✂ Fed’s first rate cut since 2020: Use our free Stock Screener to find new opportunities fastExplore for FREE

Mexico president to urge freight operators to use rail for passengers

Published 11/08/2023, 09:44 AM
Updated 11/08/2023, 10:47 AM
© Reuters. Mexico's President Andres Manuel Lopez Obrador speaks during his regular press conference where he said that his government will help Cuba, including providing it with oil, at the National Palace in Mexico City, Mexico October 16, 2023. Mexico Presidency/

MEXICO CITY (Reuters) -Mexican President Andres Manuel Lopez Obrador on Wednesday said he plans on announcing a decree before Nov. 20 to call for freight train companies to also use their railways for passenger transport.

Lopez Obrador has made the development of Mexico's passenger train travel a key pillar of his transportation and economic policies, including the construction of a multi-billion-dollar tourist train through the Yucatan Peninsula.

"This decision is going to give (the companies) the possibility of committing to having passenger trains," Lopez Obrador said in a press conference.

If the companies, which include the rail unit of Mexican conglomerate Grupo Mexico and Canadian Pacific (NYSE:CP) Kansas City , decide not to provide passenger service, the government would do so, he added.

Over 20,000 km (12,400 miles) of railway could be opened up for passenger services, Lopez Obrador said.

© Reuters. Mexico's President Andres Manuel Lopez Obrador speaks during his regular press conference where he said that his government will help Cuba, including providing it with oil, at the National Palace in Mexico City, Mexico October 16, 2023. Mexico Presidency/Handout via REUTERS/File Photo

Last month, Lopez Obrador said talks were ongoing between his government and train companies that hold concessions for railways in Mexico.

The president said he wanted to apply a clause in the concessions that allows for the railways to be used for passenger services, giving current concession-holders the preference to roll out the service.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.