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Mexico Decree Prioritizes Passenger Rail Service Over Freight

Private Operators Given Deadline to Propose Passenger Services, Military to Take Over if They Decline

  • Mexico's government has issued a decree forcing private freight railway lines to prioritize passenger train service.
  • The two main private rail operators, CPKS and Ferromex, have until January 15 to propose their own passenger services.
  • If they decline, the government will put the army or navy in charge, despite their lack of railway operation experience.
  • The government plans to establish four short inter-city routes and three long routes from central Mexico to the U.S. border.
  • The decree does not mention whether the private companies would be offered subsidies, raising concerns about the profitability of passenger train systems.
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