LATIN AMERICA ADVISOR

LATIN AMERICA ADVISOR

A daily publication Of the dialogue

September 24, 2025

Is Mexico Winning the Fight Against Contraband Fuel?

Security forces in Mexico detained more than a dozen people earlier this month in connection with an alleged scheme involving contraband fuel. // File Photo: Ale via Adobe Stock.

Q

A

José Carlos Rodríguez Pueblita, professor of business economics at the IPADE Business School in Mexico City: “Fuel theft and contraband fuel have become one of Mexico’s most pressing organized crime challenges, extending far beyond traditional illicit activities like drug trafficking. While earlier efforts reduced pipeline theft through military deployment and supply monitoring, the problem adapted and shifted into more sophisticated channels, including maritime contraband and tax evasion schemes that cost the Mexican treasury about $24 million per day, according to PetroIntelligence, a Mexican consulting firm specialized in the sector. The September arrests, involving navy officers accused of facilitating untaxed diesel imports, highlight both the depth of the problem and the complexity of addressing it. They show that corruption networks can penetrate even high-trust institutions, but also signal that the current administration is willing to act against such abuses, regardless of the risks to institutional reputation— a contrast with the previous administration. Looking ahead, tackling…”

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The Inter-American Dialogue publishes the Latin America Advisor every business day for a distinguished membership of informed corporate leaders, scholars, and government officials invested in Latin America’s development and future. The Advisor‘s highly regarded Q&A section covers questions submitted by subscribers themselves. Commentators regularly include heads of state, business leaders, diplomats, economists, analysts, and thought leaders from around the world. Many of the world’s largest and fastest-growing companies subscribe to the Advisor. To subscribe, click here. For terms and conditions, click here. For more information, contact Gene Kuleta, editor of the Advisor, at gkuleta@thedialogue.org.

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Diego Arria
Director,
Columbus Group

Merike Blofield
Professor of Political Science,
University of Hamburg

Devry Boughner Vorwerk
CEO,
DevryBV Sustainable Strategies

Joyce Chang
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J.P. Morgan

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Corporate Vice President for Gov’t Relations,
Arcos Dorados (McDonald’s)

Peter Hakim
President Emeritus,
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Donna Hrinak
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Jon E. Huenemann
Council Member,
GLG Inc.

James R. Jones
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Monarch Global Strategies

Craig Kelly
Senior Director,
Int’l Gov’t Relations,
Exxon Mobil

Barbara Kotschwar
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US Education Finance Group

Nicolas Mariscal
Chairman,
Grupo Marhnos

Thomas F. McLarty III
Chairman,
McLarty Associates

Beatrice Rangel
Director,
AMLA Consulting

Ernesto Revilla
Head of Latin American Economics, Citi

Gustavo Roosen
President,
IESA

Andrés Rozental
President, Rozental &
Asociados

Shelly Shetty
Managing Director,
Sovereigns, Fitch

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