrative barriers and improve the country’s investment climate, so that investors are more receptive and less resistant.

A More Dynamic Future for Entrepreneurs and Investors

All these efforts are part of a larger strategy of the government of El Salvador, focused on digital transformation, inclusive growth, and economic modernization. For companies that want to start or expand their activities in the country, there is a clear message. In terms of the business environment, El Salvador is building a more dynamic, transparent and technologically advanced economic ecosystem.

Whether it is an established business looking to modernize and optimize its operations or an entrepreneur or investor looking for market entry opportunities, the initiatives of the Ministry of Economy of El Salvador are an opportunity to benefit from a country in full evolution and with the will and capacity to compete at an international level.

Uruguay has begun its accession to the CPTPP as part of a broader effort to diversify market access. This early stage of Uruguayan CPTPP accession comes as the country moves toward a possible end-of-2025 conclusion of the Mercosur–European Union agreement. At the same time, it evaluates the impact of the commercial pact between Milei and Trump on a tense Mercosur.

Suppose on December 20, the agreement between Mercosur and the European Union is finally signed. In that case, the end of 2025 will be excellent for Uruguay and its ambition to secure better market-access conditions for its products beyond the region. Recent news prompted widespread celebration: the acceptance to begin the country’s accession process to the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a milestone now widely referred to as Uruguayan CPTPP accession.

The announcement was first made on the social network X by the Uruguayan foreign minister, Mario Lubetkin, and on the Ministry of Foreign Affairs’ official account. Later this morning, the minister spoke at a press conference and described this step as the achievement of a “state policy” that brings Uruguay closer to a “very important club of countries.” On the part of the CPTPP members, the communication was made public by Australia’s Ministry of Trade and Tourism: “We have decided to begin the accession process with Uruguay and, if approved, we will proceed with the other countries in 2026. This reflects the great interest in joining this high-level agreement and our ambition to expand its membership.”

The 12 current members of the CPTPP are Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, the United Kingdom, and Vietnam. These economies account for around 15% of global GDP and a similar share of international trade, with a combined population of nearly 600 million.

Uruguay’s proposal to join this framework was submitted three years ago, in November 2022, by the center-right government led by Luis Lacalle Pou. The efforts continued under the current center-left Broad Front coalition government, inaugurated in March and headed by Yamandú Orsi. Political leaders and analysts have described Uruguayan CPTPP accession as a turning point in the nation’s trade strategy.

Celebrations

“National policies. Uruguay in the world. That is how we proceeded. Not always with the desired results (…). Good news that the government has taken another step,” former president Lacalle Pou wrote on X.

Omar Paganini, foreign minister during the final stage of the previous government, also celebrated the news, highlighting the work carried out by both administrations. He congratulated the officials involved, including the current foreign minister. “Excellent news! A clear example of how state policies work when there is real commitment!” said Facundo Márquez, vice president of the Uruguayan Exporters’ Union and a businessman in the caviar industry. “What great joy. Another match now begins, one that must be played calmly and steadily. Expectations shifted today, and that’s good for everyone, in Uruguay and the region,” noted Marcel Vaillant, an international trade expert.

For international relations analyst Ignacio Bartesaghi, joining the CPTPP is “a step of enormous importance for Uruguay, which is beginning a negotiation process that will certainly not be easy, but could lead to a qualitative and quantitative leap in the country’s trade openness. Mercosur is becoming more flexible along the way, which is very welcome.” According to Bartesaghi, Uruguayan CPTPP accession strengthens Uruguay’s hand in arguing for greater autonomy within the bloc.

A 2024 study funded by the local think tank Pharos estimated the effects on trade, investment, and per capita income of Uruguay’s potential accession to the CPTPP. Summarizing the results, the “central variable” is the change in welfare, measured as a proportional increase in consumption. For Uruguay, the welfare effect of remaining outside the CPTPP would be adverse but minimal (-0.01%). By contrast, joining the agreement would yield short-term gains of 1.2% and long-term gains of 2.3%, percentages that would increase if China were to enter the treaty.

