Mexico's Judicial Reform and its Implications

President-elect Claudia Sheinbaum assured that Mexico's planned judicial reform would not breach commitments under the USMCA. The proposal, which includes electing judges through popular vote, has stirred controversy and prompted a strike by federal judiciary workers. The markets reacted, weakening the peso by over 2%.

President-elect Claudia Sheinbaum reassured on Wednesday that Mexico's planned judicial reform would not infringe on its obligations under the United States–Mexico–Canada Agreement (USMCA). Sheinbaum defended the proposal, set for a September vote, which aims to elect judges, including Supreme Court justices, through popular vote.

The contentious reform has provoked a strike by federal judiciary workers, now in its third day. They argue against the changes which have sparked market concerns and contributed to the peso's over 2% slide by midday on Wednesday.

Sheinbaum, who steps into office in October, backs the outgoing President Andres Manuel Lopez Obrador's reforms, emphasizing the necessity for judicial elections.