Drug Trafficking Crisis and Its Economic Impact in Mexico

Organized crime in Mexico is sharply strengthening, with government links affecting security and the economy. The inaction of the current government is causing an alarming economic crisis.


Drug Trafficking Crisis and Its Economic Impact in Mexico

Organized crime in Mexico has reached an unprecedented level of power, acting with total impunity and with apparent complicity from the government. The release of Ovidio Guzmán under the order of the then-president has been seen as a clear demonstration that the real power in the country does not reside in Palacio Nacional, but in the cartels. Furthermore, DEA investigations reveal direct links between 43 politicians and officials from the Morena party with drug trafficking.

The Mexican government has been criticized for its negligence in combating drug trafficking, its permissiveness towards the cartels, and its alleged ties to organized crime, leading many to consider Mexico as a functional narcostate. Despite attempts to divert attention with speeches of unity and nationalism, the inaction of the government has endangered the economic stability of the country.

The strategy adopted by President López Obrador of "hugs, not bullets" has been heavily questioned. Instead of seeking effective cooperation with the United States to combat drug and arms trafficking, a stance of tolerance towards the cartels has been preferred, resulting in negative consequences for the relationship between both countries.

The recent imposition of 25% tariffs on Mexican exports by the United States has been interpreted as a direct consequence of the Morena government’s failure to ensure security in the country. It is pointed out that, since taking power, democratic principles, the balance of powers, and legality have been undermined, which has weakened Mexico's institutional structure.

In light of the impending economic crisis, authorities seek to blame others, but it is emphasized that the responsibility lies in the inability to govern and the alleged surrender to organized crime. The Mexican government is criticized for polarizing society, labeling those who denounce the situation as "unpatriotic." The imposition of tariffs represents a harsh blow to the Mexican economy, and it is stressed that the measures taken do not address the root of the problem, which lies within the very power structures in the country.