THE TRUCKING SECTOR

Motor carrier transportation has been an area of great interest for foreign investors and is defined in relevant legislation as the hauling of merchandise for third parties on roads of federal jurisdiction.

The Ministry of Communications issues operating permits to motor carriers to haul large loads. Said permits are granted for an indefinite period of time to Mexican individuals and entities. Foreign investors may hold up to 49 percent but are prohibited from participation in the capital stock of companies carrying out international motor carrier transportation. Both the Mexican Foreign Investment Law and NAFTA have phase-in provisions for up to 100 percent foreign ownership. However, no foreign participation is permitted with respect to the capital stock of companies carrying out domestic motor carrier transportation.

Our attorneys at Goodrich, Riquelme have the experience to counsel foreign investors throughout the public bidding process and to assist companies in Mexico once operations are started. One of the strengths of our firm is negotiating with potential Mexican partners of foreign investors, a service important in these sectors in which many Mexican-foreign joint ventures have been formed.