Argentina and its agreement with Trump

For Uruguay—which produces far more beef, rice, soybeans, and dairy products than its 3.5 million inhabitants can consume—economic growth depends on external markets; it must export. For Uruguayans, Mercosur offered the chance to enter the large Argentine and Brazilian markets under advantageous conditions and also the hope that, as a bloc, it could negotiate trade agreements with third countries or economic groupings. In practice, this failed to meet expectations and even left people frustrated.

For this reason, recent governments—some more firmly than others—have demanded flexibility to negotiate trade deals independently, outside the constraints of the bloc’s “4 plus 1” structure. But that proposal has not received support from the bloc’s main partners.

Now, the commercial agreement announced between Argentina and the United States has placed the Uruguayan authorities on guard. Is it a risk or an opportunity? “It puts us in a position to stay alert, which is an advantage; perhaps you can get on board as well,” the Uruguayan president said a few days ago. He added that “Uruguay is in a position to take advantage. One of two things: either you get hurt if you put on blinders, don’t open your mind and don’t get into the game, whichever side it is,” he said. “Today you cannot shut yourself off; on the contrary, in a world that is closing, you must open up,” he insisted.

The president said he intends to speak directly with his Argentine counterpart, Javier Milei, to assess the agreement’s impact. “Maybe one-on-one it’s easier,” he said. Although some criticize him and even mock his sometimes ambiguous answers, Orsi may have reasons not to be more forceful in this case.

In fact, there are doubts regarding the Argentina–United States agreement—even among experts within his own government. Among other reasons, this is because information is still lacking. “To make an assessment, we first need to know the details contained in the agreement, particularly regarding tariffs,” said Deputy Foreign Minister Valeria Csukasi in the Montevideo newspaper El País. “We have always said that we understand Argentina’s situation and the need to negotiate this agreement, and from that standpoint, we do not judge it,” she added.

The official commented—echoing Uruguay’s longstanding call for flexibility—that when the bloc negotiates together, “it is a force of nature.” Still, when it does not, Uruguay must “seek other alternatives” and find strategies to meet the needs of actors in foreign trade.

A ‘tense’ Mercosur?

At Uruguay’s Ministry of Economy, there was concern that the growing closeness between Milei and U.S. President Donald Trump could shift from symbolic gestures to concrete trade policy. In fact, the delegation that attended the recent IMF assembly in Washington, D.C., led by Minister Gabriel Oddone, was told by U.S. sources that an agreement with Argentina was imminent. A few days later, this was confirmed through the official announcement.

Oddone expressed his unease two weeks ago during an event for Spanish investors with interests in Uruguay. “We are close to a scenario in which next year we could see an even greater rapprochement between Argentina and the United States in trade matters,” he said, adding that such an agreement would be a “watershed moment” if Brazil were left out. In that scenario, Mercosur could become “strained,” the minister speculated.

A concern within the Ministry of Economy is that, for example, beef—a product that consistently ranks at the top of Uruguay’s export basket—could be placed at a disadvantage relative to Argentine beef in accessing the U.S. market.

While, like most government officials, Uruguayan business leaders want to see more details before stating how to respond to the Milei–Trump agreement, some analysts have already taken a clear position. Bartesaghi, director of the Institute of International Business at the Catholic University of Uruguay, wrote on X: “We ALL should have the same flexibility within the bloc and, once and for all, accept that members must be allowed to negotiate bilateral agreements with any country without needing consensus among partners.”

