IMPLEMENTATION LEVEL

National

AFFECTED FLOW

Inflow

ANNOUNCED AS TEMPORARY

No

NON-TRADE-RELATED RATIONALE

No

ELIGIBLE FIRMS

all

JUMBO

No

TARIFF PEAK

No
← back to the state act
Inception date: 29 Mar 2016 | Removal date: open ended
Still in force

Local sourcing

On 29 March 2016, the government of Mexico in its Official Diary of the Federation (DOF 29.03.2016), stated that oil companies operating in Mexico must rely on national suppliers of goods and services for 3% of the input cost to their deep water oil projects.
 
Furthermore, it was also stated that by 2025, firms operating in Mexico will be obliged to use national suppliers for 8% of their deep water oil projects.
 
DOF 29.03.2016 stated that the introduction (for the first time) of these local content rules is in accordance with the Hydrocarbon Law of Mexico (2014) -- which states that thegovernment needs to set values for local supply usage on deep water oil projects in Mexico for 2015 and 2025. Lastly, DOF 29.03.2016 also makes reference of Article 46 of the Hydrocarbon Law of Mexico which states that thelocal supply content minimums for onshore and shallow water projectstop out at 35 %.
 
 

AFFECTED COUNTRIES

MAP
TABLE
EXPORT

AFFECTED SECTORS AND PRODUCTS

432 Pumps, compressors, hydraulic & pneumatic power engines; parts
8413 Pumps for liquids, whether or not fitted with a measuring device; liquid elevators.
841311 Pumps for dispensing fuel or lubricants, of the type used in fillingstations or in garages
841319 Other
841320 Hand pumps, other than those of subheading 8413.11 or 8413.19
841330 Fuel, lubricating or cooling medium pumps for internal combustion piston engines
841340 Concrete pumps
841350 Other reciprocating positive displacement pumps
841360 Other rotary positive displacement pumps
841370 Other centrifugal pumps
841381 Pumps
841382 Liquid elevators
841391 Of pumps
434 Ovens & furnace burners & parts
8514 Industrial or laboratory electric furnaces and ovens (including those functioning by induction or dielectric loss); other industrial or laboratory equipment for the heat treatment of materials by induction or dielectric loss.
851410 Resistance heated furnaces and ovens
851420 Furnaces and ovens functioning by induction or dielectric loss
851430 Other furnaces and ovens
851440 Other equipment for the heat treatment of materials by induction or dielectric loss
851490 Parts
444 Machinery for mining, quarrying & construction; parts
8430 Other moving, grading, levelling, scraping, excavating, tamping, compacting, extracting or boring machinery, for earth, minerals or ores; piledrivers and pileextractors; snowploughs and snow blowers.
843010 Piledrivers and pileextractors
843020 Snowploughs and snowblowers
843031 Selfpropelled
843039 Other
843041 Selfpropelled
843049 Other
843069 Other

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