Mexico: The requirements to obtain permits to export and import hydrocarbons as well as oil products, have been updated

In brief

On 18 September 2024, the Ministry of Economy, together with the Ministry of Energy ("SENER") published in the Federal Official Gazette the Directive that amends and establishes the products subject to regulation by SENER regarding their import and export ("New Directive").

This New Directive:

(i) Amends certain articles of the Directive that establishes the goods whose import and export is subject to regulation by the SENER, published  on 6 November 2023;

(ii) Adds articles with new regulations applicable to prior permits for import and export of oil products or hydrocarbons ("Permit(s)"); and

(ii) Includes a catalog of specifications containing the composition and physicochemical properties of the products that are classified in the regulated tariff items.


Contents

1. Key points

Some of the highlights of the New Directive are:

(i) The requirement of Proof of Composition and Physicochemical Properties is introduced, to show the composition and physicochemical properties of the products to be imported or exported;

(ii) The periodicity of operation reports has been modified, from monthly, to quarterly or annual, depending on the type of Permit and the permitted period;

(iii) Inspection visits will be carried out to inspect permit holders, as well as to gather samples by SENER or any other competent authority;

(iv) For certain cases, the procedure for obtaining Permits is simplified, considering the type of product, use and quantities requested (using as a threshold of one million units of measurement according to the applicable tariff);

(v) Export permits may be granted for a term of more than five and up to 20 years; and

(vi) although a couple of import tariff items are added to the New Directive, the products catalog is consistent with the previously regulated tariff items.

2. Validity of the New Directive

The New Directive entered into force on 19 September 2024.

However, it is important to consider that:

(i) Permit applications submitted prior to the entry into force of the New Directive will be processed in accordance with the provisions in effect at the time of their submission;

(ii) Permits granted prior to the entry into force of the New Directive will be valid until their term expires or the authorized volume is used, and will be governed in accordance with the legal provisions applicable at the date of their issuance; and

(iii) In all cases, permit holders must comply with the new timeframe established for annual or quarterly reports, as applicable.

3. Next steps

To determine the potential impacts of the New Directive for your business, it is necessary to perform an comprehensive analysis from a regulatory, international commerce and litigation perspective. This is to determine potential impacts and risks to your business and, if applicable, integrate compliance strategies under the New Directive.

* * * * *

We will be happy to answer any questions you may have.


Copyright © 2024 Baker & McKenzie. All rights reserved. Ownership: This documentation and content (Content) is a proprietary resource owned exclusively by Baker McKenzie (meaning Baker & McKenzie International and its member firms). The Content is protected under international copyright conventions. Use of this Content does not of itself create a contractual relationship, nor any attorney/client relationship, between Baker McKenzie and any person. Non-reliance and exclusion: All Content is for informational purposes only and may not reflect the most current legal and regulatory developments. All summaries of the laws, regulations and practice are subject to change. The Content is not offered as legal or professional advice for any specific matter. It is not intended to be a substitute for reference to (and compliance with) the detailed provisions of applicable laws, rules, regulations or forms. Legal advice should always be sought before taking any action or refraining from taking any action based on any Content. Baker McKenzie and the editors and the contributing authors do not guarantee the accuracy of the Content and expressly disclaim any and all liability to any person in respect of the consequences of anything done or permitted to be done or omitted to be done wholly or partly in reliance upon the whole or any part of the Content. The Content may contain links to external websites and external websites may link to the Content. Baker McKenzie is not responsible for the content or operation of any such external sites and disclaims all liability, howsoever occurring, in respect of the content or operation of any such external websites. Attorney Advertising: This Content may qualify as “Attorney Advertising” requiring notice in some jurisdictions. To the extent that this Content may qualify as Attorney Advertising, PRIOR RESULTS DO NOT GUARANTEE A SIMILAR OUTCOME. Reproduction: Reproduction of reasonable portions of the Content is permitted provided that (i) such reproductions are made available free of charge and for non-commercial purposes, (ii) such reproductions are properly attributed to Baker McKenzie, (iii) the portion of the Content being reproduced is not altered or made available in a manner that modifies the Content or presents the Content being reproduced in a false light and (iv) notice is made to the disclaimers included on the Content. The permission to re-copy does not allow for incorporation of any substantial portion of the Content in any work or publication, whether in hard copy, electronic or any other form or for commercial purposes.