Mexican construction sector calls to stop military overreach in infrastructure projects

After Mexico’s President Claudia Sheinbaum showed support for the involvement of the defense ministry in infrastructure projects, the private sector once again called for the military to focus on national security issues instead of carrying out construction works. 

The president of Mexican construction chamber CMIC, Luis Méndez Jaled, said during a press conference on Tuesday that the chamber welcomes military involvement in infrastructure projects as long as they are related to national security.

“The army is a very respected institution by all of us, and their role is to safeguard the country’s sovereignty, taking care of us and protect the security of every Mexican, and us constructors have a lot of experience in legal, labor and technical topics that make us build these works to high standards,” Méndez said.

“We agree that, when the works are related to national security, [military participation] is welcomed but otherwise the builders must be carrying out these works.” 

During Sheinbaum’s campaign, the chamber expressed optimism regarding the role that the private sector could take in what they described as her ambitious infrastructure plans. However, over the weekend the president greenlighted pre-construction works for her first flagship infrastructure project – the AIFA airport-Pachuca rail line – that will be built by the military. 

During her speech, Sheinbaum – who took office October 1 – defended military involvement in strategic projects.  

Despite this, CMIC is hopeful about increasing private participation in the rest of Sheinbaum’s infrastructure plan, that includes not only rail but construction and refurbishment of ports, airports, highways and social infrastructure. 

“She has said that the private sector will continue to participate, and the works that the army carried out during the last administration are equivalent to maybe 20% to 25% of the budget [of the previous six-year term] and within those projects nearly 80% were done by contractors,” said Méndez, adding that the chamber is open to communicate with the president and her team, with which they will attempt to meet to discuss mixed investments schemes.

“There will not be sufficient funds [for every infrastructure project] and she has support. That's where mixed investments can be used and we’ll approach her team with these proposals,” he said.

Méndez also said the country needs reforms to allow small and medium-sized contractors to win contracts, as well as forming alliances with larger companies to participate in bidding processes on a more level playing field.