Mexico Sets Foreign Investment Record in 2025

Mexico is currently in the international economic spotlight after government officials confirmed what is being described as the Mexico foreign investment record 2025. Speaking to reporters during a recent press briefing, Secretary of Economy Marcelo Ebrard confirmed that net foreign direct investment (FDI) in Mexico had already surpassed $40 billion as of September 2025, a 15% jump over the previous year and one of the biggest economic stories of the year so far. This level of investment not only exceeds many analysts’ projections at the start of the year but also cements Mexico’s position as one of the Western Hemisphere’s most sought-after investment destinations. Inflows from key investors such as the United States, Spain, the United Kingdom, Germany, and Canada helped Mexico weather the storm, as countries with long-standing business ties invested in industries ranging from manufacturing and financial services to insurance, construction, mining, and tourism. Growth has been widespread as these and other sectors across Mexico continue to build momentum, while initiatives to reshape global supply chains and nearshoring have also played an important role in the upbeat Mexico foreign investment record 2025.

Mexico Breaks Record for Inflows

Wednesday, 19 November. Mexico’s government confirmed that it had reached a new record in the third quarter of 2025, confirming that it had also registered the Mexico foreign investment record 2025 in terms of overall investment flows this year. Net FDI in Mexico is now nearly $41 billion between January and September 2025, with signs that inflows have remained strong in the third quarter. Ebrard said this capital has come at a time of persistent uncertainty around the world, with inflation, geopolitical risks, and interest rate volatility weighing on growth. At the same time, Ebrard said Mexico’s macroeconomic policies have delivered a stable and competitive business environment, while a strong exchange rate and a resilient manufacturing sector that has bounced back from the pandemic have also supported the economy. In the face of these positive factors, Mexico has outperformed its regional peers, with Brazil, Colombia, and Argentina all showing weaker investment activity thus far in 2025. According to government data, 37% of total FDI went to manufacturing, 25% to financial services, and 5% to construction.

Mexico Gains New Investments in Record Year

The story of the Mexico foreign investment record 2025 has been marked by a significant increase in the number of first-time investments in the country. Although reinvestments from existing firms continued to grow over the course of 2025, new investments grew dramatically as 2025 witnessed a record amount of first-time FDI into Mexico. These investments more than doubled to $6.5 billion, representing just over a third of total FDI. Ebrard said that new investments have grown as a result of  widespread global confidence in Mexico’s economic fundamentals, an endorsement of current government policy, and a recognition of long-term stability. A growing number of new projects has increased Mexico’s profile as a destination for foreign investors seeking to expand into new production locations with competitive infrastructure, skilled labor, and access to North American markets.

Mexico’s Export Growth Boosts Outlook

Mexico’s exports are set to be at the center of economic and political discussions in 2026. Mexico has actually increased its export activity over the past year, despite concerns that new tariffs or other measures could harm the economy. This development has only reinforced many of the fundamental elements underpinning the Mexico foreign investment record 2025. Export-dependent sectors such as automotive, aerospace, electronics, agriculture, and medical devices have all expanded output. Mexico has long been well-positioned to serve as a hub of activity for North American supply chains due to its proximity to the United States and Canada, an extensive network of free trade agreements, and a well-developed logistics infrastructure. The country has capitalized on these strengths to benefit from nearshoring, with large companies bringing investment and jobs to Mexico as they seek to realign global supply chains and create more resilient production networks.

Mexico to Host APEC in 2028

Mexico was chosen to host APEC 2028, the Secretary of Economy announced. APEC, or Asia-Pacific Economic Cooperation, is a group of Pacific Rim economies that represent 61% of global GDP. The organization includes major economies such as the United States, China, Japan, Canada, South Korea, and Australia, and it has been a factor behind a number of the initiatives that helped Mexico register the Mexico foreign investment record 2025. These range from digital commerce to transportation and logistics initiatives, sustainability, and more. Hosting the 2028 APEC summit will provide Mexico with new opportunities to deepen its relationships with some of the most dynamic Asia-Pacific economies, such as China, South Korea, Indonesia, and Vietnam. It will also be able to engage with its neighbors on the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a trade agreement that offers even more opportunities in areas such as digital trade, intellectual property, and industrial standards.