Mexico’s Economy Contracts 0.3% in Q3 2025 on Industrial Weakness

Overview

• Inegi confirmed on Nov. 21 that GDP fell 0.3% quarter over quarter in the third quarter, matching the late-October preliminary estimate.
• Output decreased 0.2% from a year earlier, aligning with market expectations cited by FactSet.
• Secondary activities fell 1.5% in the quarter and 2.7% year over year, driven by industry and construction.
• Primary activities rose 3.5% and services increased 0.2% in the quarter, both slightly revised higher from the advance reading.
• Quarterly GDP was reported at 25.4 billion pesos, marking the first negative quarterly result since the fourth quarter of 2024.